Uncover the hidden value in GENPACT LTD (NYSE:G) as our stock screening tool recommends it as an undervalued choice. NYSE:G maintains a robust financial position and offers an attractive pricing perspective. Let's dig deeper into the analysis.
Valuation Insights: NYSE:G
To assess a stock's valuation, ChartMill utilizes a Valuation Rating on a scale of 0 to 10. This comprehensive assessment considers various valuation aspects, comparing price to earnings and cash flows, while factoring in profitability and growth. NYSE:G has achieved a 7 out of 10:
- A Price/Earnings ratio of 10.85 indicates a reasonable valuation of G.
- Based on the Price/Earnings ratio, G is valued cheaper than 92.77% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 28.19. G is valued rather cheaply when compared to this.
- Based on the Price/Forward Earnings ratio of 9.75, the valuation of G can be described as reasonable.
- Based on the Price/Forward Earnings ratio, G is valued cheaply inside the industry as 90.36% of the companies are valued more expensively.
- The average S&P500 Price/Forward Earnings ratio is at 19.98. G is valued rather cheaply when compared to this.
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of G indicates a somewhat cheap valuation: G is cheaper than 78.31% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, G is valued cheaply inside the industry as 80.72% of the companies are valued more expensively.
- G has an outstanding profitability rating, which may justify a higher PE ratio.
Assessing Profitability for NYSE:G
Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, NYSE:G has achieved a 8:
- G has a better Return On Assets (13.55%) than 92.77% of its industry peers.
- Looking at the Return On Equity, with a value of 27.94%, G belongs to the top of the industry, outperforming 92.77% of the companies in the same industry.
- G has a Return On Invested Capital of 13.50%. This is amongst the best in the industry. G outperforms 84.34% of its industry peers.
- The 3 year average ROIC (11.94%) for G is below the current ROIC(13.50%), indicating increased profibility in the last year.
- Looking at the Profit Margin, with a value of 14.21%, G belongs to the top of the industry, outperforming 92.77% of the companies in the same industry.
- In the last couple of years the Profit Margin of G has grown nicely.
- G has a Operating Margin of 14.18%. This is in the better half of the industry: G outperforms 79.52% of its industry peers.
- G's Operating Margin has improved in the last couple of years.
Evaluating Health: NYSE:G
Every stock is evaluated by ChartMill, receiving a Health Rating on a scale of 0 to 10. This assessment considers different health aspects, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:G has achieved a 6 out of 10:
- G has an Altman-Z score of 3.35. This indicates that G is financially healthy and has little risk of bankruptcy at the moment.
- G has a Altman-Z score of 3.35. This is in the better half of the industry: G outperforms 62.65% of its industry peers.
- The Debt to FCF ratio of G is 3.05, which is a good value as it means it would take G, 3.05 years of fcf income to pay off all of its debts.
- A Debt/Equity ratio of 0.38 indicates that G is not too dependend on debt financing.
Growth Assessment of NYSE:G
Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. NYSE:G boasts a 4 out of 10:
- The Earnings Per Share has been growing by 10.61% on average over the past years. This is quite good.
- The Revenue has been growing by 8.33% on average over the past years. This is quite good.
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For an up to date full fundamental analysis you can check the fundamental report of G
Keep in mind
Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.