Genpact (G) Delivers Record Results as Analyst Sentiment Stays Cautious

Core Insights - Genpact Limited (NYSE:G) is recognized as an affordable tech stock with solid performance despite cautious analyst sentiment [1] - Analyst Keith Bachman from BMO Capital lowered the price target for Genpact to $44 from $48 while maintaining a Market Perform rating, citing negative AI-related sentiment affecting the IT services sector [1] Financial Performance - For Q4 2025, Genpact reported net revenue of $1.319 billion, a 5.6% year-over-year increase, surpassing Wall Street expectations of $1.31 billion [2] - Adjusted diluted EPS for Q4 reached $0.97, up 6.6% from the previous year, beating consensus estimates by approximately $0.03 [2] - For the full FY2025, Genpact achieved record net revenues of $5.08 billion, reflecting a 6.6% year-over-year growth [3] - Adjusted diluted EPS for FY2025 rose 11.3% to $3.65, marking the fifth consecutive year of earnings growth outpacing revenue growth [3] - Key metrics showed adjusted operating income increased by 9.0% to $888 million, with an adjusted operating margin of 17.5% and gross profit improving by 8.3% to $1.83 billion [3] Future Guidance - For Q1 2026, Genpact projects revenue between $1.282 billion and $1.294 billion, indicating a growth rate of 5.5% to 6.5% [4] - Management anticipates adjusted diluted EPS in the range of $0.92 to $0.93, with expectations for Advanced Technology Solutions (ATS) growth to accelerate to high-teens year-over-year [4] Company Overview - Genpact Limited specializes in business process management and IT services, focusing on enhancing enterprise processes through automation, artificial intelligence, and cloud-based solutions [5]