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Genpact (FRA:35G) E10 : €1.99 (As of Dec. 2024)


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What is Genpact E10?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

Genpact's adjusted earnings per share data for the three months ended in Dec. 2024 was €0.754. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is €1.99 for the trailing ten years ended in Dec. 2024.

During the past 12 months, Genpact's average E10 Growth Rate was 11.60% per year. During the past 3 years, the average E10 Growth Rate was 13.80% per year. During the past 5 years, the average E10 Growth Rate was 13.40% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the E10 growth rate using E10 data.

During the past 13 years, the highest 3-Year average E10 Growth Rate of Genpact was 14.80% per year. The lowest was 10.00% per year. And the median was 12.95% per year.

As of today (2025-03-03), Genpact's current stock price is €50.40. Genpact's E10 for the quarter that ended in Dec. 2024 was €1.99. Genpact's Shiller PE Ratio of today is 25.33.

During the past 13 years, the highest Shiller PE Ratio of Genpact was 38.54. The lowest was 15.45. And the median was 30.59.


Genpact E10 Historical Data

The historical data trend for Genpact's E10 can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Genpact E10 Chart

Genpact Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
E10
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.01 1.27 1.51 1.69 1.99

Genpact Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
E10 Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.69 1.81 1.85 1.80 1.99

Competitive Comparison of Genpact's E10

For the Information Technology Services subindustry, Genpact's Shiller PE Ratio, along with its competitors' market caps and Shiller PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Genpact's Shiller PE Ratio Distribution in the Software Industry

For the Software industry and Technology sector, Genpact's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Genpact's Shiller PE Ratio falls into.



Genpact E10 Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. When we calculate the today's Shiller P/E ratio of a stock, we use today's price divided by E10.

What is E10? How do we calculate E10?

E10 is the average of the inflation adjusted earnings of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the E10 of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the earnings from 2001 through 2010.

We adjusted the earnings of 2001 earnings data with the total inflation from 2001 through 2010 to the equivalent earnings in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart earned $1 a share in 2001, then the 2001's equivalent earnings in 2010 is $1.4 a share. If Wal-Mart earns $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 earnings in 2010 is $1.35. So on and so forth, you get the equivalent earnings of past 10 years. Then you add them together and divided the sum by 10 to get E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

For example, Genpact's adjusted earnings per share data for the three months ended in Dec. 2024 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Dec. 2024 (Change)*Current CPI (Dec. 2024)
=0.754/133.1571*133.1571
=0.754

Current CPI (Dec. 2024) = 133.1571.

Genpact Quarterly Data

per share eps CPI Adj_EPS
201503 0.185 99.621 0.247
201506 0.249 100.684 0.329
201509 0.276 100.392 0.366
201512 0.275 99.792 0.367
201603 0.242 100.470 0.321
201606 0.276 101.688 0.361
201609 0.294 101.861 0.384
201612 0.360 101.863 0.471
201703 0.243 102.862 0.315
201706 0.320 103.349 0.412
201709 0.319 104.136 0.408
201712 0.287 104.011 0.367
201803 0.268 105.290 0.339
201806 0.282 106.317 0.353
201809 0.326 106.507 0.408
201812 0.360 105.998 0.452
201903 0.274 107.251 0.340
201906 0.336 108.070 0.414
201909 0.409 108.329 0.503
201912 0.378 108.420 0.464
202003 0.398 108.902 0.487
202006 0.284 108.767 0.348
202009 0.365 109.815 0.443
202012 0.312 109.897 0.378
202103 0.395 111.754 0.471
202106 0.440 114.631 0.511
202109 0.451 115.734 0.519
202112 0.336 117.630 0.380
202203 0.463 121.301 0.508
202206 0.359 125.017 0.382
202209 0.515 125.227 0.548
202212 0.453 125.222 0.482
202303 0.532 127.348 0.556
202306 0.581 128.729 0.601
202309 0.600 129.860 0.615
202312 1.458 129.419 1.500
202403 0.589 131.776 0.595
202406 0.622 132.554 0.625
202409 0.667 133.029 0.668
202412 0.754 133.157 0.754

Add all the adjusted EPS together and divide 10 will get our e10.


Genpact  (FRA:35G) E10 Explanation

If a company grows much fast than inflation, E10 may underestimate the company's earnings power. Shiller PE Ratio can seem to be too high even the actual P/E is low.

For the Shiller P/E, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller P/E is also called PE10.

The Shiller P/E was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

Genpact's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=50.40/1.99
=25.33

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

During the past 13 years, the highest Shiller P/E Ratio of Genpact was 38.54. The lowest was 15.45. And the median was 30.59.


Be Aware

Shiller PE Ratio works better for cyclical companies. It gives you a better idea on the company's real earnings power.


Genpact E10 Related Terms

Thank you for viewing the detailed overview of Genpact's E10 provided by GuruFocus.com. Please click on the following links to see related term pages.


Genpact Business Description

Traded in Other Exchanges
Address
22 Victoria Street, Canon's Court, Hamilton, BMU, HM 12
Genpact Ltd is a provider of business process management services. Clients are industry verticals and operate in banking and financial services, insurance, capital markets, consumer product goods, life sciences, infrastructure, manufacturing and services, healthcare, and high-tech. Genpact's services include aftermarket, direct procurement, risk and compliance, human resources, IT, industrial solutions, collections, finance and accounting, and media services. Genpact's end market by revenue is India. It is a General Electric spin-off, which is still a large source of revenue for Genpact.

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