ERIC vs. GIB: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ERIC and GIB, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
ERIC trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, GIB is a standard domestic listing.
| Symbol | ERIC | GIB |
|---|---|---|
| Company Name | Telefonaktiebolaget LM Ericsson (publ) | CGI Inc. |
| Country | Sweden | Canada |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry | Communications Equipment | IT Services |
| Market Capitalization | 32.45 billion USD | 19.43 billion USD |
| Exchange | NasdaqGS | NYSE |
| Listing Date | August 24, 1981 | October 7, 1998 |
| Security Type | ADR | Common Stock |
Historical Performance
This chart compares the performance of ERIC and GIB by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | ERIC | GIB |
|---|---|---|
| 5-Day Price Return | 0.65% | 1.31% |
| 13-Week Price Return | 26.48% | -6.03% |
| 26-Week Price Return | 13.56% | -19.36% |
| 52-Week Price Return | 6.36% | -19.10% |
| Month-to-Date Return | -2.96% | -0.25% |
| Year-to-Date Return | 3.43% | -22.58% |
| 10-Day Avg. Volume | 5.25M | 0.59M |
| 3-Month Avg. Volume | 6.46M | 0.49M |
| 3-Month Volatility | 40.31% | 24.26% |
| Beta | 0.73 | 0.67 |
Profitability
Return on Equity (TTM)
ERIC
26.66%
Communications Equipment Industry
- Max
- 31.28%
- Q3
- 24.67%
- Median
- 13.12%
- Q1
- 4.60%
- Min
- -12.73%
In the upper quartile for the Communications Equipment industry, ERIC’s Return on Equity of 26.66% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
GIB
16.37%
IT Services Industry
- Max
- 37.08%
- Q3
- 19.28%
- Median
- 14.70%
- Q1
- 6.70%
- Min
- -8.16%
GIB’s Return on Equity of 16.37% is on par with the norm for the IT Services industry, indicating its profitability relative to shareholder equity is typical for the sector.
Net Profit Margin (TTM)
ERIC
10.26%
Communications Equipment Industry
- Max
- 28.72%
- Q3
- 14.02%
- Median
- 5.41%
- Q1
- 2.50%
- Min
- -13.11%
ERIC’s Net Profit Margin of 10.26% is aligned with the median group of its peers in the Communications Equipment industry. This indicates its ability to convert revenue into profit is typical for the sector.
GIB
10.42%
IT Services Industry
- Max
- 17.01%
- Q3
- 11.02%
- Median
- 6.91%
- Q1
- 3.07%
- Min
- -5.13%
GIB’s Net Profit Margin of 10.42% is aligned with the median group of its peers in the IT Services industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin (TTM)
ERIC
14.74%
Communications Equipment Industry
- Max
- 33.69%
- Q3
- 15.81%
- Median
- 6.02%
- Q1
- 3.00%
- Min
- -4.94%
ERIC’s Operating Profit Margin of 14.74% is around the midpoint for the Communications Equipment industry, indicating that its efficiency in managing core business operations is typical for the sector.
GIB
14.09%
IT Services Industry
- Max
- 23.01%
- Q3
- 15.32%
- Median
- 9.57%
- Q1
- 4.91%
- Min
- -9.58%
GIB’s Operating Profit Margin of 14.09% is around the midpoint for the IT Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | ERIC | GIB |
|---|---|---|
| Return on Equity (TTM) | 26.66% | 16.37% |
| Return on Assets (TTM) | 8.77% | 8.80% |
| Net Profit Margin (TTM) | 10.26% | 10.42% |
| Operating Profit Margin (TTM) | 14.74% | 14.09% |
| Gross Profit Margin (TTM) | 47.62% | 16.41% |
Financial Strength
Current Ratio (MRQ)
ERIC
1.17
Communications Equipment Industry
- Max
- 3.28
- Q3
- 2.10
- Median
- 1.52
- Q1
- 1.17
- Min
- 0.91
ERIC’s Current Ratio of 1.17 aligns with the median group of the Communications Equipment industry, indicating that its short-term liquidity is in line with its sector peers.
GIB
0.99
IT Services Industry
- Max
- 3.02
- Q3
- 1.91
- Median
- 1.36
- Q1
- 1.02
- Min
- 0.49
GIB’s Current Ratio of 0.99 falls into the lower quartile for the IT Services industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio (MRQ)
ERIC
0.43
Communications Equipment Industry
- Max
- 1.44
- Q3
- 0.96
- Median
- 0.43
- Q1
- 0.21
- Min
- 0.00
ERIC’s Debt-to-Equity Ratio of 0.43 is typical for the Communications Equipment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
GIB
0.42
IT Services Industry
- Max
- 2.55
- Q3
- 1.30
- Median
- 0.55
- Q1
- 0.14
- Min
- 0.00
GIB’s Debt-to-Equity Ratio of 0.42 is typical for the IT Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
ERIC
3.82
Communications Equipment Industry
- Max
- 55.49
- Q3
- 34.19
- Median
- 8.92
- Q1
- 3.73
- Min
- -9.94
ERIC’s Interest Coverage Ratio of 3.82 is positioned comfortably within the norm for the Communications Equipment industry, indicating a standard and healthy capacity to cover its interest payments.
GIB
11.09
IT Services Industry
- Max
- 129.00
- Q3
- 56.00
- Median
- 11.69
- Q1
- 1.68
- Min
- -28.15
GIB’s Interest Coverage Ratio of 11.09 is positioned comfortably within the norm for the IT Services industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | ERIC | GIB |
|---|---|---|
| Current Ratio (MRQ) | 1.17 | 0.99 |
| Quick Ratio (MRQ) | 0.94 | 0.68 |
| Debt-to-Equity Ratio (MRQ) | 0.43 | 0.42 |
| Interest Coverage Ratio (TTM) | 3.82 | 11.09 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
ERIC
2.99%
Communications Equipment Industry
- Max
- 2.99%
- Q3
- 2.30%
- Median
- 0.91%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 2.99%, ERIC offers a more attractive income stream than most of its peers in the Communications Equipment industry, signaling a strong commitment to shareholder returns.
GIB
0.51%
IT Services Industry
- Max
- 4.66%
- Q3
- 2.02%
- Median
- 0.66%
- Q1
- 0.00%
- Min
- 0.00%
GIB’s Dividend Yield of 0.51% is consistent with its peers in the IT Services industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio (TTM)
ERIC
45.50%
Communications Equipment Industry
- Max
- 111.16%
- Q3
- 61.16%
- Median
- 30.78%
- Q1
- 0.00%
- Min
- 0.00%
ERIC’s Dividend Payout Ratio of 45.50% is within the typical range for the Communications Equipment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
GIB
8.14%
IT Services Industry
- Max
- 93.78%
- Q3
- 63.22%
- Median
- 24.64%
- Q1
- 0.00%
- Min
- 0.00%
GIB’s Dividend Payout Ratio of 8.14% is within the typical range for the IT Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | ERIC | GIB |
|---|---|---|
| Dividend Yield (TTM) | 2.99% | 0.51% |
| Dividend Payout Ratio (TTM) | 45.50% | 8.14% |
Valuation
Price-to-Earnings Ratio (TTM)
ERIC
12.67
Communications Equipment Industry
- Max
- 74.67
- Q3
- 56.42
- Median
- 31.00
- Q1
- 15.93
- Min
- 3.89
In the lower quartile for the Communications Equipment industry, ERIC’s P/E Ratio of 12.67 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
GIB
15.93
IT Services Industry
- Max
- 45.03
- Q3
- 30.25
- Median
- 21.01
- Q1
- 16.50
- Min
- 0.00
In the lower quartile for the IT Services industry, GIB’s P/E Ratio of 15.93 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
Price-to-Sales Ratio (TTM)
ERIC
1.30
Communications Equipment Industry
- Max
- 11.84
- Q3
- 5.68
- Median
- 2.55
- Q1
- 1.24
- Min
- 0.40
ERIC’s P/S Ratio of 1.30 aligns with the market consensus for the Communications Equipment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
GIB
1.66
IT Services Industry
- Max
- 5.24
- Q3
- 4.01
- Median
- 2.18
- Q1
- 1.08
- Min
- 0.00
GIB’s P/S Ratio of 1.66 aligns with the market consensus for the IT Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio (MRQ)
ERIC
2.55
Communications Equipment Industry
- Max
- 6.02
- Q3
- 6.01
- Median
- 3.83
- Q1
- 2.41
- Min
- 0.42
ERIC’s P/B Ratio of 2.55 is within the conventional range for the Communications Equipment industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
GIB
2.66
IT Services Industry
- Max
- 9.42
- Q3
- 5.79
- Median
- 3.70
- Q1
- 2.30
- Min
- 0.79
GIB’s P/B Ratio of 2.66 is within the conventional range for the IT Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | ERIC | GIB |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 12.67 | 15.93 |
| Price-to-Sales Ratio (TTM) | 1.30 | 1.66 |
| Price-to-Book Ratio (MRQ) | 2.55 | 2.66 |
| Price-to-Free Cash Flow Ratio (TTM) | 10.27 | 14.16 |