CI&T (CINT) Stock Forecast & Price Target

CI&T is benefiting from accelerating organic growth, with FY26 revenue guidance raised to $555.8 million-$575.3 million and 3Q26 revenue guided to at least $145.7 million, both supported by broad-based demand and stronger performance in top accounts. Its AI strategy is increasingly translating into fundamentals, as gross margin improved sequentially to 32.4% from 30.6%, around 20% of new sales now use value-based pricing, and management expects further gross margin expansion from productivity gains and operating leverage. While near-term EBITDA and earnings remain pressured by FX and deliberate sales investment, the company’s strong Brazil franchise, deep enterprise customer base, and exposure to recovering discretionary IT spend in Latin America support a constructive long-term outlook.

CI&T is facing a weaker fundamental setup because its FY26 EBITDA margin guide was cut by 2 points to 15%-17% after 1Q pressure, reflecting a sharp 230 bps FX hit in 2Q and another 280 bps of incremental investment spending that compressed 1H26 profitability. Although revenue grew 14.1% y/y on a constant-currency basis, reported growth remains distorted by BRL volatility, while pipeline conversion has lagged despite a 40% pipeline expansion and 40% of new 1H26 sales coming from new commercial models, suggesting demand quality is not yet translating into earnings. The outlook is further pressured by Brazil-focused exposure, rising payroll tax costs that could lift labor expense toward ~20% of revenue by 2028, and a still-aggressive hiring plan that has not yet delivered enough revenue per employee to offset margin dilution.