Genpact (G) AI Stock Analysis

• Market Cap: $8.03B
• Dividend Yield: 1.48%
• Average Volume (3M): 1.61M
• Price to Earnings (P/E): 15.6
• Beta (1Y): 0.78
• Revenue Growth: 7.31%
• EPS Growth: -15.86%
• Country: US
• Employees: 145,000
• Sector: Technology
• Sector Strength: 87
• Industry: Information Technology Services
• EPS (TTM): 0.84
• Shares Outstanding: 174,874,360
• 10 Day Avg. Volume: 2,038,285
• 30 Day Avg. Volume: 1,614,499
• PEG Ratio: 0.13
• Price to Book (P/B): 2.81
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 14.65
• Enterprise Value/Market Cap: 1.16
• Enterprise Value/Revenue: 0.50
• Enterprise Value/Gross Profit: 5.46
• Enterprise Value/Ebitda: 2.84
• 1Y Price Target: $50.71
• Price Target Upside: 10.43% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 76 Outperform
• Price Target: $51.00 ▲(11.06%Upside)

Genpact's strong financial performance and strategic focus on Data-Tech-AI underpin its robust overall score. While technical indicators suggest caution, the company's effective management and strategic initiatives, including leadership enhancements and a strong pipeline, provide a solid foundation for future growth despite current market uncertainties.

Positive Factors

Financial Performance

Management stated that 2Q is trending above guidance and introduced MT (FY26 & FY27) targets that exceeded previous estimates.

Growth Strategy

The main focus was around its growing Advanced Technology Solutions segment, which it classifies as a combination of data and agentic AI solutions.

Negative Factors

Revenue Growth

Genpact lowered FY25 revenues from 6.2%-8.2% y/y CC growth to 2%-5% y/y CC growth.

Revenue Guidance

Genpact is meaningfully lowering its revenue growth guidance for FY25 primarily due to macroeconomic headwinds that resulted in a few very large deal delays.

Genpact Business Overview & Revenue Model

Company Description

Genpact is a global professional services firm that drives digital-led innovation and digitally-enabled intelligent operations for organizations across various industries. Headquartered in New York, Genpact leverages its expertise in digital transformation, analytics, and customer experience to help businesses streamline their operations and improve efficiency. The company serves clients in sectors such as banking and financial services, insurance, healthcare, life sciences, consumer goods, and manufacturing.

How the Company Makes Money

Genpact generates revenue primarily through long-term contractual agreements with its clients to provide business process outsourcing (BPO) and information technology (IT) services. The company offers a range of services including finance and accounting, procurement and supply chain management, risk management, and customer service. Additionally, Genpact's revenue streams are bolstered by its consulting and analytics services, which help clients optimize their digital transformations and operational efficiencies. Significant partnerships with technology providers and industry-specific expertise enable Genpact to expand its service offerings and deepen client engagements, contributing to its overall earnings.

Genpact Financial Statement Overview

Summary

Genpact exhibits strong financial health across all verticals. The income statement highlights consistent revenue growth and solid profit margins, while the balance sheet reflects low leverage and strong equity. Cash flow metrics are positive, showcasing effective cash management and operational efficiency. The company is well-positioned financially to support future growth and withstand potential market challenges.

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	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.25B	4.77B	4.48B	4.37B	4.02B	3.71B
Gross Profit	1.49B	1.69B	1.57B	1.54B	1.43B	1.29B
EBITDA	634.03M	843.57M	769.77M	639.50M	684.98M	612.14M
Net Income	343.32M	513.67M	631.25M	353.40M	369.45M	308.28M
Balance Sheet
Total Assets	4.74B	4.99B	4.81B	4.59B	4.98B	4.87B
Cash, Cash Equivalents and Short-Term Investments	478.40M	671.61M	583.67M	646.76M	899.46M	680.44M
Total Debt	1.54B	1.45B	1.50B	1.67B	1.97B	1.94B
Total Liabilities	2.44B	2.60B	2.56B	2.76B	3.08B	3.04B
Stockholders Equity	2.30B	2.39B	2.25B	1.83B	1.90B	1.83B
Cash Flow
Free Cash Flow	381.33M	530.19M	432.04M	389.28M	637.03M	503.94M
Operating Cash Flow	444.57M	615.42M	490.81M	443.67M	694.28M	584.31M
Investing Cash Flow	-122.77M	-105.96M	-78.94M	-36.59M	-122.75M	-266.40M
Financing Cash Flow	-559.65M	-424.85M	-483.00M	-571.40M	-332.88M	-92.01M

Genpact Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 45.92
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For G, the sentiment is Positive. The current price of 45.92 is above the 20-day moving average (MA) of 43.10, above the 50-day MA of 44.40, and above the 200-day MA of 44.93, indicating a bullish trend. The MACD of 0.16 indicates Negative momentum. The RSI at 63.25 is Neutral, neither overbought nor oversold. The STOCH value of 94.01 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for G.

Genpact Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DLB	78 Outperform	$7.26B	28.59	10.28%	1.75%	4.03%	34.45%
G	76 Outperform	$8.03B	15.63	22.21%	1.48%	7.31%	-15.86%
WNS	76 Outperform	$3.03B	16.83	21.21%	―	-0.64%	30.96%
CACI	74 Outperform	$10.75B	23.08	13.48%	―	14.16%	22.25%
CACI	74 Outperform	$10.75B	23.08	13.48%	―	14.16%	22.25%
EXLS	72 Outperform	$7.37B	34.19	23.81%	―	14.18%	21.49%
EPAM	71 Outperform	$10.36B	25.56	11.57%	―	4.72%	-3.06%
Sector *	49 Neutral	C$2.97B	2.15	-83.78%	2.54%	12.97%	-24.70%

Genpact Corporate Events

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.