Analyst Keith Bachman of BMO Capital maintained a Hold rating on Genpact (G – Research Report), retaining the price target of $48.00.
Confident Investing Starts Here:
- Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions
- Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter
Keith Bachman has given his Hold rating due to a combination of factors related to Genpact’s strategic positioning and market performance. Genpact has introduced a new framework, GenpactNext, which focuses on integrating advanced technology through its new business segments, Advanced Technology Solutions (ATS) and Core Business Services. The ATS segment, in particular, is a focal point for investment and innovation, showing significant revenue per headcount and growth in client adoption.
Despite these positive developments, Bachman notes that the adoption of agentic AI solutions is still in its early stages, and pricing models are expected to evolve over time. While Genpact has set ambitious mid-term targets for revenue growth and margins, which could exceed current estimates, the company is still in the process of transitioning more revenues from its stable Core Business Services to the more dynamic ATS. As such, Bachman maintains a Hold rating, reflecting a balanced view of potential growth opportunities against the current execution and market conditions.