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Genpact

DB:35G
Snowflake Description

Proven track record with adequate balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
35G
DB
$7B
Market Cap
  1. Home
  2. DE
  3. Software
Company description

Genpact Limited provides business process outsourcing and information technology (IT) services North and Latin America, India, rest of Asia, and Europe. The last earnings update was 49 days ago. More info.


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35G Share Price and Events
7 Day Returns
0.6%
DB:35G
6.2%
DE IT
2.4%
DE Market
1 Year Returns
21.4%
DB:35G
6.7%
DE IT
-6.2%
DE Market
35G Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Genpact (35G) 0.6% 5.9% 25% 21.4% 27.7% 159.8%
DE IT 6.2% 7.6% -9% 6.7% 148.7% 227.4%
DE Market 2.4% 3% 7.4% -6.2% 9.6% 14.1%
1 Year Return vs Industry and Market
  • 35G outperformed the IT industry which returned 6.7% over the past year.
  • 35G outperformed the Market in Germany which returned -6.2% over the past year.
Price Volatility
35G
Industry
5yr Volatility vs Market

35G Value

 Is Genpact undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Genpact to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Genpact.

DB:35G Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 12 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:35G
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6%
IT Unlevered Beta Simply Wall St/ S&P Global 1.05
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.054 (1 + (1- 21%) (19.16%))
1.143
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.14
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (1.143 * 5.96%)
7.04%

Discounted Cash Flow Calculation for DB:35G using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Genpact is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

DB:35G DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 7.04%)
2019 340.44 Analyst x3 318.04
2020 395.91 Analyst x3 345.53
2021 437.86 Est @ 10.59% 356.99
2022 470.63 Est @ 7.48% 358.46
2023 495.60 Est @ 5.31% 352.65
2024 514.35 Est @ 3.78% 341.91
2025 528.33 Est @ 2.72% 328.10
2026 538.74 Est @ 1.97% 312.55
2027 546.54 Est @ 1.45% 296.21
2028 552.45 Est @ 1.08% 279.72
Present value of next 10 years cash flows $3,290.16
DB:35G DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $552.45 × (1 + 0.23%) ÷ (7.04% – 0.23%)
$8,125.10
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $8,125.10 ÷ (1 + 7.04%)10
$4,113.91
DB:35G Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $3,290.16 + $4,113.91
$7,404.07
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $7,404.07 / 189.64
$39.04
DB:35G Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:35G represents 0.86284x of NYSE:G
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.86284x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (USD) x Listing Adjustment Factor
= $ 39.04 x 0.86284
€33.69
Value per share (EUR) From above. €33.69
Current discount Discount to share price of €31.05
= -1 x (€31.05 - €33.69) / €33.69
7.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Genpact is available for.
Intrinsic value
8%
Share price is €31.05 vs Future cash flow value of €33.69
Current Discount Checks
For Genpact to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Genpact's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Genpact's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Genpact's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Genpact's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:35G PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $1.48
NYSE:G Share Price ** NYSE (2019-04-18) in USD $35.98
Germany IT Industry PE Ratio Median Figure of 20 Publicly-Listed IT Companies 25.77x
Germany Market PE Ratio Median Figure of 422 Publicly-Listed Companies 19.67x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Genpact.

DB:35G PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:G Share Price ÷ EPS (both in USD)

= 35.98 ÷ 1.48

24.33x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Genpact is good value based on earnings compared to the DE IT industry average.
  • Genpact is overvalued based on earnings compared to the Germany market.
Price based on expected Growth
Does Genpact's expected growth come at a high price?
Raw Data
DB:35G PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 24.33x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts
10.7%per year
Germany IT Industry PEG Ratio Median Figure of 14 Publicly-Listed IT Companies 1.56x
Germany Market PEG Ratio Median Figure of 270 Publicly-Listed Companies 1.58x

*Line of best fit is calculated by linear regression .

DB:35G PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 24.33x ÷ 10.7%

2.27x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Genpact is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Genpact's assets?
Raw Data
DB:35G PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $7.42
NYSE:G Share Price * NYSE (2019-04-18) in USD $35.98
Germany IT Industry PB Ratio Median Figure of 24 Publicly-Listed IT Companies 4.04x
Germany Market PB Ratio Median Figure of 570 Publicly-Listed Companies 1.85x
DB:35G PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:G Share Price ÷ Book Value per Share (both in USD)

= 35.98 ÷ 7.42

4.85x

* Primary Listing of Genpact.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Genpact is overvalued based on assets compared to the DE IT industry average.
X
Value checks
We assess Genpact's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the IT industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the IT industry average (and greater than 0)? (1 check)
  5. Genpact has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

35G Future Performance

 How is Genpact expected to perform in the next 1 to 3 years based on estimates from 12 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
10.7%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Genpact expected to grow at an attractive rate?
  • Genpact's earnings growth is expected to exceed the low risk savings rate of 0.2%.
Growth vs Market Checks
  • Genpact's earnings growth is positive but not above the Germany market average.
  • Genpact's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:35G Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:35G Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 12 Analysts 10.7%
DB:35G Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 12 Analysts 9.7%
Germany IT Industry Earnings Growth Rate Market Cap Weighted Average 23.6%
Germany IT Industry Revenue Growth Rate Market Cap Weighted Average 16.3%
Germany Market Earnings Growth Rate Market Cap Weighted Average 11.5%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:35G Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:35G Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 4,041 396 3
2020-12-31 3,680 516 349 11
2019-12-31 3,364 446 306 12
DB:35G Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 3,001 340 282
2018-09-30 2,900 298 270
2018-06-30 2,861 293 270
2018-03-31 2,803 301 274
2017-12-31 2,737 359 263
2017-09-30 2,684 373 272
2017-06-30 2,624 375 268
2017-03-31 2,584 386 264
2016-12-31 2,571 346 270
2016-09-30 2,536 310 258
2016-06-30 2,505 299 257
2016-03-31 2,484 294 254

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Genpact's earnings are expected to grow by 10.7% yearly, however this is not considered high growth (20% yearly).
  • Genpact's revenue is expected to grow by 9.7% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:35G Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below

All data from Genpact Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:35G Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 2.08 2.09 2.08 2.00
2020-12-31 1.83 1.98 1.76 10.00
2019-12-31 1.59 1.65 1.50 11.00
DB:35G Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 1.48
2018-09-30 1.41
2018-06-30 1.41
2018-03-31 1.43
2017-12-31 1.36
2017-09-30 1.39
2017-06-30 1.34
2017-03-31 1.30
2016-12-31 1.30
2016-09-30 1.23
2016-06-30 1.21
2016-03-31 1.18

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Genpact is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Genpact's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Germany market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Germany market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Genpact has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

35G Past Performance

  How has Genpact performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Genpact's growth in the last year to its industry (IT).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Genpact's year on year earnings growth rate has been positive over the past 5 years.
  • Genpact's 1-year earnings growth exceeds its 5-year average (7.2% vs 6.7%)
  • Genpact's earnings growth has not exceeded the DE IT industry average in the past year (7.2% vs 18.1%).
Earnings and Revenue History
Genpact's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Genpact Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:35G Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 3,000.79 282.02 691.50
2018-09-30 2,899.86 269.95 699.92
2018-06-30 2,860.71 270.10 705.29
2018-03-31 2,802.85 274.47 694.35
2017-12-31 2,736.93 263.11 683.72
2017-09-30 2,684.26 272.33 668.11
2017-06-30 2,624.22 267.51 653.51
2017-03-31 2,584.05 264.23 652.47
2016-12-31 2,570.76 269.68 652.80
2016-09-30 2,535.54 257.80 647.56
2016-06-30 2,504.59 256.93 635.32
2016-03-31 2,483.59 253.96 619.35
2015-12-31 2,461.04 239.82 608.11
2015-09-30 2,416.05 221.16 607.21
2015-06-30 2,386.32 199.76 617.62
2015-03-31 2,338.40 186.04 609.12
2014-12-31 2,279.44 192.00 582.87
2014-09-30 2,236.37 195.09 554.23
2014-06-30 2,183.15 218.70 516.11
2014-03-31 2,156.34 233.59 493.77
2013-12-31 2,132.00 229.72 484.81
2013-09-30 2,081.24 234.28 467.41
2013-06-30 2,037.51 189.19 464.65
2013-03-31 1,970.34 186.41 457.86
2012-12-31 1,901.97 178.22 450.41
2012-09-30 1,836.96 185.94 438.28
2012-06-30 1,775.37 208.81 419.91

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Genpact has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Genpact used its assets more efficiently than the DE IT industry average last year based on Return on Assets.
  • Genpact's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Genpact's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the IT industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Genpact has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

35G Health

 How is Genpact's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Genpact's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Genpact is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Genpact's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Genpact's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Genpact Company Filings, last reported 3 months ago.

DB:35G Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 1,404.18 1,307.65 371.15
2018-09-30 1,285.02 1,351.03 408.52
2018-06-30 1,296.43 1,245.09 341.69
2018-03-31 1,366.00 1,315.14 431.56
2017-12-31 1,428.79 1,220.12 509.19
2017-09-30 1,318.19 1,219.87 442.91
2017-06-30 1,263.10 1,275.21 444.95
2017-03-31 1,185.25 1,094.26 392.61
2016-12-31 1,291.17 901.18 425.31
2016-09-30 1,310.30 865.95 421.02
2016-06-30 1,354.84 820.42 408.75
2016-03-31 1,353.23 849.47 431.54
2015-12-31 1,304.36 801.50 452.73
2015-09-30 1,281.35 809.06 468.96
2015-06-30 1,319.94 821.38 444.01
2015-03-31 1,338.53 791.50 437.13
2014-12-31 1,285.14 792.71 463.54
2014-09-30 1,248.53 824.05 427.23
2014-06-30 1,205.81 835.29 376.80
2014-03-31 1,429.09 661.02 567.27
2013-12-31 1,324.07 661.93 575.17
2013-09-30 1,201.52 663.04 499.00
2013-06-30 1,196.62 779.14 535.92
2013-03-31 1,258.10 779.91 492.95
2012-12-31 1,171.78 745.70 480.22
2012-09-30 1,153.60 747.55 394.50
2012-06-30 1,456.79 342.82 441.56
  • Genpact's level of debt (93.1%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (49.9% vs 93.1% today).
  • Debt is well covered by operating cash flow (26%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 9.4x coverage).
X
Financial health checks
We assess Genpact's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Genpact has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

35G Dividends

 What is Genpact's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.94%
Current annual income from Genpact dividends. Estimated to be 0.98% next year.
If you bought €2,000 of Genpact shares you are expected to receive €19 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Genpact's pays a lower dividend yield than the bottom 25% of dividend payers in Germany (1.43%).
  • Genpact's dividend is below the markets top 25% of dividend payers in Germany (3.7%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:35G Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 12 Analyst Estimates (S&P Global) See Below
Germany IT Industry Average Dividend Yield Market Cap Weighted Average of 13 Stocks 0.6%
Germany Market Average Dividend Yield Market Cap Weighted Average of 325 Stocks 3%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.4%
Germany Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:35G Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.39 2.00
2020-12-31 0.36 3.00
2019-12-31 0.33 3.00
DB:35G Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-02-07 0.340 0.997
2018-10-23 0.300 1.057
2018-07-25 0.300 0.996
2018-05-08 0.300 0.992
2018-02-12 0.300 0.947
2017-11-22 0.240 0.732
2017-08-18 0.240 0.819
2017-06-01 0.240 0.853
2017-02-10 0.240 0.972

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Whilst dividend payments have been stable, Genpact has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but Genpact only paid a dividend in the past 2 years.
Current Payout to shareholders
What portion of Genpact's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (4.9x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (6.4x coverage).
X
Income/ dividend checks
We assess Genpact's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Genpact afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Genpact has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

35G Management

 What is the CEO of Genpact's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Tiger Tyagarajan
COMPENSATION $22,299,191
AGE 57
TENURE AS CEO 7.8 years
CEO Bio

Mr. Nallicheri Vaidyanathan Tyagarajan, also known as Tiger, has been the Chief Executive Officer and President at Genpact Limited since June 17, 2011. Mr. Tyagarajan has been Chief Executive Officer and President at Genpact India since May 2011. He served as the Chief Operating Officer of Genpact Limited from February 2009 to June 17, 2011. He served as Chief Operating Officer of Genpact India. He served as an Executive Vice President of Business Development and Head of Sales, Marketing and Business Development at Genpact Limited from February 2005 to February 2009. Mr. Tyagarajan began his career with the Unilever Group in Bombay, India for 3 years. He served as Citibank’s Consumer Financial Services businesses in business, sales, operations and credit. He served as Chief Executive Officer for GE Capital's Global Consumer Finance and Auto Financial Services operations in India. Since 2002, he served Global Commercial Lending Businesses in the U.S. as Global Head of Six Sigma and Global Operations. He rejoined Genpact in February 2005 as Executive Vice President of Sales, Marketing and M&A. He joined Citibank as Vice President and Auto Business Director of Global Consumer Banking. He joined GE in 1994 as Head of Risk in India. He served as General Manager of Risk Management at Countrywide. From 1999 to 2002, he served as Chief Executive Officer of Genpact and was responsible for its exponential growth. From October 2002 to January 2005, he served at GE Commercial Equipment Finance as Senior Vice President of Quality and Global Operations based in Danbury, Connecticut. He has been a Director of Catalyst Inc. since April 25, 2017. He has been a Director of Genpact Limited and Genpact India since June 17, 2011. He also serves on the Board of the Center for Talent Innovation (CTI) and is one of the founding supporters of the US chapter of the 30% Club. Mr. Tyagarajan has a degree in mechanical engineering from the Indian Institute of Technology, Mumbai and an MBA, majoring in Finance and Marketing from IIM, Ahmedabad.

CEO Compensation
  • Tiger's compensation has increased by more than 20% in the past year.
  • Tiger's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the Genpact management team in years:

4.8
Average Tenure
51
Average Age
  • The tenure for the Genpact management team is about average.
Management Team

Tiger Tyagarajan

TITLE
President
COMPENSATION
$22M
AGE
57
TENURE
7.8 yrs

Ed Fitzpatrick

TITLE
Senior VP & CFO
COMPENSATION
$2M
AGE
52
TENURE
4.8 yrs

Piyush Mehta

TITLE
Chief HR Officer & Senior VP
COMPENSATION
$2M
AGE
49
TENURE
18.3 yrs

Patrick Cogny

TITLE
Global Business Leader of Hi-Tech
COMPENSATION
$2M
AGE
51
TENURE
7.6 yrs

Monty Singh

TITLE
Global Business Leader of Capital Markets & IT Services
COMPENSATION
$2M
AGE
53
TENURE
10.7 yrs

Darren Saumur

TITLE
Senior VP & Global Operating Officer
AGE
50
TENURE
1 yrs

Roger Sachs

TITLE
Head of Investor Relations

Heather White

TITLE
Senior VP
AGE
45
TENURE
1 yrs

Ezra Baylin

TITLE
Head of Corporate Development and Mergers & Acquisitions
TENURE
3.3 yrs

Stacy Simpson

TITLE
Chief Marketing Officer & Senior VP
TENURE
2.6 yrs
Board of Directors Tenure

Average tenure and age of the Genpact board of directors in years:

6.5
Average Tenure
58
Average Age
  • The tenure for the Genpact board of directors is about average.
Board of Directors

Bob Scott

TITLE
Non-Executive Chairman of the Board
COMPENSATION
$542K
AGE
72
TENURE
8.1 yrs

Tiger Tyagarajan

TITLE
President
COMPENSATION
$22M
AGE
57
TENURE
7.8 yrs

Jim Madden

TITLE
Director
COMPENSATION
$214K
AGE
56
TENURE
14.3 yrs

Mark Nunnelly

TITLE
Director
COMPENSATION
$111K
AGE
59
TENURE
6.5 yrs

Alex Mandl

TITLE
Director
COMPENSATION
$216K
AGE
75
TENURE
5.8 yrs

Amit Chandra

TITLE
Director
COMPENSATION
$191K
AGE
50
TENURE
6.5 yrs

David Humphrey

TITLE
Director
COMPENSATION
$174K
AGE
41
TENURE
6.5 yrs

Mark Verdi

TITLE
Director
COMPENSATION
$196K
AGE
51
TENURE
6.5 yrs

Laura Conigliaro

TITLE
Director
COMPENSATION
$196K
AGE
73
TENURE
5.9 yrs

CeCe Morken

TITLE
Director
COMPENSATION
$196K
AGE
60
TENURE
3.1 yrs
Who owns this company?
Recent Insider Trading
  • Genpact insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
21. Feb 19 Sell Edward Fitzpatrick Individual 19. Feb 19 19. Feb 19 -50,213 €29.15 €-1,463,813
21. Feb 19 Sell Heather White Individual 19. Feb 19 19. Feb 19 -7,680 €29.07 €-223,260
20. Feb 19 Sell Bain Capital, LP Company 15. Feb 19 15. Feb 19 -8,500,194 €28.57 €-242,890,536
19. Feb 19 Sell Twickenham Investment Private Ltd. Company 15. Feb 19 15. Feb 19 -1,499,806 €28.57 €-42,856,514
21. Aug 18 Sell Carol Lindstrom Individual 17. Aug 18 17. Aug 18 -2,630 €26.67 €-70,150
21. May 18 Sell Heather White Individual 17. May 18 18. May 18 -7,000 €26.00 €-180,619
X
Management checks
We assess Genpact's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Genpact has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

35G News

Simply Wall St News

35G Company Info

Description

Genpact Limited provides business process outsourcing and information technology (IT) services North and Latin America, India, rest of Asia, and Europe. Its finance and accounting services 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; enterprise performance management consisting of budgeting, forecasting, and business performance reporting; and enterprise risk and compliance services, including operational risks and controls. It also provides transformation services; core industry operation services; and sourcing and procurement services, such as direct and indirect strategic sourcing, category management, spend analytics, procurement operations, master data management, and other procurement and supply chain advisory services. In addition, the company’s IT services comprise end-user computing support, infrastructure management, application production support, and database management services, as well as business intelligence and data, enterprise resource planning, quality assurance, technology integration, and business intelligence reporting services. It serves banking and financial services, capital markets, insurance, consumer product goods and retail, life sciences and healthcare, infrastructure, manufacturing and services, insurance, and high-tech industries. Genpact Limited was founded in 1997 and is based in Hamilton, Bermuda.

Details
Name: Genpact Limited
35G
Exchange: DB
Founded: 1997
$6,067,128,359
189,636,779
Website: http://www.genpact.com
Address: Genpact Limited
Canon’s Court,
22 Victoria Street,
Hamilton,
HM 12,
Bermuda
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE G Common Stock New York Stock Exchange US USD 02. Aug 2007
DB 35G Common Stock Deutsche Boerse AG DE EUR 02. Aug 2007
Number of employees
Current staff
Staff numbers
87,000
Genpact employees.
Industry
Data Processing and Outsourced Services
Software
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/19 21:07
End of day share price update: 2019/04/18 00:00
Last estimates confirmation: 2019/04/10
Last earnings filing: 2019/03/01
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.