WEBULL

A Look at Genpact’s Valuation as New AI-Focused Leaders Bolster Its GenpactNext Strategy

Simply Wall St · 2d ago

Genpact (G) just expanded its executive bench, adding leaders in corporate development, next generation enterprises, and legal to push its GenpactNext strategy deeper into advanced, AI driven solutions and startup partnerships.

See our latest analysis for Genpact.

The new hires land at a moment when sentiment is already improving, with a 30 day share price return of 9.33 percent and a 90 day share price return of 18.12 percent, while the 1 year total shareholder return of 14.81 percent suggests steadily building momentum rather than a sudden spike.

If Genpact's AI push has caught your attention, this could also be a good time to explore other potential winners among high growth tech and AI stocks and see what else is shaping the next wave of digital transformation.

Yet despite double digit returns and fresh executive firepower behind its AI strategy, Genpact still trades at a material intrinsic discount. This raises the question: is this a quiet entry point, or is the market already pricing in that growth?

Most Popular Narrative: 3.4% Undervalued

With Genpact last closing at $48.50 against a narrative fair value of $50.20, the story frames the stock as modestly mispriced rather than radically cheap.

Analysts expect earnings to reach $669.6 million (and earnings per share of $3.77) by about September 2028, up from $538.3 million today. The analysts are largely in agreement about this estimate.

Read the complete narrative.

Curious how steady, mid single digit growth and a richer margin mix can still justify a higher future earnings multiple than today? Wondering what hidden levers, from contract structure to buybacks, really power that fair value? The full narrative unpacks the math behind those assumptions and how they might reshape Genpact's long term earnings base.

Result: Fair Value of $50.20 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, softer demand for legacy BPO and prolonged macro caution around big AI deals could slow revenue growth and put pressure on the anticipated margin expansion.

Find out about the key risks to this Genpact narrative.

Build Your Own Genpact Narrative

If this perspective does not fully reflect your own view, or you would rather dig into the numbers yourself, you can craft a complete Genpact thesis in just a few minutes, Do it your way.

A great starting point for your Genpact research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.

Ready for your next investing move?

Do not stop at Genpact. Set yourself up for the next opportunity by lining up fresh ideas that match your strategy before the market moves first.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.