CGI Group (NYSE:GIB) Shares Pass Above 200 Day Moving Average – Should You Sell?

CGI Group, Inc. (NYSE:GIB) (TSE:GIB.A)’s stock price crossed above its two hundred day moving average during trading on Thursday . The stock has a two hundred day moving average of $93.51 and traded as high as $95.15. CGI Group shares last traded at $94.25, with a volume of 323,463 shares traded.

Analyst Ratings Changes

A number of brokerages have weighed in on GIB. Royal Bank Of Canada reaffirmed an “outperform” rating on shares of CGI Group in a research note on Monday. TD Securities raised shares of CGI Group to a “strong-buy” rating in a report on Friday, October 3rd. Jefferies Financial Group reaffirmed a “hold” rating and set a $81.00 price objective (down previously from $105.00) on shares of CGI Group in a report on Monday, November 10th. Cibc Captl Mkts lowered CGI Group from a “strong-buy” rating to a “hold” rating in a research report on Sunday, December 14th. Finally, Weiss Ratings reissued a “hold (c-)” rating on shares of CGI Group in a research note on Monday, December 29th. One research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and four have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $117.00.

CGI Group Trading Up 2.5%

The business’s 50 day simple moving average is $89.86 and its 200-day simple moving average is $93.51. The company has a debt-to-equity ratio of 0.27, a current ratio of 0.99 and a quick ratio of 0.72. The stock has a market capitalization of $20.65 billion, a P/E ratio of 17.92 and a beta of 0.59.

CGI Group (NYSE:GIB) (TSE:GIB.A) last posted its quarterly earnings results on Wednesday, November 5th. The technology company reported $1.55 earnings per share for the quarter, beating analysts’ consensus estimates of $1.53 by $0.02. CGI Group had a return on equity of 18.55% and a net margin of 10.41%.The company had revenue of $2.88 billion for the quarter, compared to the consensus estimate of $4 billion. During the same quarter in the prior year, the business posted $1.92 EPS. The firm’s quarterly revenue was up 9.7% on a year-over-year basis. As a group, analysts forecast that CGI Group, Inc. will post 5.79 EPS for the current year.

CGI Group Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, December 19th. Shareholders of record on Friday, November 21st were paid a $0.17 dividend. The ex-dividend date of this dividend was Friday, November 21st. This is a positive change from CGI Group’s previous quarterly dividend of $0.11. This represents a $0.68 annualized dividend and a yield of 0.7%. CGI Group’s payout ratio is currently 9.13%.

Hedge Funds Weigh In On CGI Group

Several institutional investors have recently modified their holdings of GIB. First Horizon Corp bought a new stake in shares of CGI Group in the 3rd quarter valued at about $29,000. Steigerwald Gordon & Koch Inc. acquired a new position in CGI Group during the third quarter valued at approximately $144,000. EverSource Wealth Advisors LLC increased its stake in CGI Group by 53.3% in the second quarter. EverSource Wealth Advisors LLC now owns 1,452 shares of the technology company’s stock valued at $152,000 after purchasing an additional 505 shares in the last quarter. Hughes Financial Services LLC acquired a new stake in CGI Group in the third quarter worth $174,000. Finally, Plato Investment Management Ltd acquired a new stake in CGI Group in the first quarter worth $204,000. 66.68% of the stock is currently owned by institutional investors and hedge funds.

CGI Group Company Profile

CGI Group Inc is a global information technology and business consulting firm that delivers a broad range of services including IT consulting, systems integration, application development and maintenance, infrastructure and network services, managed IT and business process outsourcing. The company works with clients to design, build and operate IT systems and business solutions, with capabilities spanning cloud and hybrid IT environments, cybersecurity, data analytics and artificial intelligence, digital transformation and enterprise resource planning implementations.

Founded in 1976 in Quebec by Serge Godin and André Imbeau, CGI has grown from a regional systems integrator into a multinational professional services organization.