Genpact (G): Valuation Perspectives as Everest Group Applauds Its AI-First Finance Transformation Strategy

Genpact (NYSE:G) is catching investor interest after being named a Leader and Star Performer by Everest Group for its AI-first approach and innovative agentic AI solutions in finance operations.

See our latest analysis for Genpact.

Genpact’s strong AI-first momentum has caught the market’s eye, but the share price has been drifting this year and most recently closed at $40.29. A 1-year total shareholder return of 7% shows the business has still delivered some value, even as short-term price returns have dipped. The new dividend announcement could help stabilize sentiment after a tougher stretch for the stock.

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With Genpact attracting industry accolades and sitting well below analyst price targets, the real question is whether its current valuation offers a genuine bargain for buyers or if the market has already factored in the company’s AI-led future growth.

Most Popular Narrative: 23.2% Undervalued

Genpact's most-watched narrative places its fair value at $52.44, nearly 23% above the last close of $40.29. With shares trading well below this target, bulls see a clear value gap. Let's dig into what is fueling this view.

Accelerated client adoption of Genpact's Advanced Technology Solutions, particularly in data and AI, should drive higher growth and improved margins, as these offerings deliver over twice the revenue per headcount versus legacy services and are expanding at over twice the company's overall rate. This points toward robust long-term revenue and margin expansion.

Read the complete narrative.

Curious which catalyst is pushing Genpact's projected value so much higher than its current price? This bullish narrative hinges on seismic shifts in revenue mix and bold forecasts about higher-margin, high-tech contracts. Find out what key assumptions are driving these numbers. There could be a major surprise in what’s fueling the case for significant upside.

Result: Fair Value of $52.44 (UNDERVALUED)

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

However, ongoing macro uncertainty and slowing legacy growth could limit Genpact’s upside if AI revenues do not increase as quickly as bulls expect.

Find out about the key risks to this Genpact narrative.

Build Your Own Genpact Narrative

If you think there’s more to the story, or want to dive deeper into the numbers yourself, you can put together your own take in just a couple of minutes. Do it your way

A great starting point for your Genpact research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision.

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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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