In April 2024, InvestingPro’s Fair Value model identified a significant mispricing in Genpact Limited (NYSE:G) shares, signaling a compelling investment opportunity. The sophisticated valuation model, which combines multiple methodologies to determine a stock’s intrinsic value, indicated that Genpact was substantially undervalued at $31.64. For investors seeking similar opportunities today, InvestingPro maintains a regularly updated Most undervalued list featuring stocks with significant upside potential.
Genpact Limited, a global professional services firm specializing in digital transformation and business process management, demonstrated strong fundamental metrics when InvestingPro’s models flagged the opportunity. With annual revenue of $4.52 billion and EBITDA of $735.5 million, the company showed solid operational performance despite its depressed stock price, which had experienced mixed performance in the preceding six months.
The Fair Value analysis projected an upside potential of 44.41%, suggesting a target price above $45. This prediction proved conservative, as Genpact’s stock surged to $50.26 within twelve months, delivering a remarkable 58.85% return for investors who acted on the signal. The company’s fundamental performance supported this appreciation, with revenue growing to $4.77 billion and EBITDA expanding to $791.65 million.
Recent developments have validated InvestingPro’s initial assessment. Multiple leading analysts, including Mizuho, BMO Capital, and Needham, raised their price targets, with some setting objectives as high as $65. The company consistently exceeded quarterly expectations, with strong earnings reports throughout 2024 and early 2025 demonstrating robust operational execution.
InvestingPro’s Fair Value methodology combines multiple valuation approaches, including discounted cash flow analysis, comparable company metrics, and market sentiment indicators. This comprehensive approach helps investors identify opportunities where market prices significantly deviate from intrinsic value, as demonstrated in the Genpact case.
For investors looking to uncover similar opportunities, InvestingPro’s suite of tools and analysis can provide valuable insights. The platform’s Fair Value model continues to identify mispriced stocks across global markets, helping investors make more informed decisions. Learn more about InvestingPro to access these powerful investment tools and discover the next potential market-beating opportunity.