Information Technology Services
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GIB vs IT
Revenue, margins, valuation, and 5-year total return — side by side.
Information Technology Services
GIB vs IT — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | ||
|---|---|---|
| Industry | Information Technology Services | Information Technology Services |
| Market Cap | $14.79B | $10.57B |
| Revenue (TTM) | $16.35B | $6.47B |
| Net Income (TTM) | $1.68B | $741M |
| Gross Margin | 20.5% | 68.2% |
| Operating Margin | 20.4% | 16.4% |
| Forward P/E | 7.4x | 11.9x |
| Total Debt | $4.47B | $3.62B |
| Cash & Equiv. | $864M | $1.72B |
GIB vs IT — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| CGI Inc. (GIB) | 100 | 106.8 | +6.8% |
| Gartner, Inc. (IT) | 100 | 129.7 | +29.7% |
Price return only. Dividends and distributions are not included.
Quick Verdict: GIB vs IT
Each card shows where this stock fits in a portfolio — not just who wins on paper.
GIB carries the broadest edge in this set and is the clearest fit for income & stability and growth exposure.
- Dividend streak 1 yrs, beta 0.52, yield 0.6%
- Rev growth 8.4%, EPS growth 0.5%, 3Y rev CAGR 7.7%
- Lower volatility, beta 0.52, Low D/E 43.5%, current ratio 0.99x
IT is the clearest fit if your priority is long-term compounding and valuation efficiency.
- 64.6% 10Y total return vs GIB's 57.0%
- PEG 0.45 vs GIB's 0.63
- PEG 0.45 vs 0.63
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | 8.4% revenue growth vs IT's 3.7% | |
| Value | PEG 0.45 vs 0.63 | |
| Quality / Margins | 11.4% margin vs GIB's 10.3% | |
| Stability / Safety | Beta 0.52 vs IT's 0.94, lower leverage | |
| Dividends | 0.6% yield; 1-year raise streak; the other pay no meaningful dividend | |
| Momentum (1Y) | -35.3% vs IT's -63.9% | |
| Efficiency (ROA) | 9.5% ROA vs GIB's 8.7%, ROIC 33.9% vs 19.5% |
GIB vs IT — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
Segment breakdown not available.
GIB vs IT — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
Income & Cash Flow (Last 12 Months)
IT leads this category, winning 4 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
GIB is the larger business by revenue, generating $16.3B annually — 2.5x IT's $6.5B. Profitability is closely matched — net margins range from 11.4% (IT) to 10.3% (GIB). On growth, GIB holds the edge at +3.6% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | ||
|---|---|---|
| RevenueTrailing 12 months | $16.3B | $6.5B |
| EBITDAEarnings before interest/tax | $3.9B | $1.3B |
| Net IncomeAfter-tax profit | $1.7B | $741M |
| Free Cash FlowCash after capex | $2.3B | $1.3B |
| Gross MarginGross profit ÷ Revenue | +20.5% | +68.2% |
| Operating MarginEBIT ÷ Revenue | +20.4% | +16.4% |
| Net MarginNet income ÷ Revenue | +10.3% | +11.4% |
| FCF MarginFCF ÷ Revenue | +13.9% | +19.4% |
| Rev. Growth (YoY)Latest quarter vs prior year | +3.6% | -1.5% |
| EPS Growth (YoY)Latest quarter vs prior year | +11.2% | +17.3% |
Valuation Metrics
GIB leads this category, winning 5 of 7 comparable metrics.
Valuation Metrics
At 12.6x trailing earnings, GIB trades at a 23% valuation discount to IT's 16.4x P/E. Adjusting for growth (PEG ratio), IT offers better value at 0.61x vs GIB's 1.07x — a lower PEG means you pay less per unit of expected earnings growth.
| Metric | ||
|---|---|---|
| Market CapShares × price | $14.8B | $10.6B |
| Enterprise ValueMkt cap + debt − cash | $17.4B | $12.5B |
| Trailing P/EPrice ÷ TTM EPS | 12.64x | 16.36x |
| Forward P/EPrice ÷ next-FY EPS est. | 7.41x | 11.94x |
| PEG RatioP/E ÷ EPS growth rate | 1.07x | 0.61x |
| EV / EBITDAEnterprise value multiple | 6.81x | 10.17x |
| Price / SalesMarket cap ÷ Revenue | 1.27x | 1.63x |
| Price / BookPrice ÷ Book value/share | 2.04x | 35.58x |
| Price / FCFMarket cap ÷ FCF | 10.28x | 8.99x |
Profitability & Efficiency
IT leads this category, winning 6 of 8 comparable metrics.
Profitability & Efficiency
IT delivers a 119.8% return on equity — every $100 of shareholder capital generates $120 in annual profit, vs $17 for GIB. GIB carries lower financial leverage with a 0.43x debt-to-equity ratio, signaling a more conservative balance sheet compared to IT's 11.31x.
| Metric | ||
|---|---|---|
| ROE (TTM)Return on equity | +16.6% | +119.8% |
| ROA (TTM)Return on assets | +8.7% | +9.5% |
| ROICReturn on invested capital | +19.5% | +33.9% |
| ROCEReturn on capital employed | +23.8% | +23.9% |
| Piotroski ScoreFundamental quality 0–9 | 5 | 5 |
| Debt / EquityFinancial leverage | 0.43x | 11.31x |
| Net DebtTotal debt minus cash | $3.6B | $1.9B |
| Cash & Equiv.Liquid assets | $864M | $1.7B |
| Total DebtShort + long-term debt | $4.5B | $3.6B |
| Interest CoverageEBIT ÷ Interest expense | 17.71x | 15.64x |
Total Returns (Dividends Reinvested)
GIB leads this category, winning 5 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in GIB five years ago would be worth $7,554 today (with dividends reinvested), compared to $6,746 for IT. Over the past 12 months, GIB leads with a -35.3% total return vs IT's -63.9%. The 3-year compound annual growth rate (CAGR) favors GIB at -12.1% vs IT's -19.6% — a key indicator of consistent wealth creation.
| Metric | ||
|---|---|---|
| YTD ReturnYear-to-date | -25.2% | -33.4% |
| 1-Year ReturnPast 12 months | -35.3% | -63.9% |
| 3-Year ReturnCumulative with dividends | -32.2% | -48.1% |
| 5-Year ReturnCumulative with dividends | -24.5% | -32.5% |
| 10-Year ReturnCumulative with dividends | +57.0% | +64.6% |
| CAGR (3Y)Annualised 3-year return | -12.1% | -19.6% |
Risk & Volatility
GIB leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
GIB is the less volatile stock with a 0.52 beta — it tends to amplify market swings less than IT's 0.94 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. GIB currently trades 61.9% from its 52-week high vs IT's 34.9% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | ||
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.52x | 0.94x |
| 52-Week HighHighest price in past year | $110.07 | $451.73 |
| 52-Week LowLowest price in past year | $61.91 | $139.18 |
| % of 52W HighCurrent price vs 52-week peak | +61.9% | +34.9% |
| RSI (14)Momentum oscillator 0–100 | 34.5 | 47.7 |
| Avg Volume (50D)Average daily shares traded | 440K | 1.5M |
Analyst Outlook
IT leads this category, winning 1 of 1 comparable metric.
Analyst Outlook
Wall Street rates GIB as "Buy" and IT as "Hold". Consensus price targets imply 19.9% upside for IT (target: $189) vs 2.8% for GIB (target: $70). GIB is the only dividend payer here at 0.64% yield — a key consideration for income-focused portfolios.
| Metric | ||
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Hold |
| Price TargetConsensus 12-month target | $70.00 | $189.30 |
| # AnalystsCovering analysts | 18 | 18 |
| Dividend YieldAnnual dividend ÷ price | +0.6% | — |
| Dividend StreakConsecutive years of raises | 1 | 2 |
| Dividend / ShareAnnual DPS | $0.60 | — |
| Buyback YieldShare repurchases ÷ mkt cap | +6.4% | +18.8% |
IT leads in 3 of 6 categories (Income & Cash Flow, Profitability & Efficiency). GIB leads in 3 (Valuation Metrics, Total Returns).
GIB vs IT: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is GIB or IT a better buy right now?
For growth investors, CGI Inc.
(GIB) is the stronger pick with 8. 4% revenue growth year-over-year, versus 3. 7% for Gartner, Inc. (IT). CGI Inc. (GIB) offers the better valuation at 12. 6x trailing P/E (7. 4x forward), making it the more compelling value choice. Analysts rate CGI Inc. (GIB) a "Buy" — based on 18 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — GIB or IT?
On trailing P/E, CGI Inc.
(GIB) is the cheapest at 12. 6x versus Gartner, Inc. at 16. 4x. On forward P/E, CGI Inc. is actually cheaper at 7. 4x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Gartner, Inc. wins at 0. 45x versus CGI Inc. 's 0. 63x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.
03Which is the better long-term investment — GIB or IT?
Over the past 5 years, CGI Inc.
(GIB) delivered a total return of -24. 5%, compared to -32. 5% for Gartner, Inc. (IT). Over 10 years, the gap is even starker: IT returned +64. 6% versus GIB's +57. 0%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — GIB or IT?
By beta (market sensitivity over 5 years), CGI Inc.
(GIB) is the lower-risk stock at 0. 52β versus Gartner, Inc. 's 0. 94β — meaning IT is approximately 81% more volatile than GIB relative to the S&P 500. On balance sheet safety, CGI Inc. (GIB) carries a lower debt/equity ratio of 43% versus 11% for Gartner, Inc. — giving it more financial flexibility in a downturn.
05Which is growing faster — GIB or IT?
By revenue growth (latest reported year), CGI Inc.
(GIB) is pulling ahead at 8. 4% versus 3. 7% for Gartner, Inc. (IT). On earnings-per-share growth, the picture is similar: CGI Inc. grew EPS 0. 5% year-over-year, compared to -39. 7% for Gartner, Inc.. Over a 3-year CAGR, GIB leads at 7. 7% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — GIB or IT?
Gartner, Inc.
(IT) is the more profitable company, earning 11. 2% net margin versus 10. 4% for CGI Inc. — meaning it keeps 11. 2% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: GIB leads at 20. 6% versus 15. 8% for IT. At the gross margin level — before operating expenses — IT leads at 67. 7%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is GIB or IT more undervalued right now?
The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.
By this metric, Gartner, Inc. (IT) is the more undervalued stock at a PEG of 0. 45x versus CGI Inc. 's 0. 63x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, CGI Inc. (GIB) trades at 7. 4x forward P/E versus 11. 9x for Gartner, Inc. — 4. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for IT: 19. 9% to $189. 30.
08Which pays a better dividend — GIB or IT?
In this comparison, GIB (0.
6% yield) pays a dividend. IT does not pay a meaningful dividend and should not be held primarily for income.
09Is GIB or IT better for a retirement portfolio?
For long-horizon retirement investors, CGI Inc.
(GIB) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 52), 0. 6% yield). Both have compounded well over 10 years (GIB: +57. 0%, IT: +64. 6%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between GIB and IT?
Both stocks operate in the Technology sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
GIB pays a dividend while IT does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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