Home > Comparison > Technology > G vs DXC
The strategic rivalry between Genpact Limited and DXC Technology Company shapes the evolution of the global technology services sector. Genpact operates as a diversified business process and IT services provider with a broad global footprint. In contrast, DXC focuses on integrated IT solutions, emphasizing cloud migration and infrastructure management. This analysis will assess which company’s operational model offers a superior risk-adjusted return for investors seeking exposure to technology-driven transformation.
Table of contents
Companies Overview
Genpact Limited and DXC Technology Company are pivotal players in the global information technology services sector.
Genpact Limited: Business Process Outsourcing Leader
Genpact Limited dominates as a business process outsourcing powerhouse. It generates revenue through comprehensive finance, accounting, supply chain, and IT services across multiple industries worldwide. In 2026, Genpact emphasizes digital transformation and ESG-driven advisory services, enhancing its competitive edge in sustainability and operational efficiency.
DXC Technology Company: IT Services and Cloud Innovator
DXC Technology Company excels in IT services and cloud solutions, focusing on analytics, application modernization, and secure infrastructure management. Its two-segment approach, Global Business and Infrastructure Services, underpins its revenue. In 2026, DXC prioritizes accelerating digital transformation through agile automation and multi-cloud security to support enterprise clients globally.
Strategic Collision: Similarities & Divergences
Both firms compete in delivering IT services but diverge in their core philosophies: Genpact centers on process outsourcing with a sustainability lens, while DXC champions cloud innovation and infrastructure management. Their primary battleground lies in digital transformation services. Genpact offers a more focused outsourcing model, whereas DXC presents a diversified technology platform, shaping distinct risk and growth profiles for investors.
Income Statement Comparison
This data dissects the core profitability and scalability of both corporate engines to reveal who dominates the bottom line:
| Metric | Genpact Limited (G) | DXC Technology Company (DXC) |
|---|---|---|
| Revenue | 5.08B | 12.87B |
| Cost of Revenue | 3.25B | 9.77B |
| Operating Expenses | 1.05B | 2.40B |
| Gross Profit | 1.83B | 3.10B |
| EBITDA | 875M | 2.21B |
| EBIT | 780M | 895M |
| Interest Expense | 50M | 265M |
| Net Income | 552M | 389M |
| EPS | 3.18 | 2.15 |
| Fiscal Year | 2025 | 2025 |
Income Statement Analysis: The Bottom-Line Duel
This income statement comparison unveils the true efficiency and profitability of two distinct corporate engines over recent years.
Genpact Limited Analysis
Genpact’s revenue grew steadily from 4B in 2021 to 5.1B in 2025, with net income rising from 369M to 552M. Its gross margin holds strong at 36%, while net margin improved to nearly 11%, reflecting solid cost control. The 2025 results highlight consistent margin expansion and earnings momentum, signaling operational discipline.
DXC Technology Company Analysis
DXC’s revenue declined from 16.3B in 2021 to 12.9B in 2025, while net income swung from 718M to 389M. Its gross margin remains modest at 24%, with a weaker net margin near 3%. The latest year shows improved EBIT and net margin growth, but the top-line contraction weighs on long-term efficiency and profitability.
Margin Strength vs. Revenue Scale
Genpact delivers superior margin health and steady revenue expansion, while DXC struggles with shrinking sales but shows recent margin recovery. Fundamentally, Genpact’s consistent profitability and growth make it the clearer winner. Investors seeking resilient margins and stable earnings should favor Genpact’s profile.
Financial Ratios Comparison
These vital ratios act as a diagnostic tool to expose the underlying fiscal health, valuation premiums, and capital efficiency of the companies analyzed:
| Ratios | Genpact Limited (G) | DXC Technology Company (DXC) |
|---|---|---|
| ROE | 21.67% | 12.05% |
| ROIC | 12.32% | 4.43% |
| P/E | 14.72 | 7.92 |
| P/B | 3.19 | 0.95 |
| Current Ratio | 1.66 | 1.22 |
| Quick Ratio | 1.66 | 1.22 |
| D/E | 0.23 | 1.41 |
| Debt-to-Assets | 9.91% | 34.43% |
| Interest Coverage | 15.32 | 2.63 |
| Asset Turnover | 0.87 | 0.97 |
| Fixed Asset Turnover | 13.65 | 6.82 |
| Payout ratio | 21.31% | 0% |
| Dividend yield | 1.45% | 0% |
| Fiscal Year | 2025 | 2025 |
Efficiency & Valuation Duel: The Vital Signs
Financial ratios serve as a company’s DNA, uncovering hidden risks and operational excellence through key profitability and valuation metrics.
Genpact Limited
Genpact demonstrates strong profitability with a 21.7% ROE and a 10.9% net margin, highlighting operational efficiency. Its P/E ratio of 14.7 suggests a reasonably valued stock, though the P/B of 3.19 appears stretched. Genpact balances shareholder returns with a 1.45% dividend yield, indicating steady income alongside reinvestment in growth.
DXC Technology Company
DXC posts a modest 12.1% ROE and a weak 3.0% net margin, reflecting less efficient profitability. The stock appears attractive with a low P/E of 7.9 and a P/B under 1.0, signaling undervaluation. However, DXC offers no dividend, focusing instead on cautious reinvestment amid elevated debt levels and operational challenges.
Balanced Profitability Versus Valuation Appeal
Genpact combines solid returns and a fair valuation, presenting a balanced risk-reward profile. DXC’s cheaper valuation is offset by weaker profitability and no income distribution. Investors seeking operational strength and modest income may prefer Genpact, while those prioritizing value and turnaround potential might lean toward DXC.
Which one offers the Superior Shareholder Reward?
I compare Genpact Limited (G) and DXC Technology Company (DXC) on distribution strategies. Genpact pays a steady dividend with a 1.45% yield and a payout ratio around 21%. Its free cash flow comfortably covers dividends, signaling sustainability. Genpact also executes moderate buybacks, complementing shareholder returns. DXC, by contrast, pays no dividend, instead reinvesting heavily in capex and buybacks. Its buyback activity is robust but free cash flow coverage is weaker, reflecting operational challenges. Historically, Genpact’s balanced dividend and buyback mix offers a safer, more predictable total return. I conclude Genpact provides the superior shareholder reward in 2026, combining income and capital return with sustainable cash flow generation.
Comparative Score Analysis: The Strategic Profile
The radar chart reveals the fundamental DNA and trade-offs of Genpact Limited and DXC Technology Company, highlighting their financial strengths and valuation traits:
Genpact shows a more balanced profile with strong DCF (5), ROE (4), and ROA (4) scores but weaker debt-to-equity (2) and valuation metrics (P/E 3, P/B 2). DXC matches Genpact in DCF and ROE but lags in ROA (3) and shows a riskier debt position (1). However, DXC enjoys better valuation scores (P/E 4, P/B 4), indicating market favor on pricing. Genpact leans on operational efficiency, while DXC’s edge is undervaluation.
Bankruptcy Risk: Solvency Showdown
Genpact’s Altman Z-Score of 3.09 places it safely in the stable zone, while DXC’s 1.16 flags significant bankruptcy risk in this cycle:
Financial Health: Quality of Operations
Genpact’s Piotroski F-Score of 8 indicates peak financial health, slightly outperforming DXC’s strong but lower score of 7, signaling fewer red flags in Genpact’s internal metrics:
How are the two companies positioned?
This section dissects the operational DNA of Genpact and DXC by comparing their revenue distribution and internal dynamics. The goal is to confront their economic moats and identify which model offers the most resilient competitive advantage today.
Revenue Segmentation: The Strategic Mix
This comparison breaks down how Genpact Limited and DXC Technology diversify their revenue streams, revealing their principal sector focuses and business strategies:
Genpact Limited leans heavily on its Consumer and Healthcare segment, generating $1.69B in 2024, showing high concentration risk but strong sector expertise. DXC Technology lacks available segmentation data, preventing a direct comparison. Genpact’s reliance on one dominant sector contrasts a more diversified approach that would mitigate volatility. This concentration implies Genpact pivots on ecosystem lock-in within healthcare, exposing it to sector-specific cycles and competitive pressures.
Strengths and Weaknesses Comparison
This table compares the strengths and weaknesses of Genpact Limited and DXC Technology Company:
Genpact Limited Strengths
- Diverse revenue streams in Consumer, Healthcare, and Financial sectors
- Strong profitability with ROE at 21.67% and net margin 10.88%
- Very favorable financial ratios including low debt-to-assets at 9.91%
- Global presence spanning Americas, Europe, Asia, and strong India market
- High fixed asset turnover at 13.65 indicating efficient asset use
DXC Technology Company Strengths
- Favorable valuation metrics with P/E at 7.92 and P/B at 0.95
- Quick ratio at 1.22 signals reasonable liquidity
- Favorable WACC at 5.8% supports capital efficiency
- Fixed asset turnover at 6.82 shows moderate asset productivity
- Slightly favorable overall financial ratios balance
Genpact Limited Weaknesses
- Unfavorable price-to-book ratio at 3.19 may indicate overvaluation
- Asset turnover is neutral at 0.87, limiting operational efficiency
- Dividend yield is neutral at 1.45%, providing modest income
DXC Technology Company Weaknesses
- Low net margin at 3.02% shows weak profitability
- ROIC of 4.43% is below WACC, signaling poor capital returns
- High debt-to-equity at 1.41 raises financial risk
- Neutral interest coverage ratio at 3.38 may constrain debt servicing
- Zero dividend yield limits shareholder returns
Genpact demonstrates solid profitability and diverse global operations, reflecting a strong operational and financial foundation. DXC’s valuation and liquidity strengths are offset by profitability and leverage concerns, indicating challenges in capital efficiency and risk management.
The Moat Duel: Analyzing Competitive Defensibility
A structural moat alone shields long-term profits from relentless competition erosion. Here is how Genpact and DXC Technology stack up:
Genpact Limited: Efficient Capital Allocation & Margin Stability
Genpact’s moat lies in high ROIC exceeding WACC by 5.1%, reflecting efficient capital use and margin stability near 15%. Its expanding digital services deepen this moat in 2026.
DXC Technology Company: Struggling Value Creator with Operational Challenges
DXC suffers a declining ROIC below WACC by 1.4%, signaling value destruction. Unlike Genpact, DXC’s shrinking margins and revenue threaten its competitive stance amid ongoing digital transformation efforts.
Efficient Capital Deployment vs. Declining Profitability: The Moat Battle
Genpact boasts a wider, growing moat with strong financial discipline and sustained profitability. DXC’s weakening returns and shrinking value leave it vulnerable to market share losses. Genpact stands better equipped to defend its position.
Which stock offers better returns?
The past year shows contrasting price movements: Genpact Limited’s stock gained steadily, while DXC Technology Company experienced a sustained decline followed by recent gains.
Trend Comparison
Genpact Limited’s stock rose 21.95% over the past 12 months, marking a bullish trend with decelerating momentum. It peaked at 55.05 and bottomed at 30.9, with notable volatility (6.04% std dev).
DXC Technology Company’s stock declined 26.36% over the same period, indicating a bearish trend with accelerating downward pressure. Its range spanned 12.59 to 22.5, showing moderate volatility (2.99% std dev).
Comparing trends, Genpact Limited delivered the highest market performance over 12 months. DXC’s recent rebound contrasts its overall negative trend but does not offset the annual loss.
Target Prices
Analysts present a moderate upside consensus for both Genpact Limited and DXC Technology Company.
| Company | Target Low | Target High | Consensus |
|---|---|---|---|
| Genpact Limited | 42 | 50 | 46 |
| DXC Technology Company | 13 | 14 | 13.5 |
Genpact’s target consensus at $46 implies a 14% upside from its $40.39 price, signaling cautious optimism. DXC’s $13.5 consensus trails its $15.20 price, suggesting potential downside or market caution.
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How do institutions grade them?
Genpact Limited Grades
The following table shows recent grades assigned by recognized financial institutions for Genpact Limited:
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Needham | Maintain | Buy | 2026-02-06 |
| JP Morgan | Maintain | Neutral | 2025-08-20 |
| Needham | Maintain | Buy | 2025-08-08 |
| Mizuho | Maintain | Neutral | 2025-07-01 |
| Needham | Maintain | Buy | 2025-06-30 |
| TD Cowen | Maintain | Buy | 2025-06-27 |
| Baird | Maintain | Neutral | 2025-05-08 |
| Needham | Maintain | Buy | 2025-05-08 |
| Mizuho | Maintain | Neutral | 2025-02-10 |
| Needham | Maintain | Buy | 2025-02-07 |
DXC Technology Company Grades
Below are recent grades from established grading firms for DXC Technology Company:
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| BMO Capital | Maintain | Market Perform | 2026-02-03 |
| Stifel | Maintain | Hold | 2025-10-31 |
| JP Morgan | Maintain | Underweight | 2025-08-20 |
| Morgan Stanley | Maintain | Equal Weight | 2025-08-01 |
| RBC Capital | Maintain | Sector Perform | 2025-08-01 |
| JP Morgan | Maintain | Underweight | 2025-05-21 |
| RBC Capital | Maintain | Sector Perform | 2025-05-15 |
| BMO Capital | Maintain | Market Perform | 2025-05-15 |
| Morgan Stanley | Maintain | Equal Weight | 2025-05-15 |
| Guggenheim | Maintain | Neutral | 2025-05-12 |
Which company has the best grades?
Genpact Limited consistently receives Buy ratings, while DXC Technology mainly earns Market Perform or Hold grades. Investors might view Genpact as having stronger analyst conviction, potentially impacting confidence and valuation.
Risks specific to each company
The following categories identify the critical pressure points and systemic threats facing both firms in the 2026 market environment:
1. Market & Competition
Genpact Limited
- Operates across diverse global regions with strong presence in IT and finance sectors, facing intense competition from specialized BPO and IT service firms.
DXC Technology Company
- Competes in highly fragmented IT services market with pressure from cloud-native firms and consulting giants, risking margin compression.
2. Capital Structure & Debt
Genpact Limited
- Maintains low debt-to-equity (0.23), with strong interest coverage (15.72x), indicating conservative leverage and financial stability.
DXC Technology Company
- High leverage with debt-to-equity of 1.41 and weaker interest coverage (3.38x), exposing it to refinancing and solvency risks.
3. Stock Volatility
Genpact Limited
- Beta at 0.735 signals lower volatility than market, appealing for risk-averse investors.
DXC Technology Company
- Beta of 1.083 shows above-market volatility, adding risk under turbulent market conditions.
4. Regulatory & Legal
Genpact Limited
- Operates internationally, subject to multi-jurisdictional compliance and data privacy laws, increasing complexity and potential regulatory costs.
DXC Technology Company
- Exposed to US and global IT compliance regulations, with added risks from government contracting and cybersecurity mandates.
5. Supply Chain & Operations
Genpact Limited
- Global delivery model depends on offshore centers, vulnerable to geopolitical tensions and labor market disruptions.
DXC Technology Company
- Relies on legacy system transitions and cloud migrations, facing operational risks in integration and service continuity.
6. ESG & Climate Transition
Genpact Limited
- Invests in ESG services and sustainability reporting, positioning for regulatory tailwinds but also facing rising compliance costs.
DXC Technology Company
- ESG efforts improving but legacy business models may struggle with rapid climate transition demands and stakeholder pressures.
7. Geopolitical Exposure
Genpact Limited
- Exposed to risks from Asia and Latin America, including regulatory shifts and political instability.
DXC Technology Company
- Primarily US-based but with global operations, facing supply chain uncertainties from geopolitical conflicts and trade policies.
Which company shows a better risk-adjusted profile?
Genpact’s low leverage, strong profitability, and stable stock volatility provide a more resilient risk profile. DXC’s high debt and weaker margins raise solvency concerns, despite favorable valuation metrics. Genpact’s recent Altman Z-Score in the safe zone versus DXC’s distress zone underscores this disparity. I view Genpact as better positioned to manage systemic risks in 2026’s volatile IT services landscape.
Final Verdict: Which stock to choose?
Genpact Limited’s superpower lies in its robust value creation and steadily growing profitability, driven by efficient capital allocation and a strong economic moat. Its point of vigilance is a relatively high price-to-book ratio, suggesting investors should watch valuation closely. This stock suits portfolios targeting aggressive growth with a margin of safety.
DXC Technology Company’s strategic moat hinges on its attractive valuation and strong free cash flow yield, providing a cushion amid operational challenges. It offers more stability than Genpact but is burdened by declining ROIC and weaker profitability metrics. DXC fits best in GARP portfolios seeking value with growth potential under cautious risk management.
If you prioritize sustainable competitive advantage and consistent value creation, Genpact outshines due to its superior ROIC and solid financial health. However, if you seek a value-oriented approach with higher free cash flow yield and a lower entry price, DXC offers better stability despite its operational headwinds. Each choice reflects distinct risk tolerance and investment strategy.
Disclaimer: Investment carries a risk of loss of initial capital. The past performance is not a reliable indicator of future results. Be sure to understand risks before making an investment decision.
Go Further
I encourage you to read the complete analyses of Genpact Limited and DXC Technology Company to enhance your investment decisions:
