Jefferies has lowered its price objective for Genpact Ltd. (NYSE:G) to $45.00 from $56.00 while maintaining a Buy rating on the business process and services company. The brokerage's revision comes alongside the company’s most recent quarterly results and management commentary on near-term targets.
Genpact shares were trading at $37.70 at the time of the note, close to a 52-week low of $37.49. InvestingPro analysis cited in the brokerage note describes the stock as appearing undervalued, with the relative strength index indicating the security is in oversold territory.
Jefferies framed the price-target cut in the context of Genpact’s latest financials, which showed revenues roughly in line with its internal expectations while margins came in above the firm’s forecast. Management has outlined revenue guidance for 2026 that Jefferies said is consistent with the company’s stated medium-term growth framework of at least 7% year-over-year growth.
On profitability, Genpact anticipates driving about 20 basis points of margin expansion year-over-year, even as it continues to invest in so-called agentic solutions. Jefferies described those investments as ongoing and expects they will be balanced with margin improvement efforts.
Because of what it called a "quieter start to 1Q," Jefferies is modestly reducing its 2026 revenue projection for Genpact, but it left its adjusted earnings-per-share estimate unchanged at $4.03, which aligns with management’s guidance.
Those analyst adjustments occur against the backdrop of Genpact’s reported fourth-quarter 2025 results, which topped consensus estimates. The company posted earnings per share of $0.97 versus an expectation of $0.94, and revenue of $1.32 billion compared with forecasts of $1.31 billion. Despite that topline and EPS beat, the stock slipped slightly in after-hours trading following the release.
There were no contemporaneous reports of mergers or acquisitions tied to Genpact, and Jefferies’ note did not reference any fresh analyst upgrades or downgrades. Investors will continue to monitor execution against the 2026 targets and how investments in agentic capabilities intersect with margin expansion.
Context and next steps: Market participants will be watching upcoming quarter-to-quarter revenue trends and margin progress as management implements investments while pursuing at least 7% annual growth through 2026.