Genpact vs IQVIA Which Offers More Value?

Genpact and IQVIA are two leading companies in the professional services and healthcare industries, respectively. Both companies are publicly traded on the stock market and have seen significant growth and success in recent years. Genpact provides business process outsourcing and consulting services, while IQVIA offers a range of healthcare data and analytics solutions. Investors looking to diversify their portfolio may consider investing in both Genpact and IQVIA stocks to capitalize on their respective industry expertise and potential for future growth.

Genpact or IQVIA?

When comparing Genpact and IQVIA, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Genpact and IQVIA.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Genpact has a dividend yield of 1.6%, while IQVIA has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Genpact reports a 5-year dividend growth of 12.89% year and a payout ratio of 16.07%. On the other hand, IQVIA reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Genpact P/E ratio at 12.61 and IQVIA's P/E ratio at 28.12. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Genpact P/B ratio is 3.49 while IQVIA's P/B ratio is 5.67.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Genpact has seen a 5-year revenue growth of 0.56%, while IQVIA's is 0.60%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Genpact's ROE at 28.58% and IQVIA's ROE at 21.50%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $45.77 for Genpact and $216.95 for IQVIA. Over the past year, Genpact's prices ranged from $30.23 to $47.98, with a yearly change of 58.72%. IQVIA's prices fluctuated between $191.45 and $261.73, with a yearly change of 36.71%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.