Genpact (G) AI Stock Analysis

• Market Cap: $7.62B
• Dividend Yield: 1.48%
• Average Volume (3M): 1.55M
• Price to Earnings (P/E): 14.5
• Beta (1Y): 0.81
• Revenue Growth: 7.37%
• EPS Growth: -14.64%
• Country: US
• Employees: 145,000
• Sector: Technology
• Sector Strength: 94
• Industry: Information Technology Services
• EPS (TTM): 0.88
• Shares Outstanding: 174,270,080
• 10 Day Avg. Volume: 2,268,652
• 30 Day Avg. Volume: 1,547,042
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.14
• Enterprise Value/Revenue: 1.79
• Enterprise Value/Gross Profit: 5.06
• Enterprise Value/Ebitda: 10.38
• 1Y Price Target: $52.11
• Price Target Upside: 19.35% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 78 Outperform
• Price Target: $50.00 ▲(14.52% Upside)

Genpact's overall stock score reflects strong financial performance and positive earnings call highlights, supported by strategic initiatives in Advanced Technology Solutions. While technical indicators are neutral, the company's valuation is reasonable, and recent corporate events are expected to enhance strategic direction.

Positive Factors

AI and Technology

The Data & AI pipeline has tripled over the past year, and the AI 'Gigafactory' is now live across all Genpact verticals, with 45+ clients onboarded year-to-date.

Financial Performance

Genpact reported second-quarter results that came in above the high end of management’s guidance for revenue, gross margin, and adjusted EPS.

Growth Outlook

Genpact raised its full-year 2025 outlook for revenue, adjusted operating margin, and adjusted EPS.

Negative Factors

Market Conditions

Genpact seeks to ensure forecasts and expectations do not get ahead of fundamentals, stressing outlook prudence.

Valuation Concerns

Genpact shares are expected to open at an inexpensive valuation, reinforcing the attractiveness of the investment.

Genpact Business Overview & Revenue Model

Company Description

Genpact Limited provides business process outsourcing and information technology (IT) services in India, rest of Asia, North and Latin America, and Europe. It operates through three segments: Banking, Capital Markets and Insurance; Consumer Goods, Retail, Life Sciences and Healthcare; and High Tech, Manufacturing and Services. The company offers CFO advisory services; and environmental, social, and governance (ESG) services, such as data management, carbon accounting, human rights assessment, sustainability diligence, and ESG reporting. It also provides finance and accounting services, which include accounts payable, such as document management, invoice processing, approval and resolution management, and travel and expense processing; invoice-to-cash services, including customer master data management, credit and contract management, fulfillment, billing, collections, and dispute management services; record to report services comprising accounting, treasury, tax, product cost accounting, and closing and reporting services; financial planning and analysis consisting of budgeting, forecasting, and business performance reporting; and enterprise risk and compliance services, including operational risks and controls. In addition, the company provides supply chain advisory services, and after-sales services; sourcing and procurement services comprising direct and indirect strategic sourcing, category management, spend analytics, procurement operation, and master data management; and sales and commercial services, including campaign, order, and dispute management, lead generation, pricing, and promotion optimization. Further, it offers IT services, which comprise end-user computing support, infrastructure management, application production support, and database management services; and transformation services that include digital solutions, consulting services, and analytics services and solutions. The company was founded in 1997 and is based in Hamilton, Bermuda.

How the Company Makes Money

Genpact generates revenue primarily through its business process outsourcing (BPO) services, which include managing client operations across various industries. Key revenue streams include transaction-based services, consulting fees, and subscription-based services associated with its technology offerings. The company also benefits from long-term contracts with large enterprises, ensuring a consistent flow of income. Additionally, Genpact's strategic partnerships with technology providers enhance its service offerings and contribute to its revenue by integrating advanced solutions into client operations. Its focus on digital transformation services is also a significant factor driving growth, as more companies seek to modernize their processes and leverage data analytics for better decision-making.

Genpact Financial Statement Overview

Summary

Genpact exhibits strong financial health with consistent revenue growth and solid profit margins. The balance sheet reflects low leverage and strong equity, while cash flow metrics are positive, showcasing effective cash management and operational efficiency.

Income Statement

Genpact shows a strong financial performance with consistent revenue growth. The TTM revenue grew by 1.75% compared to the previous year-end, and EBIT margin is at 14.89%, reflecting efficient operations. Net profit margin remains healthy at 10.88%, indicating good profitability. However, the EBITDA margin slightly decreased to 17.21%, which suggests some pressure on operational efficiencies.

Balance Sheet

The balance sheet is stable with a moderate debt-to-equity ratio of 0.10, indicating low financial leverage. The equity ratio of 50.13% suggests a strong equity position relative to total assets. ROE is at 21.50%, demonstrating effective use of equity to generate profits. Improvements in liabilities and equity position are noted, contributing to a solid financial standing.

Cash Flow

Genpact's cash flow is robust, with a free cash flow growth rate of 12.77% in the TTM period, demonstrating strong cash generation capabilities. The operating cash flow to net income ratio is 1.29, indicating high-quality earnings. Free cash flow to net income is 1.14, highlighting efficient cash conversion from profits. Overall, cash flow management is strong, supporting operational and strategic initiatives.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.77B	4.48B	4.37B	4.02B	3.71B
Gross Profit	1.69B	1.57B	1.54B	1.43B	1.29B
EBITDA	843.57M	769.77M	639.50M	684.98M	612.14M
Net Income	513.67M	631.25M	353.40M	369.45M	308.28M
Balance Sheet
Total Assets	4.99B	4.81B	4.59B	4.98B	4.87B
Cash, Cash Equivalents and Short-Term Investments	671.61M	583.67M	646.76M	899.46M	680.44M
Total Debt	1.45B	1.50B	1.67B	1.97B	1.94B
Total Liabilities	2.60B	2.56B	2.76B	3.08B	3.04B
Stockholders Equity	2.39B	2.25B	1.83B	1.90B	1.83B
Cash Flow
Free Cash Flow	530.19M	432.04M	389.28M	637.03M	503.94M
Operating Cash Flow	615.42M	490.81M	443.67M	694.28M	584.31M
Investing Cash Flow	-105.96M	-78.94M	-36.59M	-122.75M	-266.40M
Financing Cash Flow	-424.85M	-483.00M	-571.40M	-332.88M	-92.01M

Genpact Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 43.66
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For G, the sentiment is Negative. The current price of 43.66 is below the 20-day moving average (MA) of 43.95, below the 50-day MA of 43.86, and below the 200-day MA of 45.82, indicating a bearish trend. The MACD of -0.27 indicates Negative momentum. The RSI at 48.71 is Neutral, neither overbought nor oversold. The STOCH value of 79.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for G.

Genpact Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WNS	79 Outperform	$3.21B	20.01	21.23%	―	1.94%	26.15%
G	78 Outperform	$7.62B	14.50	21.86%	1.48%	7.37%	-14.64%
DLB	77 Outperform	$6.95B	26.65	10.49%	1.82%	6.94%	24.05%
EPAM	76 Outperform	$8.87B	22.71	11.36%	―	9.73%	-0.29%
CACI	76 Outperform	$10.79B	21.87	13.49%	―	12.64%	19.79%
EXLS	72 Outperform	$6.92B	29.31	24.70%	―	15.15%	34.33%
Sector *	68 Neutral	¥242.18B	15.62	6.62%	2.44%	9.08%	2.46%

Genpact Corporate Events

Genpact Appoints Thimaya Subaiya to Board of Directors

On July 31, 2025, Genpact Limited announced the appointment of Thimaya Subaiya to its Board of Directors. Mr. Subaiya, currently an Executive Vice President at Cisco Systems, brings extensive experience in operations, security, and customer experience, which is expected to strengthen Genpact’s strategic direction and operational capabilities.

The most recent analyst rating on (G) stock is a Buy with a $55.00 price target. To see the full list of analyst forecasts on Genpact stock, see the G Stock Forecast page.

Genpact Appoints John Hinshaw to Board of Directors

On July 1, 2025, Genpact Limited announced the appointment of John Hinshaw to its Board of Directors. Mr. Hinshaw brings extensive experience from his previous roles, including Group Chief Operating Officer at HSBC Bank and various executive positions at Hewlett-Packard, Boeing, and Verizon Communications. This strategic appointment is expected to enhance Genpact’s leadership team and potentially influence its operational strategies and market positioning.

The most recent analyst rating on (G) stock is a Buy with a $55.00 price target. To see the full list of analyst forecasts on Genpact stock, see the G Stock Forecast page.

Genpact Holds Annual Shareholder Meeting in New York

On May 22, 2025, Genpact Limited held its annual general meeting of shareholders in New York, where three proposals were voted on. The shareholders elected the nominees to the Board of Directors, approved the executive compensation on a non-binding basis, and appointed KPMG Assurance and Consulting Services LLP as the company’s auditor.

The most recent analyst rating on (G) stock is a Buy with a $55.00 price target. To see the full list of analyst forecasts on Genpact stock, see the G Stock Forecast page.