CGI expands in Europe

Article Excerpt

CGI INC. $105 is your #1 Aggressive Buy for 2022. Through shares in the company (Toronto symbol GIB.A; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 239.7 million; Market cap: $25.2 billion; Price-to-sales ratio: 2.1; No dividends paid; TSINetwork Rating: Extra Risk; www.cgi.com) investors tap Canada’s largest provider of computer-outsourcing services. CGI helps clients automate routine functions such as accounting and buying supplies. That makes firms more efficient and lets them focus on their main businesses. The company has completed its acquisition of 70.6% of Umanis SA, a publicly traded French company that sells computer outsourcing services to clients in France, Spain, Luxembourg, Morocco and Switzerland. CGI now aims to buy the remaining 29.4% at the same price. In all, this purchase will cost $431.4 million. Using acquisitions to expand adds risk. However, Umanis will strengthen CGI’s operations in Western and Southern Europe, which accounts for 17% of its total revenue. CGI is your #1 Aggressive Buy for 2022. 2022…