CGI Inc (GIB) fair value: what the stock is really worth
As of Nov 6, 2026: fair value (intrinsic value) of CGI Inc stock $180, price $83.29, upside +116.0%, quality 68 out of 100. Rating: strongly undervalued. Calculated from audited financials with 24 of our 26 valuation models and 37 quality factors, updated daily.
The stock costs 54% less than our calculation considers fair.
Fair value $179.87 · Strongly undervalued
Quality 68/100
Healthy Growth(revenue 5y +5.5 %/yr in CAD)
Solidly profitable · 10.5% net margin (TTM)
Low debt
Generates free cash flow
0.6% dividend yield · Well covered
Ranks above peers(10/14)
Wide moat66/100
Broad data
Even on cautious assumptions the value is 23% above the price ($102.45).
Risks from the AI analysis
🚩Generative AI could disrupt traditional systems integration🚩Heavy reliance on US federal government contracts🚩Substantial debt and covenant restrictions
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 9, 2026.
How to read this chart
60‑month range $61.18 – $121.24 · fair‑value band $102.45 – $224.83 · the $83.29 price screens below the $179.87 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 9, 2026.
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CGI Inc. provides information technology and business process services in Western and Southern Europe, the United States, Canada, Scandinavia, Northwest and Central-East Europe, the United Kingdom, Australia, Germany, Finland, Poland, Baltics, and the Asia Pacific.
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It offers end-to-end services and solutions, including business and strategic IT consulting; systems integration, such as data integration, AI and automation integration, cloud integration, Internet of Things, enterprise application integration, application programming interface integration, and legacy system modernization; managed IT and business process; and application services comprising application management, DevSecOps, application modernization and rationalization, and quality engineering and assurance.
The company also provides infrastructure services, which include legacy infrastructure modernization, cloud and hybrid infrastructure management, IT service management, FinOps-enabled cloud management, cyber resilience and compliance, site reliability engineering and AIOps, and infrastructure-as-code; and intellectual property business solutions.
It serves banking and capital markets, communications and media, energy and utilities, government, health, insurance, life sciences, manufacturing, retail and consumer services, space, transportation, and logistics industries.
The company was formerly known as CGI Group Inc. and changed its name to CGI Inc. in January 2019. CGI Inc. was founded in 1976 and is headquartered in Montreal, Canada.
Stock analysis
CGI Inc (GIB) currently trades at $83.29, while our model-based Fair Value estimate is $179.87, implying the stock looks roughly 54% undervalued today.
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Valuation
Bull case: the DCF Models group reads highest at a median of $189.22 per share, and 19 of the 24 models we run sit above the $83.29 price.
Bear case: the Earnings-Based group reads lowest at $92.80, and 5 of the 24 models stay below the price. Data coverage for this calculation is high.
Scenario range: $102.45 (bear) to $224.83 (bull), the price of $83.29 sits below it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 68/100 (solid quality), in the Technology sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
CGI Inc reported revenue of C$15.9B in FY2025 versus C$12.1B in FY2021, a compound +7.0%/yr. Reported net income was C$1.7B in FY2025, compounding +4.9%/yr from FY2021.
Key figures
Market cap $17.4B Large · P/E ratio 13.7 · P/S ratio 1.42 · EPS (TTM) $6.01 · Dividend yield 0.6% · Net margin 10.4% · Return on equity 17.0% · Return on assets (EBIT) 14.5% (5-year average).
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 66 out of 100 (medium confidence).
What moves the price
The share trades about 12% below its 52-week high and 36% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Technology peers we cover trades at 21% fair-value upside, at 116%, GIB screens cheaper than that median.
Fair Value models
Bear$102.45Fair Value $179.87Bull$224.83
Price $83.29 · Upside +116.0%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 12 months old). Earnings retained since then ($5.54 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.80/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Revenue growth 1 year
+8.4%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+7.7%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+5.5%
Start year 2020 (pandemic). Over 10 years: +4.6% a year
Revenue growth 32 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+18.2%
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What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
+10.7%
Earnings growth per share plus dividend.
Earnings per share, growth per year+10.1%
Dividend (yield on the price)0.6%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.10.1% vs 9.4%, steady
Profit margin 2019 to 2024 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.15% → 17%
Pace: the 5-year rate starts in 2020 (pandemic)
Growth Forecast
Little optimism in the price
The price assumes less growth than the company has delivered so far and less than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
−1.3%
The company could shrink this much every year for the next five years and today's price would still be justified.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+3.1%
Yearly sales growth analysts expect, extended to five years.
After inflation (figures in CAD, Canada: IMF forecast 2.1% a year to 2030, 2.6% from 2016 to 2025) that is about −3.3% a year for the price and +1.0% for the forecasts.
AI conclusion: The company's main strength is its scale and contract stickiness that secure recurring revenue through a large backlog, offset by limited innovation that restricts new growth avenues.
Main risk: Generative AI tools might reduce demand for CGI's legacy systems integration and consulting services by automating code analysis, modernization roadmaps and routine tasks for government and enterprise clients.
Bull case: CGI could leverage its AI modernization platforms and partnerships with AWS to expand into higher-margin agentic AI and governed AI services for government clients, turning potential disruption into new contract wins.
Bear case: If AI automates core integration work and government spending tightens amid high debt, CGI might see slower backlog growth, margin pressure from competition and reduced ability to invest in new capabilities.
CGI builds recurring revenue through long-term IT services contracts and a large backlog that offers visibility across fiscal years. Its latest coalition with AWS to prepare workforces for super-intelligent systems shows active steps into emerging tech. Will these efforts mainly deepen client dependencies in government work or create new revenue streams that outpace any efficiency losses from automation?
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Information Technology Services · 479 stocks
Beats the industry median on 10/14 measures
Overall it ranks above its industry peers.
Valuation
Quality Score68 · Top 25%
Fair Value upside+116.0% · Top 25%
Profitability
Return on equity (12 months)17.0% · Above median
Return on assets8.5% · Top 25%
Net margin (12 months)10.5% · Top 25%
Operating margin (12 months)16.2% · Top 25%
Growth and dividend
Revenue growth (quarter YoY)2.5% · Below median
Dividend yield (12 months)0.6% · Bottom 25%
Balance sheet
Debt / equity0.27× · Highest 25%
Valuation Multiplesvs Information Technology Services median · lower = cheaper
P/E (12 months)13.7× · Cheaper than median
P/B2.39× · book value is mostly goodwill ⓘGoodwill and other intangible assets are larger than the equity. The book value mainly reflects prices paid for past acquisitions, so we do not rank this P/B against the peer group.
P/S (12 months)1.49× · Pricier than median
Price / free cash flow (fiscal year)12.5× · Cheaper than median
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "CGI Inc Fair Value". https://www.fairvalue-calculator.com/stock/GIB
Frequently asked questions
Is CGI Inc (GIB) overvalued or undervalued?
As of Nov 9, 2026, our model estimates a fair value of $179.87 versus a price of $83.29, about +116% upside (undervalued).
What is the fair value of GIB?
Our model-based fair value for CGI Inc is $179.87 (as of Nov 9, 2026), built from audited fundamentals. The current price: $83.29.
What is the quality score of GIB?
CGI Inc has a Quality Score of 68/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for CGI Inc (GIB)?
Our model-based price target is the fair value of $179.87 (as of Nov 9, 2026) from 24 valuation models. Cautious scenario $102.45, optimistic scenario $224.83. It is a calculation from audited fundamentals, not an analyst target.
What is the CGI Inc stock forecast for 2026?
Our models put fair value at $179.87, about +116% upside versus a price of $83.29 (undervalued). Cautious scenario $102.45, optimistic scenario $224.83. The calculation is refreshed regularly with new filings.
What is the revenue of CGI Inc (GIB)?
CGI Inc reported trailing-twelve-month revenue of about C$16.4B (latest available figure, as of Nov 9, 2026).
Does CGI Inc pay a dividend?
CGI Inc currently shows a dividend yield of 0.56% relative to its recent price (as of Nov 9, 2026).
How much is the dividend of CGI Inc (GIB) and when is the ex-dividend date?
CGI Inc pays a dividend of $0.468 per share a year, a dividend yield of 0.6%. The last ex-dividend date was Aug 14, 2026. The payout ratio is 6.7% of earnings (on adjusted earnings, reported 7.3%). Free cash flow covers the dividend 16.27 times. Our assessment: Well covered. A low payout and the dividend is fully funded by free cash flow, a comfortable, sustainable dividend.
What growth is priced into CGI Inc (GIB)?
For today's price to be fair in a discounted-cash-flow model, CGI Inc would have to grow free cash flow by -1.3 % per year for five years (discount rate 8.1 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +5.5 % per year. As of Nov 9, 2026.
What discount rate (WACC) does the fair value of GIB use?
Our models discount CGI Inc at 8.1 %: a base by market capitalisation (large), damped by beta 0.19, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For CGI Inc that is -1.3 % per year for five years, then slowing evenly to 2 % by year ten, using the same discount rate (8.1 %) and the same formula as our fair value.
How much growth has CGI Inc (GIB) delivered so far?
Over the past 5 years revenue at CGI Inc grew +5.5 % a year. The price currently implies free-cash-flow growth of -1.3 % per year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of CGI Inc (GIB) growing?
The median revenue growth in the sector is +11.5 % a year. That is the yardstick for the growth priced into CGI Inc (-1.3 % per year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of CGI Inc (GIB)?
The free-cash-flow yield on the price is 8.01 %: that much free cash flow CGI Inc produces per unit of market value. When it exceeds the discount rate of our models (8.1 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of CGI Inc (GIB)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For CGI Inc it is $179.87 per share (as of Nov 9, 2026), against a price of $83.29. It is the blended result of 24 valuation models in 7 families (DCF Models, Earnings-Based, Dividend Discount, Multiples, Growth DCF, Economic Profit, Growth Earnings).
Is CGI Inc stock overvalued or undervalued in 2026?
As of Nov 9, 2026, GIB trades below its calculated fair value: price $83.29, fair value $179.87, a gap of about +116% (undervalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of GIB?
No. The price is what the market pays today ($83.29); the fair value is what the company's own numbers justify ($179.87). For CGI Inc the two are $96.58 per share apart. That gap is exactly why we show both numbers side by side.
How much is CGI Inc worth?
The market values CGI Inc at about $17.4B (market capitalisation, as of Nov 9, 2026). Per share that is $83.29; our models calculate a fair value of $179.87 per share.
What do the bullish and bearish scenarios say about GIB?
Our models span a range for CGI Inc: cautious scenario $102.45, base $179.87, optimistic $224.83 per share (as of Nov 9, 2026, price $83.29). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of GIB?
CGI Inc trades at a price-to-earnings ratio of 13.7 (as of Nov 9, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of $179.87 is built from several models across several years. Excluding one-off items of fiscal year 2025 it is 14.2 (reported for FY2025: 15.4). Median P/E at fiscal year-end, 10 fiscal years (2016 to 2025), reported earnings, 4 of the years ex one-offs: 19.5. Other multiples: PEG 0.9, P/B 2.4, P/S 1.5, EV/EBITDA 9.1.
What is the PEG ratio of GIB?
The PEG ratio of CGI Inc is 0.94 (P/E divided by earnings growth, as of Nov 9, 2026). That is below 1, so growth is priced more cheaply than the earnings multiple alone suggests.
How solid is the balance sheet of CGI Inc (GIB)?
Balance-sheet figures for CGI Inc (as of Nov 9, 2026): return on equity 17.0%, debt of 0.27 per unit of equity. They feed the Quality Score of 68/100, which measures business quality independently of the share price.
How far is GIB from its 52-week high?
CGI Inc trades at $83.29, about 12% below its 52-week high of $94.31 and 36% above the low of $61.18 (as of Nov 6, 2026). Distance from the high says nothing about value: that is what the fair value of $179.87 is for.
Which stocks are comparable to CGI Inc?
From the same area (Technology) we also value International Business Machines Corporation, Accenture plc, Tata Consultancy Services Limited, Infosys Limited, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is CGI Inc stock attractive at the current price?
The data as of Nov 9, 2026: price $83.29, calculated fair value $179.87 (+116%), Quality Score 68/100, from 24 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of GIB calculated?
We run CGI Inc through 24 models from 7 families: DCF Models, Earnings-Based, Dividend Discount, Multiples, Growth DCF, Economic Profit, Growth Earnings. Every model gets the same audited fundamentals; the fair value of $179.87 builds on their evidence-weighted average, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.3% above its aggregate fair value. CGI Inc currently trades 54% below its own fair value, and the market average says nothing about that. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of CGI Inc (GIB)?
The closing price on Nov 6, 2026 was $83.29. Our model-based fair value is $179.87, about +116% upside (undervalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with CGI Inc right now?
The price is below even our cautious bear case ($102.45). The market is more pessimistic than our downside scenario. Solid quality (68/100) at a price below fair value, the discount is the argument here, not the business quality. A fairly wide model range ($102.45 to $224.83) leaves room in how you read the outcome.
Where does the earnings growth of CGI Inc (GIB) come from?
Earnings per share at CGI Inc grew +10.0 % a year from 2014 to 2025. Broken into its drivers: revenue per share +7.8 %, EBIT margin +3.0 %, tax rate +0.0 %, residual (interest, one-offs) −0.8 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of CGI Inc
How large is the market capitalisation of CGI Inc (GIB)?
The market capitalisation of CGI Inc is $17.4B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of CGI Inc (GIB)?
The price-to-sales ratio of CGI Inc is 1.42 (P/E × margin). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of CGI Inc (GIB)?
Earnings per share at CGI Inc are $6.01 (price ÷ EPS = P/E 13.7). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of CGI Inc (GIB)?
The dividend yield of CGI Inc is 0.6% (payout 6.7%, on adjusted earnings, reported 7.3%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of CGI Inc (GIB)?
The net margin of CGI Inc is 10.4% (fiscal year 2025). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of CGI Inc (GIB)?
The return on equity (ROE) of CGI Inc is 17.0% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of CGI Inc (GIB)?
On an EBIT basis the return on assets of CGI Inc is 14.5% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of CGI Inc (GIB)?
The operating margin of CGI Inc is 16.2% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at CGI Inc (GIB)?
Revenue at CGI Inc is growing +2.5% versus a year earlier (3y avg +7.7%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at CGI Inc (GIB)?
Earnings per share at CGI Inc are growing +22.5% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does CGI Inc (GIB) carry?
The net debt of CGI Inc is C$3.6B (fiscal year 2025, ≈ 1.8 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Broad data
Nov 9, 2026