Genpact Return On Equity

G
 Stock
  

USD 43.15  0.18  0.42%   

Genpact fundamentals help investors to digest information that contributes to Genpact's financial success or failures. It also enables traders to predict the movement of Genpact Stock. The fundamental analysis module provides a way to measure Genpact's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Genpact stock. This module does not cover all equities due to inconsistencies in global equity categorizations. Continue to Equity Screeners to view more equity screening tools.
  
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As of July 6, 2022, Average Equity is expected to decline to about 1.8 B.

Genpact Return On Equity Analysis

Genpact's Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.
 2019 2020 2021 2022 (projected)
Cost of Revenue2.29 B2.42 B2.59 B2.35 B
Consolidated Income304.88 M308.28 M369.45 M343.65 M
Return on Equity 
 = 
Net Income 
Total Equity 
X
100 
More About Return On Equity | All Equity Analysis

Current Genpact Return On Equity

    
  19.80 %  
Most of Genpact's fundamental indicators, such as Return On Equity, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Genpact is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.

Genpact Return On Equity Driver Correlations

Understanding the fundamental principles of building solid financial models for Genpact is extremely important. It helps to project a fair market value of Ford stock properly, considering its historical fundamentals such as Return On Equity. Since Genpact's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Genpact's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Genpact's interrelated accounts and indicators.

Genpact Return On Equity Historical Pattern

Today, most investors in Genpact Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Genpact's growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's return on equity growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of Genpact return on equity as a starting point in their analysis.
 Genpact Return On Equity 
Share
      Timeline 
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
Compare to competition

Genpact Shareholders Equity

Shareholders Equity

1.84 Billion

Genpact Shareholders Equity is projected to increase significantly based on the last few years of reporting. The past year's Shareholders Equity was at 1.9 Billion
Based on the latest financial disclosure, Genpact has a Return On Equity of 19.8%. This is 264.59% lower than that of the Technology sector and notably higher than that of the Information Technology Services industry. The return on equity for all United States stocks is notably lower than that of the firm.

Genpact Return On Equity Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Genpact's direct or indirect competition against its Return On Equity to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Genpact could also be used in its relative valuation, which is a method of valuing Genpact by comparing valuation metrics of similar companies.
Genpact is currently under evaluation in return on equity category among related companies.

Genpact Current Valuation Drivers

We derive many important indicators used in calculating different scores of Genpact from analyzing Genpact's financial statements. These drivers represent accounts that assess Genpact's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Genpact's important valuation drivers and their relationship over time.
201720182019202020212022 (projected)
Average Assets3.24 B3.41 B4.12 B4.73 B4.93 B4.5 B
Earnings Before Interest Taxes and Depreciation Amortization EBITDA449.5 M503.62 M571.59 M609.28 M702.13 M637.27 M
Earnings Before Interest Taxes and Depreciation Amortization USD449.5 M503.62 M571.59 M609.28 M702.13 M637.27 M
Earnings before Tax322.85 M362.78 M399.42 M400.48 M483.13 M447.12 M
Average Equity1.29 B1.34 B1.59 B1.71 B1.86 B1.81 B
Enterprise Value6.9 B6.08 B9.11 B8.99 B11.04 B9.45 B
Free Cash Flow287.14 M179.76 M320.88 M504.54 M643.42 M517.36 M
Invested Capital1.85 B1.92 B3.07 B2.99 B2.83 B2.55 B
Invested Capital Average1.89 B1.92 B2.73 B3.11 B3.05 B2.66 B
Market Capitalization6.13 B5.13 B8.01 B7.83 B9.98 B8.54 B
Tangible Asset Value1.98 B1.96 B2.65 B2.94 B3.07 B2.78 B
Working Capital595.11 M378.75 M641.47 M546.23 M612.84 M648.11 M

Genpact Fundamentals

About Genpact Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Genpact's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Genpact using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Genpact based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Last ReportedProjected for 2022
Average Equity1.9 B1.8 B
Genpact Limited provides business process outsourcing and information technology services in India, rest of Asia, North and Latin America, and Europe. The company was founded in 1997 and is based in Hamilton, Bermuda. Genpact operates under Information Technology Services classification in the United States and is traded on New York Stock Exchange. It employs 109600 people.

Genpact Investors Sentiment

The influence of Genpact's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Genpact. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock markets does not have a solid backing from leading economists and market statisticians.

Genpact Implied Volatility

    
  51.1  
Genpact's implied volatility exposes the market's sentiment of Genpact stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Genpact's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Genpact stock will not fluctuate a lot when Genpact's options are near their expiration.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Genpact in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Genpact's short interest history, or implied volatility extrapolated from Genpact options trading.

Current Sentiment - G

Genpact Investor Sentiment

More than half of Macroaxis users are currently bullish on Genpact. What is your judgment towards investing in Genpact? Are you bullish or bearish?
Bullish
Bearish
98% Bullish
2% Bearish

Becoming a Better Investor with Macroaxis

Macroaxis puts the power of mathematics on your side. We analyze your portfolios and positions such as Genpact using complex mathematical models and algorithms, but make them easy to understand. There is no real person involved in your portfolio analysis. We perform a number of calculations to compute absolute and relative portfolio volatility, correlation between your assets, value at risk, expected return as well as over 100 different fundamental and technical indicators.

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Please check Genpact Piotroski F Score and Genpact Altman Z Score analysis. Note that the Genpact information on this page should be used as a complementary analysis to other Genpact's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Portfolio Center module to all portfolio management and optimization tools to improve performance of your portfolios.

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When running Genpact price analysis, check to measure Genpact's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Genpact is operating at the current time. Most of Genpact's value examination focuses on studying past and present price action to predict the probability of Genpact's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Genpact's price. Additionally, you may evaluate how the addition of Genpact to your portfolios can decrease your overall portfolio volatility.
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Is Genpact's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Genpact. If investors know Genpact will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Genpact listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
0.085
Market Capitalization
7.9 B
Quarterly Revenue Growth YOY
0.13
Return On Assets
0.0659
Return On Equity
0.21
The market value of Genpact is measured differently than its book value, which is the value of Genpact that is recorded on the company's balance sheet. Investors also form their own opinion of Genpact's value that differs from its market value or its book value, called intrinsic value, which is Genpact's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Genpact's market value can be influenced by many factors that don't directly affect Genpact's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Genpact's value and its price as these two are different measures arrived at by different means. Investors typically determine Genpact value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Genpact's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.