Topic: How To Invest

The Successful Investor Hotline – Friday, November 10, 2023

Article Excerpt

CGI INC., $137.75, Toronto symbol GIB.A, is your #1 Aggressive Buy for 2023. The stock lets investors tap Canada’s largest provider of computer outsourcing services. It helps its clients automate certain routine functions like accounting and buying supplies. That makes companies more efficient and lets them focus on their main businesses. The company’s revenue in its fiscal 2023 fourth quarter, ended September 30, 2023, rose 8.0%, to $3.51 billion from $3.25 billion a year earlier. However, that missed the consensus forecast of $3.57 billion. If you factor out currency rates, revenue rose 2.2% in the latest quarter compared to a 6.3% gain in the fiscal 2023 third quarter. CGI recently began a cost optimization plan, which includes job cuts and selling surplus real estate. In the latest quarter, costs related to these initiatives totalled $9.0 million. (The company expects an additional $65.0 million in restructuring expenses in the first half of fiscal 2024.) If you exclude those restructuring costs and other unusual items,…