Genpact (NYSE:G) Hits New 12-Month Low – Should You Sell?

Genpact Limited (NYSE:G)’s stock price hit a new 52-week low during mid-day trading on Friday . The stock traded as low as $34.54 and last traded at $34.9330, with a volume of 209927 shares traded. The stock had previously closed at $35.54.

Analyst Ratings Changes

Several research analysts recently issued reports on the stock. Needham & Company LLC cut their target price on shares of Genpact from $53.00 to $50.00 and set a “buy” rating for the company in a research report on Friday, February 6th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Genpact in a research note on Friday, December 26th. Susquehanna set a $42.00 target price on Genpact in a research note on Friday, February 6th. Citigroup raised Genpact from a “hold” rating to a “strong-buy” rating in a research note on Friday, February 13th. Finally, Mizuho cut their target price on Genpact from $51.00 to $49.00 and set a “neutral” rating for the company in a research note on Tuesday, February 10th. One research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and six have assigned a Hold rating to the company’s stock. According to data from MarketBeat, Genpact has a consensus rating of “Hold” and an average price target of $47.29.

Genpact Trading Down 3.8%

The firm’s 50-day simple moving average is $38.43 and its 200-day simple moving average is $42.01. The company has a quick ratio of 1.66, a current ratio of 1.66 and a debt-to-equity ratio of 0.46. The firm has a market capitalization of $5.80 billion, a PE ratio of 10.92, a price-to-earnings-growth ratio of 1.01 and a beta of 0.74.

Genpact (NYSE:G) last released its quarterly earnings data on Friday, February 6th. The business services provider reported $0.97 earnings per share for the quarter, beating analysts’ consensus estimates of $0.93 by $0.04. The firm had revenue of $1.32 billion during the quarter, compared to analyst estimates of $1.31 billion. Genpact had a return on equity of 22.02% and a net margin of 10.88%.The business’s quarterly revenue was up 5.6% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.91 earnings per share. Equities analysts expect that Genpact Limited will post 3.21 earnings per share for the current year.

Genpact Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, March 31st. Stockholders of record on Monday, March 16th were paid a dividend of $0.1875 per share. This represents a $0.75 dividend on an annualized basis and a dividend yield of 2.2%. This is a boost from Genpact’s previous quarterly dividend of $0.17. The ex-dividend date of this dividend was Monday, March 16th. Genpact’s payout ratio is currently 23.96%.

Insider Activity

In other news, SVP Riju Vashisht sold 16,016 shares of the stock in a transaction dated Tuesday, January 13th. The shares were sold at an average price of $46.65, for a total transaction of $747,146.40. Following the completion of the sale, the senior vice president directly owned 95,521 shares in the company, valued at approximately $4,456,054.65. This represents a 14.36% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Balkrishan Kalra sold 2,800 shares of the stock in a transaction dated Wednesday, March 4th. The stock was sold at an average price of $40.77, for a total transaction of $114,156.00. Following the sale, the chief executive officer owned 525,007 shares of the company’s stock, valued at approximately $21,404,535.39. This represents a 0.53% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 33,904 shares of company stock valued at $1,565,158. 1.58% of the stock is currently owned by company insiders.

Institutional Trading of Genpact

Institutional investors have recently modified their holdings of the company. Osbon Capital Management LLC purchased a new stake in shares of Genpact during the fourth quarter worth about $25,000. Private Trust Co. NA lifted its stake in Genpact by 364.2% in the third quarter. Private Trust Co. NA now owns 636 shares of the business services provider’s stock worth $27,000 after acquiring an additional 499 shares during the period. V Square Quantitative Management LLC purchased a new stake in Genpact in the fourth quarter worth $30,000. Quent Capital LLC purchased a new stake in Genpact in the third quarter worth $27,000. Finally, Westside Investment Management Inc. lifted its stake in Genpact by 193.5% in the third quarter. Westside Investment Management Inc. now owns 678 shares of the business services provider’s stock worth $28,000 after acquiring an additional 447 shares during the period. 96.03% of the stock is currently owned by hedge funds and other institutional investors.

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.