GENPACT LTD (G) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:G - BMG3922B1072 - Common Stock
46.22 USD
-1.22 (-2.57%)
46.22 USD
0 (0%)
Taking everything into account, G scores 7 out of 10 in our fundamental rating. G was compared to 88 industry peers in the IT Services industry. G gets an excellent profitability rating and is at the same time showing great financial health properties. G scores decently on growth, while it is valued quite cheap. This could make an interesting combination. With these ratings, G could be worth investigating further for value and quality investing!.
1. Profitability
1.1 Basic Checks
- G had positive earnings in the past year.
- G had a positive operating cash flow in the past year.
- In the past 5 years G has always been profitable.
- In the past 5 years G always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of G (10.28%) is better than 82.95% of its industry peers.
- With an excellent Return On Equity value of 21.67%, G belongs to the best of the industry, outperforming 85.23% of the companies in the same industry.
- G has a Return On Invested Capital of 14.49%. This is amongst the best in the industry. G outperforms 87.50% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for G is significantly below the industry average of 28.99%.
- The 3 year average ROIC (12.82%) for G is below the current ROIC(14.49%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.28% | ||
| ROE | 21.67% | ||
| ROIC | 14.49% |
ROA(3y)10.38%
ROA(5y)8.98%
ROE(3y)22.97%
ROE(5y)21.04%
ROIC(3y)12.82%
ROIC(5y)11.64%
1.3 Margins
- With an excellent Profit Margin value of 11.01%, G belongs to the best of the industry, outperforming 80.68% of the companies in the same industry.
- G's Profit Margin has improved in the last couple of years.
- G has a better Operating Margin (14.87%) than 79.55% of its industry peers.
- In the last couple of years the Operating Margin of G has grown nicely.
- G has a Gross Margin of 35.82%. This is comparable to the rest of the industry: G outperforms 55.68% of its industry peers.
- In the last couple of years the Gross Margin of G has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.87% | ||
| PM (TTM) | 11.01% | ||
| GM | 35.82% |
OM growth 3Y5.04%
OM growth 5Y3.32%
PM growth 3Y5.47%
PM growth 5Y4.47%
GM growth 3Y-0.14%
GM growth 5Y0.36%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so G is still creating some value.
- Compared to 1 year ago, G has less shares outstanding
- Compared to 5 years ago, G has less shares outstanding
- Compared to 1 year ago, G has an improved debt to assets ratio.
2.2 Solvency
- G has an Altman-Z score of 3.61. This indicates that G is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of G (3.61) is better than 61.36% of its industry peers.
- The Debt to FCF ratio of G is 1.90, which is an excellent value as it means it would take G, only 1.90 years of fcf income to pay off all of its debts.
- G has a Debt to FCF ratio of 1.90. This is in the better half of the industry: G outperforms 72.73% of its industry peers.
- A Debt/Equity ratio of 0.33 indicates that G is not too dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.33, G is in line with its industry, outperforming 52.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 1.9 | ||
| Altman-Z | 3.61 |
ROIC/WACC1.66
WACC8.71%
2.3 Liquidity
- G has a Current Ratio of 1.51. This is a normal value and indicates that G is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.51, G is in line with its industry, outperforming 43.18% of the companies in the same industry.
- A Quick Ratio of 1.51 indicates that G should not have too much problems paying its short term obligations.
- G has a Quick ratio of 1.51. This is comparable to the rest of the industry: G outperforms 45.45% of its industry peers.
- G does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.51 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 15.38% over the past year.
- G shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.38% yearly.
- The Revenue has been growing slightly by 7.39% in the past year.
- The Revenue has been growing slightly by 6.25% on average over the past years.
EPS 1Y (TTM)15.38%
EPS 3Y9.42%
EPS 5Y9.38%
EPS Q2Q%14.12%
Revenue 1Y (TTM)7.39%
Revenue growth 3Y5.83%
Revenue growth 5Y6.25%
Sales Q2Q%6.63%
3.2 Future
- The Earnings Per Share is expected to grow by 11.98% on average over the next years. This is quite good.
- The Revenue is expected to grow by 7.05% on average over the next years.
EPS Next Y15%
EPS Next 2Y12.02%
EPS Next 3Y11.98%
EPS Next 5YN/A
Revenue Next Year6.79%
Revenue Next 2Y6.85%
Revenue Next 3Y7.05%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 12.84, G is valued correctly.
- Based on the Price/Earnings ratio, G is valued cheaper than 84.09% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.54. G is valued rather cheaply when compared to this.
- A Price/Forward Earnings ratio of 11.47 indicates a reasonable valuation of G.
- 86.36% of the companies in the same industry are more expensive than G, based on the Price/Forward Earnings ratio.
- When comparing the Price/Forward Earnings ratio of G to the average of the S&P500 Index (24.31), we can say G is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.84 | ||
| Fwd PE | 11.47 |
4.2 Price Multiples
- G's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. G is cheaper than 80.68% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, G is valued cheaply inside the industry as 85.23% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.41 | ||
| EV/EBITDA | 10.07 |
4.3 Compensation for Growth
- G's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- G has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.86
PEG (5Y)1.37
EPS Next 2Y12.02%
EPS Next 3Y11.98%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.43%, G has a reasonable but not impressive dividend return.
- G's Dividend Yield is rather good when compared to the industry average which is at 0.43. G pays more dividend than 86.36% of the companies in the same industry.
- G's Dividend Yield is slightly below the S&P500 average, which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.43% |
5.2 History
- The dividend of G is nicely growing with an annual growth rate of 12.42%!
- G has been paying a dividend for at least 10 years, so it has a reliable track record.
- G has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)12.42%
Div Incr Years7
Div Non Decr Years7
5.3 Sustainability
- G pays out 20.93% of its income as dividend. This is a sustainable payout ratio.
- The dividend of G is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP20.93%
EPS Next 2Y12.02%
EPS Next 3Y11.98%
46.22
-1.22 (-2.57%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)11-06 2025-11-06/amc
Earnings (Next)02-05 2026-02-05/amc
Inst Owners98.82%
Inst Owner Change-0.34%
Ins Owners0.94%
Ins Owner Change2.19%
Market Cap7.97B
Revenue(TTM)5.01B
Net Income(TTM)551.32M
Analysts76
Price Target51.6 (11.64%)
Short Float %4.22%
Short Ratio3.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.43% |
Yearly Dividend0.61
Dividend Growth(5Y)12.42%
DP20.93%
Div Incr Years7
Div Non Decr Years7
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.31%
Min EPS beat(2)0.75%
Max EPS beat(2)5.88%
EPS beat(4)4
Avg EPS beat(4)3.44%
Min EPS beat(4)0.75%
Max EPS beat(4)5.88%
EPS beat(8)7
Avg EPS beat(8)3.69%
EPS beat(12)11
Avg EPS beat(12)3.09%
EPS beat(16)15
Avg EPS beat(16)4.04%
Revenue beat(2)1
Avg Revenue beat(2)-0.13%
Min Revenue beat(2)-0.28%
Max Revenue beat(2)0.02%
Revenue beat(4)1
Avg Revenue beat(4)-0.5%
Min Revenue beat(4)-1.39%
Max Revenue beat(4)0.02%
Revenue beat(8)4
Avg Revenue beat(8)-0.1%
Revenue beat(12)4
Avg Revenue beat(12)-0.94%
Revenue beat(16)7
Avg Revenue beat(16)-0.52%
PT rev (1m)1.38%
PT rev (3m)-2.92%
EPS NQ rev (1m)-0.05%
EPS NQ rev (3m)0.54%
EPS NY rev (1m)-0.02%
EPS NY rev (3m)2.04%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.6%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)0.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.84 | ||
| Fwd PE | 11.47 | ||
| P/S | 1.59 | ||
| P/FCF | 12.41 | ||
| P/OCF | 10.93 | ||
| P/B | 3.13 | ||
| P/tB | 11.56 | ||
| EV/EBITDA | 10.07 |
EPS(TTM)3.6
EY7.79%
EPS(NY)4.03
Fwd EY8.72%
FCF(TTM)3.73
FCFY8.06%
OCF(TTM)4.23
OCFY9.15%
SpS29.05
BVpS14.76
TBVpS4
PEG (NY)0.86
PEG (5Y)1.37
Graham Number34.58
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.28% | ||
| ROE | 21.67% | ||
| ROCE | 19.09% | ||
| ROIC | 14.49% | ||
| ROICexc | 17.9% | ||
| ROICexgc | 43.41% | ||
| OM | 14.87% | ||
| PM (TTM) | 11.01% | ||
| GM | 35.82% | ||
| FCFM | 12.82% |
ROA(3y)10.38%
ROA(5y)8.98%
ROE(3y)22.97%
ROE(5y)21.04%
ROIC(3y)12.82%
ROIC(5y)11.64%
ROICexc(3y)15.47%
ROICexc(5y)14.31%
ROICexgc(3y)35.91%
ROICexgc(5y)36.08%
ROCE(3y)17.13%
ROCE(5y)15.64%
ROICexgc growth 3Y-10.54%
ROICexgc growth 5Y5.29%
ROICexc growth 3Y4.25%
ROICexc growth 5Y8.42%
OM growth 3Y5.04%
OM growth 5Y3.32%
PM growth 3Y5.47%
PM growth 5Y4.47%
GM growth 3Y-0.14%
GM growth 5Y0.36%
F-Score7
Asset Turnover0.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 1.9 | ||
| Debt/EBITDA | 1 | ||
| Cap/Depr | 93.25% | ||
| Cap/Sales | 1.74% | ||
| Interest Coverage | 11.07 | ||
| Cash Conversion | 87.01% | ||
| Profit Quality | 116.51% | ||
| Current Ratio | 1.51 | ||
| Quick Ratio | 1.51 | ||
| Altman-Z | 3.61 |
F-Score7
WACC8.71%
ROIC/WACC1.66
Cap/Depr(3y)62.36%
Cap/Depr(5y)54.31%
Cap/Sales(3y)1.45%
Cap/Sales(5y)1.59%
Profit Quality(3y)93.94%
Profit Quality(5y)123.55%
High Growth Momentum
Growth
EPS 1Y (TTM)15.38%
EPS 3Y9.42%
EPS 5Y9.38%
EPS Q2Q%14.12%
EPS Next Y15%
EPS Next 2Y12.02%
EPS Next 3Y11.98%
EPS Next 5YN/A
Revenue 1Y (TTM)7.39%
Revenue growth 3Y5.83%
Revenue growth 5Y6.25%
Sales Q2Q%6.63%
Revenue Next Year6.79%
Revenue Next 2Y6.85%
Revenue Next 3Y7.05%
Revenue Next 5YN/A
EBIT growth 1Y10.42%
EBIT growth 3Y11.16%
EBIT growth 5Y9.78%
EBIT Next Year19.92%
EBIT Next 3Y13.14%
EBIT Next 5YN/A
FCF growth 1Y35.92%
FCF growth 3Y-5.94%
FCF growth 5Y10.69%
OCF growth 1Y37.99%
OCF growth 3Y-3.94%
OCF growth 5Y7.54%
GENPACT LTD / G FAQ
What is the fundamental rating for G stock?
ChartMill assigns a fundamental rating of 7 / 10 to G.
What is the valuation status for G stock?
ChartMill assigns a valuation rating of 8 / 10 to GENPACT LTD (G). This can be considered as Undervalued.
What is the profitability of G stock?
GENPACT LTD (G) has a profitability rating of 8 / 10.
How financially healthy is GENPACT LTD?
The financial health rating of GENPACT LTD (G) is 8 / 10.
Is the dividend of GENPACT LTD sustainable?
The dividend rating of GENPACT LTD (G) is 6 / 10 and the dividend payout ratio is 20.93%.