The Globe and Mail reports in its Friday edition that RBC's Paul Treiber has lowered his call for CGI to "sector perform" from "outperform." The Globe's David Leeder writes that Mr. Treiber cut his share target by $50 to $100. Analysts on average target the Class A shares at $143. In response to the 10.8-per-cent drop in CGI's share price following its second quarter earnings release on Wednesday, Mr. Treiber thinks "the market is becoming increasingly pessimistic in light of AI uncertainty." Mr. Treiber says in a note: "Even though CGI's shares are trading at multiyear valuation lows, we believe the probability of an upward valuation rerating has declined. CGI is trading at 9.6 times NTM [next 12-month] P/E, which is at the low end of its 10-year range (nine to 21 times range, 17 times average) and slightly below global IT services peers at 10 times. We believe pessimism regarding the potential AI-related headwind to IT services pricing and growth is likely to be sustained for a longer duration than we previously expected, particularly as CGI's organic growth has trended below our expectations. ... We believe intensifying AI-related pricing deflation and substitution are potential headwinds to future organic growth."