Can Teleperformance’s (ENXTPA:TEP) Public Sector Wins Signal Durable Contract-Driven Growth Ahead?

• On October 27, 2025, Teleperformance announced it has secured positions on both Lot 1 (Citizen Experience) and Lot 2 (Business Services) of the UK Crown Commercial Services MYR 6,295 framework, further strengthening its government and public sector footprint.
• This dual appointment highlights Teleperformance's expanding influence in public sector digital and back-office services, underlining its progress in scaling contract wins and broadening client relationships across government organizations.
• We'll explore how Teleperformance's expanded public sector service mandate shapes its investment narrative and outlook for contract-driven growth.

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Teleperformance Investment Narrative Recap

Investors in Teleperformance must weigh the company’s ability to capitalize on increased demand for digitized business services while managing the revenue pressure from mature and volatile markets. The recent win of both lots on the UK Crown Commercial Services framework could help shore up its public sector position; however, this development does not fully offset the company’s biggest short-term challenge: persistent revenue softness in Specialized Services and market volatility, especially in the U.S., which remains the primary near-term risk. A recent, closely connected announcement is Teleperformance’s “Future Forward” plan, unveiled in June 2025, which seeks to accelerate the integration of AI across operational functions. This initiative ties directly to the catalyst of enterprise digitization and process automation, factors that Teleperformance hopes will support contract expansion, margin recovery, and a more resilient top-line, especially as public sector mandates grow in scope. Yet, unlike the optimism around public sector growth, investors should be aware that ongoing demand uncertainty in the U.S. Specialized Services business...

Read the full narrative on Teleperformance (it's free!)

Teleperformance's narrative projects €11.1 billion revenue and €766.6 million earnings by 2028. This requires 2.4% yearly revenue growth and a €285.6 million earnings increase from €481.0 million today.

Uncover how Teleperformance's forecasts yield a €112.13 fair value, a 81% upside to its current price.

Exploring Other Perspectives

Simply Wall St Community members have issued 11 fair value estimates for Teleperformance, ranging widely from €87.63 to €248.66. Despite this breadth of opinion, the key risk remains exposure to unstable revenue streams and the effects of contract loss, inviting you to consider several sharply different outlooks when assessing Teleperformance’s future.

Explore 11 other fair value estimates on Teleperformance - why the stock might be worth just €87.63!

Build Your Own Teleperformance Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Teleperformance research is our analysis highlighting 4 key rewards and 2 important warning signs that could impact your investment decision.
• Our free Teleperformance research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Teleperformance's overall financial health at a glance.

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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.

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