CGI (MEX:GIBAN) Interest Coverage: 19.88 (As of Mar. 2026) — 16% Below Median


MEX:GIBAN CGI Inc MEX:GIBAN
77 GF Score
Price MXN1,608.57
GF Value MXN3,186.74
! 2 Warning Signs
View Full Analysis

What is CGI Interest Coverage?

CGI MEX:GIBAN 77 Interest Coverage is 19.88 as of Mar. 2026, which is 16% below its 10-year median of 23.78. GuruFocus rates MEX:GIBAN with a GF Score™ of 77/100 and a GF Value™ of MXN3,186.74. The stock has 2 warning signs investors should review. Among 1,707 Software companies, CGI ranks worse than 54.31% on this metric.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. CGI's Operating Income for the three months ended in Mar. 2026 was MXN9,090 Mil. CGI's Interest Expense for the three months ended in Mar. 2026 was MXN-457 Mil. CGI's interest coverage for the quarter that ended in Mar. 2026 was 19.88. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for CGI's Interest Coverage or its related term are showing as below:

MEX:GIBAN' s Interest Coverage Range Over the Past 10 Years
Min: 17   Med: 23.78   Max: 28.5
Current: 19.63


MEX:GIBAN's Interest Coverage is ranked worse than
54.31% of 1707 companies
in the Software industry
Industry Median: 24.65 vs MEX:GIBAN: 19.63

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.


CGI  (MEX:GIBAN) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .


CGI Interest Coverage Related Terms


CGI Interest Coverage Historical Data

* Premium members only.

The historical data trend for CGI's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

CGI Interest Coverage Chart

CGI Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 18.99 24.08 26.36 28.50 21.94

CGI Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 25.36 19.82 18.81 20.05 19.88

MEX:GIBAN vs IBM, ACN, FISV: Interest Coverage Comparison

For the Information Technology Services subindustry, CGI's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


CGI Interest Coverage vs Software Industry

For the Software industry and Technology sector, CGI's Interest Coverage distribution charts can be found below:

* The bar in red indicates where CGI's Interest Coverage falls into.


MEX:GIBAN
77GF Score
CGI Inc MEX:GIBAN
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

CGI Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

CGI's Interest Coverage for the fiscal year that ended in Sep. 2025 is calculated as

Here, for the fiscal year that ended in Sep. 2025, CGI's Interest Expense was MXN-1,578 Mil. Its Operating Income was MXN34,631 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN43,931 Mil.

Interest Coverage=-1* Operating Income (A: Sep. 2025 )/Interest Expense (A: Sep. 2025 )
=-1*34630.784/-1578.246
=21.94

CGI's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, CGI's Interest Expense was MXN-457 Mil. Its Operating Income was MXN9,090 Mil. And its Long-Term Debt & Capital Lease Obligation was MXN43,172 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*9089.598/-457.284
=19.88

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 19.88 mean?
CGI (MEX:GIBAN) has a Interest Coverage of 19.88 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on CGI and its competitors. This is 16% below median its historical median of 23.78. Over the past decade, CGI's Interest Coverage has ranged from 17.00 to 28.50. According to the industry distribution chart, CGI ranks #927 out of 1707 companies in the Software industry, placing it in the top 54.3%.
Is CGI's Interest Coverage too high?
CGI's current Interest Coverage of 19.88 is 16% below median its 10-year median of 23.78. Over the past 10 years, this metric has ranged from a low of 17.00 to a high of 28.50. The Software industry median Interest Coverage is 24.65. CGI's value of 19.88 is 19.4% below this industry median. Based on the distribution chart, CGI ranks #927 out of 1707 companies in the Software industry, which is below the industry midpoint. Overall, CGI has a GF Score™ of 77/100, reflecting its overall financial health beyond just this single metric.
How does CGI's Interest Coverage compare to IBM and ACN?
According to the Software industry distribution chart, CGI ranks #927 out of 1707 companies for Interest Coverage. This places CGI in the lower half of its industry. The industry median Interest Coverage is 24.65. CGI's value of 19.88 is 19.4% below this benchmark. Historically, CGI's own Interest Coverage has ranged from 17.00 to 28.50 over the past decade. While the company's 10-year median is 23.78 vs. the industry median of 24.65, CGI has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Software company?
The median Interest Coverage among Software companies is 24.65, based on 1,707 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. CGI's current Interest Coverage of 19.88 is 19.4% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on CGI and its competitors. For the Software industry, the median Interest Coverage is 24.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. CGI's current Interest Coverage is 19.88, which is 16% below median its own 10-year median of 23.78. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is CGI stock overvalued right now?
CGI (MEX:GIBAN) has a current Interest Coverage of 19.88. The stock's GF Value™ is MXN3,186.74, compared to a current price of MXN1,608.57 — trading 49.5% below its estimated fair value. The current Interest Coverage is 19.88, which is 16% below median its 10-year median of 23.78 and 19.4% below the Software industry median of 24.65. CGI's overall GF Score™ is 77/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For CGI (MEX:GIBAN), the current Interest Coverage is 19.88 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is CGI (MEX:GIBAN) Overvalued in 2026?

Based on GuruFocus' analysis, CGI stock appears to be undervalued. The current stock price of MXN1,608.57 is trading 49.5% below its estimated GF Value™ of MXN3,186.74.

Key valuation signals for MEX:GIBAN:

  • Interest Coverage: 19.88 (16% below median its 10-year median of 23.78)
  • GF Value™: MXN3,186.74 vs. price of MXN1,608.57 (49.5% below fair value)
  • GF Score™: 77/100 with 2 warning signs
  • Industry Position: 19.4% below the Software median (#927 of 1707)

No single metric tells the full story. See the MEX:GIBAN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


CGI Business Description

Address 1350 Rene-Levesque Boulevard West, 25th Floor, Affaires Corporatives, Montreal, QC, CAN, H3G 1T4
CGI is a Canada-based IT-services provider with an embedded position in North America and Europe. The company is one of the major IT suppliers to different levels of government around the world. It offers a broad portfolio of services such as consulting, systems integration, application maintenance, and business process services to governments and the private sector. With offices in over 40 countries, CGI follows a balanced global delivery model with most consultants in client proximity.
77GF Score

Get the complete analysis for MEX:GIBAN

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

MXN1,608.57
Price
MXN3,186.74
GF Value