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Canadian Growth Stocks: CGI Group, CAE Inc., Fortis Inc. Stock and more.

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Topic: Growth Stocks

CGI GROUP INC. $55

CGI GROUP INC. $55 (Toronto symbol GIB.A; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 302.8 million; Market cap: $16.7 billion; Price-to-sales ratio: 1.6; No dividends paid; TSINetwork Rating: Extra Risk; www.cgi.com) is Canada’s largest provider of computer-outsourcing services.

In 2012, the company acquired U.K.-based computer-outsourcing firm Logica. Thanks to this purchase, clients in the U.K. accounted for 15% of CGI’s revenue in the latest quarter. However, the Logica deal also expanded its exposure to other parts of Europe: France (14% of revenue); Sweden (8%) and Finland (6%).

Logica’s expertise will continue to help CGI win contracts in Europe. For example, it recently received a new five-year deal from France’s La Banque Postale to help modernize its systems.

CGI Group is our top Aggressive buy for 2016.

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