Genpact (NYSE:G) Trading Up 7.5% - What's Next?

Key Points

• Genpact shares rose 7.5% in mid-day trading, reaching as high as $31.14 after closing previously at $29.05. Trading volume was below average, with about 1.84 million shares changing hands.
• Analysts remain cautious overall: several firms recently cut price targets or kept neutral/hold ratings, while Needham reiterated a buy. The stock’s consensus rating is Hold, with an average price target of $43.29.
• Genpact reported better-than-expected quarterly earnings of $0.98 per share and revenue of $1.30 billion, and it also announced a quarterly dividend of $0.1875 per share, yielding 2.4% annualized.

Genpact Limited (NYSE:G - Get Free Report) shares were up 7.5% during mid-day trading on Monday . The company traded as high as $31.14 and last traded at $31.2220. Approximately 1,842,435 shares changed hands during mid-day trading, a decline of 26% from the average daily volume of 2,497,019 shares. The stock had previously closed at $29.05.

Analyst Upgrades and Downgrades

A number of equities analysts recently weighed in on the company. Weiss Ratings reissued a "hold (c)" rating on shares of Genpact in a report on Friday, May 8th. Susquehanna reduced their price target on shares of Genpact from $42.00 to $37.00 and set a "neutral" rating on the stock in a research report on Tuesday, May 5th. Mizuho decreased their price target on shares of Genpact from $49.00 to $39.00 and set a "neutral" rating on the stock in a research note on Monday, May 11th. Robert W. Baird lowered their price objective on shares of Genpact from $54.00 to $45.00 and set a "neutral" rating for the company in a report on Monday, May 11th. Finally, Needham & Company LLC reaffirmed a "buy" rating and issued a $50.00 price objective on shares of Genpact in a research note on Friday, May 8th. One analyst has rated the stock with a Buy rating and seven have issued a Hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Hold" and an average price target of $43.29.

Genpact Stock Performance

The company has a debt-to-equity ratio of 0.47, a quick ratio of 1.69 and a current ratio of 1.69. The business has a 50 day moving average price of $36.16 and a two-hundred day moving average price of $40.95. The company has a market cap of $5.31 billion, a P/E ratio of 9.62, a price-to-earnings-growth ratio of 0.83 and a beta of 0.61.

Genpact (NYSE:G - Get Free Report) last posted its quarterly earnings results on Thursday, May 7th. The business services provider reported $0.98 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.93 by $0.05. The business had revenue of $1.30 billion for the quarter, compared to analyst estimates of $1.29 billion. Genpact had a return on equity of 22.70% and a net margin of 11.04%.Genpact's revenue for the quarter was up .0% compared to the same quarter last year. During the same period last year, the company earned $0.84 EPS. Genpact has set its Q2 2026 guidance at 0.960-0.970 EPS. On average, sell-side analysts anticipate that Genpact Limited will post 3.61 earnings per share for the current year.

Genpact Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, June 25th. Investors of record on Wednesday, June 10th will be paid a $0.1875 dividend. This represents a $0.75 annualized dividend and a dividend yield of 2.4%. The ex-dividend date of this dividend is Wednesday, June 10th. Genpact's payout ratio is presently 23.01%.

Insider Buying and Selling

In related news, CEO Balkrishan Kalra sold 2,800 shares of the company's stock in a transaction on Wednesday, March 4th. The shares were sold at an average price of $40.77, for a total transaction of $114,156.00. Following the completion of the sale, the chief executive officer directly owned 525,007 shares in the company, valued at $21,404,535.39. This represents a 0.53% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. 1.58% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Genpact

Hedge funds have recently modified their holdings of the company. Royal Bank of Canada grew its stake in shares of Genpact by 19.7% in the first quarter. Royal Bank of Canada now owns 121,705 shares of the business services provider's stock worth $6,131,000 after purchasing an additional 20,043 shares during the last quarter. Amundi bought a new position in Genpact during the 1st quarter valued at approximately $58,000. Goldman Sachs Group Inc. lifted its holdings in Genpact by 20.8% in the 1st quarter. Goldman Sachs Group Inc. now owns 353,074 shares of the business services provider's stock worth $17,788,000 after buying an additional 60,887 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its holdings in Genpact by 12.4% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 511,627 shares of the business services provider's stock worth $25,776,000 after buying an additional 56,557 shares during the period. Finally, Focus Partners Wealth grew its position in shares of Genpact by 10.3% in the 1st quarter. Focus Partners Wealth now owns 5,227 shares of the business services provider's stock worth $263,000 after buying an additional 488 shares during the last quarter. Hedge funds and other institutional investors own 96.03% of the company's stock.

About Genpact

Genpact is a global professional services firm specializing in digitally powered business process management and services. The company partners with clients across industries to design, transform and run key operations, leveraging data analytics, artificial intelligence, automation and domain expertise. Its offerings span finance and accounting, supply chain management, procurement, customer experience, risk and compliance, and other critical business functions.

Founded in 1997 as the business process outsourcing arm of General Electric and originally known as GE Capital International Services, the company rebranded as Genpact in 2005 and completed its initial public offering on the New York Stock Exchange in 2007 under the ticker symbol “G.” Over time, Genpact has expanded beyond traditional outsourcing to focus on digital transformation and innovation, helping organizations accelerate growth and improve operational efficiency.

Headquartered in New York City, Genpact serves clients in more than 30 countries across North America, Latin America, Europe and Asia Pacific.

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