Definitive Analysis
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Definitive Analysis

Financial Statements

Ticker

Industry

Sector

Genpact Limited (G)

Company Dividend Discount ModelIndustry: Information Technology ServicesSector: Technology

Valuation Snapshot

Stable Growth$110.32 - $615.95$210.75
Multi-Stage$63.18 - $69.11$66.09
Blended Fair Value$138.42
Current Price$41.89
Upside230.43%
DecisionBuy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS10.90%0.00%0.610.560.520.450.420.360.320.260.000.00
YoY Growth--8.45%8.90%14.11%8.44%14.75%13.26%22.31%0.00%0.00%0.00%
Dividend Yield--1.21%1.72%1.12%1.04%0.97%1.24%0.91%0.82%0.00%0.00%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)551.32
(-) Cash Dividends Paid (M)115.40
(=) Cash Retained (M)435.92
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)110.2668.9141.35
Cash Retained (M)435.92435.92435.92
(-) Cash Required (M)-110.26-68.91-41.35
(=) Excess Retained (M)325.65367.00394.57
(/) Shares Outstanding (M)178.01178.01178.01
(=) Excess Retained per Share1.832.062.22
LTM Dividend per Share0.650.650.65
(+) Excess Retained per Share1.832.062.22
(=) Adjusted Dividend2.482.712.86
WACC / Discount Rate7.87%7.87%7.87%
Growth Rate5.50%6.50%7.50%
Fair Value$110.32$210.75$615.95
Upside / Downside163.35%403.09%1,370.39%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)551.32587.15625.32665.96709.25755.35778.01
Payout Ratio20.93%34.75%48.56%62.37%76.19%90.00%92.50%
Projected Dividends (M)115.40204.01303.65415.38540.35679.81719.66

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate7.87%7.87%7.87%
Growth Rate5.50%6.50%7.50%
Year 1 PV (M)187.35189.12190.90
Year 2 PV (M)256.08260.96265.88
Year 3 PV (M)321.70330.94340.35
Year 4 PV (M)384.32399.10414.30
Year 5 PV (M)444.03465.48487.74
PV of Terminal Value (M)9,653.0410,119.2810,603.37
Equity Value (M)11,246.5211,764.8812,302.55
Shares Outstanding (M)178.01178.01178.01
Fair Value$63.18$66.09$69.11
Upside / Downside50.82%57.78%64.99%

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