Key statistics

Is GIB a good stock to buy in 2026?

GIB exhibits a compelling valuation with a P/E ratio of 12.97x, significantly below the Information Technology Services sector average of 17.0x. Furthermore, its discounted cash flow (DCF) model suggests a fair value of $247.05, indicating a substantial 243.2% upside from its current price. With 61.1% of analysts rating GIB stock a “Buy,” the consensus points towards a favorable outlook, though investors should conduct their own thorough research.

2026 GIB price scenarios

Based on analyst consensus of $100.82 from 18 analysts. Not a prediction by Alert Invest.

About CGI Inc. (GIB)

CGI Inc., together with its subsidiaries, provides information technology (IT) and business process services in Canada; Western, Southern, Central, and Eastern Europe; Australia; Scandinavia; Finland, Poland, and Baltics; the United States; the United Kingdom; and the Asia Pacific. Its services include the management of IT and business outsourcing, systems integration and consulting, and software solutions selling activities. The company also offers application development, integration and maint

CGI Inc., led by CEO Francois Boulanger, stands as a global leader in IT and business process services, employing approximately 94,000 professionals. The company’s distinctive strengths lie in its deep industry expertise, comprehensive service portfolio spanning consulting, systems integration, and outsourcing, and its robust client relationships built over decades. CGI is renowned for its ability to deliver end-to-end solutions that help clients navigate complex digital transformations and achieve their business objectives across various sectors worldwide.

GIB competitive moat and business analysis

CGI Inc. maintains a competitive edge through its extensive global delivery network and diverse service offerings. While its reported net margin of 10.25% demonstrates solid operational efficiency within the Information Technology Services sector, the lack of reported ROE and ROIC data prevents a direct assessment of capital efficiency. However, a healthy Free Cash Flow (FCF) yield of 10.27% suggests effective cash generation, contributing to its financial flexibility and ability to invest in growth initiatives.

Unfortunately, specific segment and geographical revenue breakdowns are not provided in the data. CGI’s comprehensive service portfolio includes IT and business process outsourcing, systems integration and consulting, and software solutions, serving clients across Canada, Europe, the United States, and the Asia Pacific region. This broad reach suggests a diversified revenue stream, though without specifics, further analysis is limited.

The company’s revenue growth of 8.4% indicates a positive trend, suggesting a strengthening competitive position for GIB stock. This growth, coupled with its consistent client engagement in critical IT transformations, points to an enduring moat. The lack of a transcript quote prevents a direct management insight into this trend, but the sustained performance in a dynamic sector implies effective strategic execution.

When evaluating GIB stock against its peers, its relatively lower P/E of 12.97x compared to the sector average implies a potentially attractive entry point. Competitors like GIB vs CDW, GIB vs CPAY, and GIB vs GDDY operate in similar or adjacent spaces, making GIB’s valuation metrics crucial for comparison. Its strong Free Cash Flow yield further enhances its appeal in a competitive landscape.

CGI Inc. analyst rating

Based on 18 analysts. 61.1% rate GIB Buy or Strong Buy.

A 61.1% buy rating for GIB stock is a strong signal within the Technology sector, indicating significant analyst confidence. This high level of conviction suggests that a majority of analysts see substantial upside potential for CGI Inc., reinforcing the positive outlook on GIB valuation.

Is GIB undervalued or overvalued?

CGI Inc. (GIB) appears significantly undervalued when considering its current P/E ratio of 12.97x, which stands notably below the Information Technology Services sector average of 17.0x. This suggests that the GIB stock is trading at a discount compared to its industry peers, offering a potential value opportunity for investors.

Further reinforcing this perspective, the discounted cash flow (DCF) model estimates GIB’s fair value at $247.05, representing a substantial 243.2% upside from the current price. This robust DCF valuation provides a strong indicator that GIB stock could be a compelling investment for those seeking long-term growth and capital appreciation, especially for those evaluating GIB valuation.

GIB financial health & key metrics

For value investors, CGI Inc. (GIB) presents an intriguing profile. Its P/E ratio of 12.97x suggests the GIB stock is trading at a significant discount relative to its sector, complemented by a robust DCF fair value indicating substantial undervaluation. Coupled with a healthy net margin of 10.25%, solid FCF yield, and manageable debt, GIB demonstrates fundamental strength, making it an attractive consideration for those prioritizing financial health and long-term value in their GIB valuation analysis.

CGI Inc. earnings history & next report

CGI Inc. reported EPS of $1.51, missing estimates by 2.58%. Next earnings: 2026-04-29 with EPS estimate of $1.65.

CGI Inc. recently reported EPS of $1.51, which slightly missed analyst estimates by 2.58%. Investors will be keenly watching the next earnings report scheduled for 2026-04-29, with an estimated EPS of $1.65. The key watchpoints will be whether the company can meet or exceed this EPS estimate, alongside revenue performance and any updates on strategic initiatives or guidance for the coming quarters, which could significantly impact GIB stock performance.

GIB daily short volume

Short volume data from FINRA CNMS Consolidated — shares sold short in the most recent US trading session. A high short ratio can signal bearish conviction or a potential short squeeze. Updated every trading day.

GIB insider trading activity

No significant insider trading activity reported for CGI Inc. (GIB) recently.

Recent GIB analyst rating changes

CGI Inc. stock news today

How does GIB compare to its peers?

When assessing the potential of GIB stock, it’s crucial to understand its position relative to key competitors within the dynamic Information Technology Services sector. A comparative analysis allows investors to gauge GIB’s valuation, growth prospects, and overall market standing against companies like CDW, CPAY, and GDDY, providing a broader perspective on its investment appeal.

FAQ — CGI Inc. (GIB) stock