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GDS vs. GIB: A Head-to-Head Stock Comparison

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Here’s a clear look at GDS and GIB, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

GDS 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.

SymbolGDSGIB
Company NameGDS Holdings LimitedCGI Inc.
CountryChinaCanada
GICS SectorInformation TechnologyInformation Technology
GICS IndustryIT ServicesIT Services
Market Capitalization5.75 billion USD19.43 billion USD
ExchangeNasdaqGMNYSE
Listing DateNovember 2, 2016October 7, 1998
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of GDS 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.

GDS vs. GIB: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolGDSGIB
5-Day Price Return-9.57%1.31%
13-Week Price Return-9.85%-6.03%
26-Week Price Return7.99%-19.36%
52-Week Price Return-19.97%-19.10%
Month-to-Date Return-13.70%-0.25%
Year-to-Date Return29.30%-22.58%
10-Day Avg. Volume5.28M0.59M
3-Month Avg. Volume10.11M0.49M
3-Month Volatility59.37%24.26%
Beta2.450.67

Profitability

Return on Equity (TTM)

GDS

19.17%

IT Services Industry

Max
37.08%
Q3
19.28%
Median
14.70%
Q1
6.70%
Min
-8.16%

GDS’s Return on Equity of 19.17% is on par with the norm for the IT Services industry, indicating its profitability relative to shareholder equity is typical for the sector.

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.

GDS vs. GIB: A comparison of their Return on Equity (TTM) against the IT Services industry benchmark.

Net Profit Margin (TTM)

GDS

42.87%

IT Services Industry

Max
17.01%
Q3
11.02%
Median
6.91%
Q1
3.07%
Min
-5.13%

GDS’s Net Profit Margin of 42.87% is exceptionally high, placing it well beyond the typical range for the IT Services industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

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.

GDS vs. GIB: A comparison of their Net Profit Margin (TTM) against the IT Services industry benchmark.

Operating Profit Margin (TTM)

GDS

22.44%

IT Services Industry

Max
23.01%
Q3
15.32%
Median
9.57%
Q1
4.91%
Min
-9.58%

An Operating Profit Margin of 22.44% places GDS in the upper quartile for the IT Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

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.

GDS vs. GIB: A comparison of their Operating Profit Margin (TTM) against the IT Services industry benchmark.

Profitability at a Glance

SymbolGDSGIB
Return on Equity (TTM)19.17%16.37%
Return on Assets (TTM)6.08%8.80%
Net Profit Margin (TTM)42.87%10.42%
Operating Profit Margin (TTM)22.44%14.09%
Gross Profit Margin (TTM)21.45%16.41%

Financial Strength

Current Ratio (MRQ)

GDS

2.00

IT Services Industry

Max
3.02
Q3
1.91
Median
1.36
Q1
1.02
Min
0.49

GDS’s Current Ratio of 2.00 is in the upper quartile for the IT Services industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its 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.

GDS vs. GIB: A comparison of their Current Ratio (MRQ) against the IT Services industry benchmark.

Debt-to-Equity Ratio (MRQ)

GDS

1.82

IT Services Industry

Max
2.55
Q3
1.30
Median
0.55
Q1
0.14
Min
0.00

GDS’s leverage is in the upper quartile of the IT Services industry, with a Debt-to-Equity Ratio of 1.82. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

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.

GDS vs. GIB: A comparison of their Debt-to-Equity Ratio (MRQ) against the IT Services industry benchmark.

Interest Coverage Ratio (TTM)

GDS

0.66

IT Services Industry

Max
129.00
Q3
56.00
Median
11.69
Q1
1.68
Min
-28.15

GDS’s Interest Coverage Ratio of 0.66 is a critical concern. A value below 1.0 means operating earnings are insufficient to cover interest expenses, indicating severe financial strain and high default risk.

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.

GDS vs. GIB: A comparison of their Interest Coverage Ratio (TTM) against the IT Services industry benchmark.

Financial Strength at a Glance

SymbolGDSGIB
Current Ratio (MRQ)2.000.99
Quick Ratio (MRQ)1.930.68
Debt-to-Equity Ratio (MRQ)1.820.42
Interest Coverage Ratio (TTM)0.6611.09

Growth

Revenue Growth

GDS vs. GIB: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

GDS vs. GIB: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

GDS

0.00%

IT Services Industry

Max
4.66%
Q3
2.02%
Median
0.66%
Q1
0.00%
Min
0.00%

GDS currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

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.

GDS vs. GIB: A comparison of their Dividend Yield (TTM) against the IT Services industry benchmark.

Dividend Payout Ratio (TTM)

GDS

0.00%

IT Services Industry

Max
93.78%
Q3
63.22%
Median
24.64%
Q1
0.00%
Min
0.00%

GDS has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

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.

GDS vs. GIB: A comparison of their Dividend Payout Ratio (TTM) against the IT Services industry benchmark.

Dividend at a Glance

SymbolGDSGIB
Dividend Yield (TTM)0.00%0.51%
Dividend Payout Ratio (TTM)0.00%8.14%

Valuation

Price-to-Earnings Ratio (TTM)

GDS

9.32

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, GDS’s P/E Ratio of 9.32 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.

GDS vs. GIB: A comparison of their Price-to-Earnings Ratio (TTM) against the IT Services industry benchmark.

Price-to-Sales Ratio (TTM)

GDS

3.99

IT Services Industry

Max
5.24
Q3
4.01
Median
2.18
Q1
1.08
Min
0.00

GDS’s P/S Ratio of 3.99 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.

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.

GDS vs. GIB: A comparison of their Price-to-Sales Ratio (TTM) against the IT Services industry benchmark.

Price-to-Book Ratio (MRQ)

GDS

1.61

IT Services Industry

Max
9.42
Q3
5.79
Median
3.70
Q1
2.30
Min
0.79

GDS’s P/B Ratio of 1.61 is in the lower quartile for the IT Services industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

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.

GDS vs. GIB: A comparison of their Price-to-Book Ratio (MRQ) against the IT Services industry benchmark.

Valuation at a Glance

SymbolGDSGIB
Price-to-Earnings Ratio (TTM)9.3215.93
Price-to-Sales Ratio (TTM)3.991.66
Price-to-Book Ratio (MRQ)1.612.66
Price-to-Free Cash Flow Ratio (TTM)--14.16