Head-To-Head Analysis: Genpact (NYSE:G) vs. Huron Consulting Group (NASDAQ:HURN)

Genpact (NYSE:G) and Huron Consulting Group (NASDAQ:HURN) are both mid-cap industrials companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, dividends, risk, institutional ownership, valuation, profitability and analyst recommendations.

Valuation & Earnings

This table compares Genpact and Huron Consulting Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Genpact	$5.08 billion	1.39	$552.49 million	$3.43	12.34
Huron Consulting Group	$1.70 billion	1.48	$105.04 million	$6.72	23.75

Genpact has higher revenue and earnings than Huron Consulting Group. Genpact is trading at a lower price-to-earnings ratio than Huron Consulting Group, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Genpact has a beta of 0.53, indicating that its stock price is 47% less volatile than the S&P 500. Comparatively, Huron Consulting Group has a beta of 0.09, indicating that its stock price is 91% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and price targets for Genpact and Huron Consulting Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Genpact	0	7	2	0	2.22
Huron Consulting Group	0	2	5	0	2.71

Genpact presently has a consensus price target of $41.89, suggesting a potential downside of 1.00%. Huron Consulting Group has a consensus price target of $215.50, suggesting a potential upside of 35.02%. Given Huron Consulting Group’s stronger consensus rating and higher probable upside, analysts plainly believe Huron Consulting Group is more favorable than Genpact.

Profitability

This table compares Genpact and Huron Consulting Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Genpact	11.04%	23.34%	10.68%
Huron Consulting Group	6.10%	35.61%	9.42%

Insider & Institutional Ownership

96.0% of Genpact shares are owned by institutional investors. Comparatively, 93.9% of Huron Consulting Group shares are owned by institutional investors. 1.6% of Genpact shares are owned by company insiders. Comparatively, 2.1% of Huron Consulting Group shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

Huron Consulting Group beats Genpact on 8 of the 14 factors compared between the two stocks.

About Genpact

Genpact Limited provides business process outsourcing and information technology services in India, rest of Asia, North and Latin America, and Europe. It operates through three segments: Financial services; Consumer and Healthcare; and High Tech and Manufacturing. The Financial Services segment offers retail customer onboarding, customer service, collections, card servicing operations, loan and payment operations, commercial loan, equipment and auto loan, mortgage origination, compliance services, reporting and monitoring, and wealth management operations support; financial crime and risk management services; and underwriting support, new business processing, policy administration, claims management, catastrophe modeling and actuarial services, as well as property and casualty claims. The Consumer and Healthcare segment provides demand generation, sensing and planning, supply chain planning and management, pricing and trade promotion management, deduction recovery management, order management, and digital commerce; and end-to-end claim lifecycle management, from claims processing and adjudication to claims recovery and payment integrity, revenue cycle management, health equity analytics, and care services. The High Tech and Manufacturing segment offers industry-specific solutions for trust and safety, advertising sales support, customer and user experience, and customer care support; and direct and indirect procurement, logistics, field, aftermarket support, and engineering services. It also provides digital operation services; data-tech-Al services; finance and accounting services, such as accounts payable, invoice-to-cash, record to report, financial planning and analysis, and enterprise risk and compliance; CFO advisory services; supply chain, and sourcing and procurement services; sales and commercial, and marketing and experience services; and environmental, social and governance services. The company was founded in 1997 and is based in Hamilton, Bermuda.

About Huron Consulting Group

Huron Consulting Group Inc., a professional services firm, provides consultancy services in the United States and internationally. It operates through three segments: Healthcare, Education, and Commercial. The Healthcare segment provides financial and operational performance improvement consulting services; digital offerings, spanning technology and analytic-related services; software products; organizational transformation services; revenue cycle managed and outsourcing services; financial and capital advisory consulting services; and strategy and innovation consulting services to national and regional health systems, academic and community health systems, federal health system, public, children’s and critical access hospitals, physician practices and medical groups, payors, and long-term care or post-acute providers. The Education segment provides digital solutions, spanning technology, and analytic-related services; Huron Research product suite, a software suite designed to facilitate and enhance research administration service delivery and compliance; research-focused consulting and managed services; strategy and operations consulting services for public and private colleges and universities, research institutes, and other education-related organizations. The Commercial segment delivers digital services and software products, and financial advisory services to financial, energy and utilities, professional and business services, life science, consumer products, and industrials and manufacturing industries, as well as public sector and nonprofit organizations. The company was incorporated in 2002 and is headquartered in Chicago, Illinois.