$GIB-A.TO

CGI Launches Modern Human Capital Management Platform for State of Utah

CGI (GIB-A.TO, GIB) has launched its "modern, integrated" SaaS-based human capital management (HCM) and payroll platform for the State of Utah, it said on Thursday.The implementation replaces a fragmented legacy HR and payroll environment with the CGI Advantage Software-as-a-Service (SaaS) HCM solution, integrated with the state's existing CGI Advantage Financial Management solution, a statement noted. Through implementation of the new platform, the state has cut duplicate data entry, minimized manual handoffs, and streamlined processes across agencies, it also noted."The state has also gained enhanced visibility into its workforce operations, including improved position control, increased labor-cost transparency, and more advanced analytics and reporting capabilities to support informed decision-making across payroll, grants, and budget management," the company said in a statement.U.S.-listed shares of the company were last seen up 0.4% at US$66.53 in pre-market trading.

CGI Up 0.6% In US Premarket As IT and Telia In Agreement for Business Services Transfer and New Strategic Partnership

CGI (GIB-A.TO, GIB) and Telia signed an agreement for a business transaction and a strategic partnership, it said on Monday.Under the business deal, Telia's cloud and capacity services for enterprises, and IT end-user services in Finland, will be transferred to CGI, subject to customary regulatory approvals. Nearly 250 Telia employees will join CGI to support the ongoing development and delivery of these services, it said.The companies are launching a strategic partnership through which CGI will support Telia's business operations with "scalable, secure services that leverage cloud technology," while Telia will support CGI's growth through "secure data center infrastructure and network services," it said. Telia's Helsinki Datacenter is not included in the transaction, it added."The additional data center capacity that will become available to us - significant on a Nordic scale - and the high-security solutions available through this partnership help us meet clients' growing demand for secure and scalable IT environments that can handle enterprise AI integration," said CGI President of Finland, Poland and Baltics operations Niraj Sood.U.S.-listed shares of CGI were last seen up 0.6% at US$70 in pre-market trading.

CGI and Telia In Agreement For Business Services Transfer and New Strategic Partnership

CGI Wins Eight Year Services Agreement In Finland Valued At Between 48M and 80M Euros

CGI (GIB-A.TO) has been selected as the provider of development and maintenance services for Finland's Studyinfo, in an eight-year agreement valued at about 48 million to 80 million euros. the company said in a Friday news release.Studyinfo is the Finnish National Agency for Education's largest digital service entity by user volume. The deal with CGI is part of the agency's largest information and communications technology procurement to date.The Studyinfo service ecosystem provides up-to-date information on education and national services for competence development and verification. The procurement of the Studyinfo service ecosystem is the largest in the history of the Finnish National Agency for Education.CGI will be responsible for the development and maintenance of the Studyinfo service ecosystem. The development work will utilize CGI's AI-enabled Application Factory delivery model.

CGI Says Selected for Finnish National Agency for Education's largest ICT procurement to date

CGI Expands AI Capabilities in CGI Advantage Platform For Govt

CGI (GIB-A.TO) has expanded the AI capabilities within CGI Advantage, its enterprise resource planning (ERP) platform for state and local government, the company said on Thursday.The new capabilities include "Samantha", CGI Advantage's AI assistant, which answers questions, summarizes information, and guides users through processes using both baseline and client-specific documentation, it said.The AI capabilities will also flag next steps and potential issues based on real-time data and system activity, it added."Government organizations need AI capabilities that meet their requirements for transparency, accountability and policy alignment," said Surabhi Subramanyam, who heads government solutions at CGI. "CGI Advantage embeds AI directly into ERP processes with built-in controls for transparency, security, and oversight, enabling agencies to adopt AI responsibly while keeping people at the center of decision-making and delivering real operational value."CGI shares were last seen unchanged at US$65.40 in New York trading.

CGI Expanding Governed AI Capabilities For Government

CGI And Posti Expanding Strategic Partnership in Omnichannel Communications Solutions

CGI (GIB-A.TO, GIB) and Posti, one of the leading transportation and logistics companies in Finland, Sweden and the Baltics, have expanded their strategic partnership, it said on Tuesday.The eight-year agreement enables organizations to strengthen communication reach, delivery reliability and cost predictability through a cost-efficient omnichannel solution that combines digital and physical communication channels, the company said."Together with CGI, we can provide a solution that combines physical and digital services while bringing greater predictability and cost-efficiency to communications," said Vice-President, Strategy and Development at Postal Services Kimmo Salakka.CGI and Posti aim to bring new solutions to the market, built around the OmaPosti solution used by 2.7 million people in Finland, through this expanded partnership.Shares of CGI closed up 1.8% to $86.98 on Friday on the Toronto Stock Exchange.

CGI and Posti Expanding Strategic Partnership In Omnichannel Communications Solutions

CGI Expands Collaboration With Finnish Retailer Stockmann

CGI (GIB-A.TO) on Tuesday said it expanded its collaboration with Stockmann, a Finnish department store.CGI will help accelerate Stockmann's digital services development by modernizing its technologies and using AI-enabled solutions to improve delivery speed and development quality. In service production, potential disruptions will be proactivity identified and resolved using CGI DigiOps, a statement said."This agreement reflects the trust placed in CGI's ability to deliver business-critical IT services in the retail sector, supporting this targeted transformation. Our goal is to help Stockmann accelerate digital service development and achieve measurable business outcomes." said Peter Jantunen, who heads retail services at CGI.CGI shares were last seen down $2.12, to $87.31 on the Toronto Stock Exchange.Price: $87.46, Change: $-1.97, Percent Change: -2.20%

National Bank Says Sudden Leadership Change Suggests Board Disappointment With "Underperformance", But Adds "Quick Pivot" Is "Positive"

The sudden appointment of Tim Hurlebaus as President and CEO and member of the board at CGI (GIB-A.TO, GIB), effective immediately, "suggests the board's disappointment with CGI's underperformance", National Bank said Tuesday.While the CGI stock performance is unlike its peer group, it appears the company is looking to reset the narrative around growth, acquisitions, and AI with new leadership, the bank added, noting Hurlebaus has a track record of more than 35 years in IT consulting (20+ years with CGI), overseeing major segments for CGI such as U.S. Federal (President for six years), U.S. Commercial and State Government (President for nearly four years), and more recently the U.S., the U.K., and Australia operations as COO. "In particular, it appears he comes with deep operating and client facing experience, attributes that are essential to the current environment, particularly as it relates to potential AI disintermediation," National Bank said.Bottom line for National Bank, it added "while the move reflects the challenges and likely disappointment in CGI's recent performance, the quick pivot is positive in that the company is recognizing the need for change, and it would appear Hurlebaus has the attributes to address the current market changes, in particular, his deep client facing experience."National Bank continues to believe CGI is a premium operator with a compelling valuation (6.4x EV/EBITDA on FY26E). It maintains an Outperform and C$150 DCF-based price target (unchanged), which implies a valuation of 10.2x EV/EBITDA (unchanged) on its FY26 estimates.

National Bank Adds "Quick Pivot Is Positive" In That CGI Is "Recognizing the Need For Change"

National Bank Says Abrupt Change In Leadership Suggests the Board's Disappointment with CGI's Underperformance"

CGI Appoints Tim Hurlebaus As President and Chief Executive Officer

Independent IT and business consulting services firm CGI (NYSE: GIB and GIB-A.TO) is appointing Tim Hurlebaus as President and Chief Executive Officer and a member of the board, effective immediately, the company said Tuesday.For the past two years, Hurlebaus served as President and Chief Operating Officer with responsibility for CGI's operations across the United States, United Kingdom and Australia, which collectively represent nearly half of the company's annual revenue, the company noted.Hurlebaus succeeds Francois Boulanger who will be retiring after nearly 40 successful years in the IT services industry, 30 years at CGI, the company also noted.Shares in CGI lost $3.92 or 4.2% to $89.43 in Canada yesterday.

CGI Announcing Leadership Transition; Tim Hurlebaus appointed President and Chief Executive Officer

CGI Says Earned Microsoft Copilot Specialization to Accelerate AI Integration for Modern Workplaces

CIBC Lowers CGI's Price Target By C$5, Retains its Neutral Rating

CIBC Capital Markets retained its neutral rating on the shares of CGI (GIB-A.TO) but reduced its price target to C$107 from C$112 on Wednesday, after the company reported its second quarter results."We were surprised to see the stock down double-digits today following a 2% revenue miss and in-line adj. EBIT and adj. EPS," said CIBC in a note dated April 29. Commentary around delayed decision making in Europe is "incrementally negative" and bookings were down 4% Y/Y, and CIBC expects this could be impacting sentiment."We calculate an organic revenue decline in FQ2 of 3.6% Y/Y, improved from a 4.5% Y/Y decline last quarter but down from 0.4% growth in the year-ago quarter. We remain on the sidelines as AI disruption risk continues to be an overhang for CGI, but we see upside from improving government spending, faster-than-expected growth in its AI-integrated IP, and M&A. We retain our Neutral rating and reduce our price target to $107 (prior $112) as we slightly reduce our revenue estimates to reflect an incrementally weaker demand environment," CGI added in conclusion.Among key points, CIBC noted CGI is seeing delayed decision making in Europe. The company cited a weaker economy in Germany, slower government bookings in Finland, and uncertain manufacturing demand in France, CIBC noted. CIBC expects the conflict in the Middle East is a factor, with demand uncertainty in impacted verticals including manufacturing and airlines, as well as some impact to hardware supply chains.CGI also noted pockets of growth including managed services wins, the government and financial services verticals, and IP and AI-led engagements.CIBC noted CGI's U.S. Federal outlook was better than expected; that CGI is leveraging AI to reduce IP development costs and timelines; and that CGI's capital allocation priorities remain investing internally (including in AI), M&A, and buybacks.Price: $88.27, Change: $-1.51, Percent Change: -1.68%

CGI Price Target Cut to $110.00 at Stifel Canada, on More Conservative Growth Outlook

Stifel Canada on Thursday cut its price target on shares of CGI (GIB-A.TO) by $18.00 to $110.00 on a "more conservative growth outlook" after the company reported its second-quarter results.In a note, analyst Suthan Sukumar, who is maintaining a buy rating on the company, said his key takeaway from the results is CGI's reaffirmed expectations for improved organic growth over the fiscal year. "The bookings softness in the quarter doesn't help much with visibility, but appears transitory and was largely driven by European deal slippage that has already begun to normalize," Sukumar notes.Accelerated system integration and consulting (SI&C) bookings reflect stronger client spending intentions around AI and cyber. This, combined with a rebounding US Federal segment, robust public-sector demand, and sustaining financial services strength, help support a path to organic growth over the year. M&A also remains a potential upside catalyst.CGI now trades at a decade-plus trough P/E multiple of 9x. Stronger organic growth is the primary factor to support a re-rate, which may take time given a difficult macro backdrop, particularly in Europe (~50% of revenues), Sukumar adds.Price: $88.26, Change: $-1.52, Percent Change: -1.69%

CGI Downgraded to Sector Perform at RBC, Shares Fall 11% Following Q2 Results

CGI Inc. (GIB-A.TO, GIB) was downgraded to Sector Perform from Outperform at RBC Capital Markets.Analyst Paul Treiber lowered his price target on shares of the Montreal-based information technology consulting and software development company to $100 from $150.The stock declined $10.86, or 10.8%, to $89.78 on Wednesday following CGI's quarterly results."The 11% decline in CGI's shares following Q2 results shows that the market is becoming increasingly pessimistic in light of AI uncertainty," Treiber said in a note to clients."Even though CGI's shares are trading at multi-year valuation lows, we believe the probability of an upward valuation re-rating has declined," the analyst said."We believe pessimism regarding the potential AI-related headwind to IT services pricing and growth is likely to be sustained for a longer duration than we previously expected, particularly as CGI's organic growth has trended below our expectations," Treiber said."Over the last 10 quarters, CGI's organic growth has averaged below 99 bps below our estimates, and the company has experienced 7 quarters of negative organic growth," the analyst said."While a large portion of the shortfall stems from cyclical factors, we believe intensifying AI-related pricing deflation and substitution are potential headwinds to future organic growth."

CGI Downgraded To Sector Perform From Outperform Given Lower Implied Return To Its Target; Price Target Cut To C$100 From $150 at RBC