Contrasting Genpact (NYSE:G) & Huron Consulting Group (NASDAQ:HURN)

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

Earnings & Valuation

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Huron Consulting Group	$1.70 billion	1.58	$105.04 million	$6.72	25.24
Genpact	$5.34 billion	1.37	$552.49 million	$3.43	12.73

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.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Huron Consulting Group	6.10%	35.61%	9.42%
Genpact	11.04%	23.02%	10.57%

Risk and Volatility

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

Insider and Institutional Ownership

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

Analyst Ratings

This is a summary of current ratings and recommmendations for Huron Consulting Group and Genpact, as provided by MarketBeat.com.

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

Huron Consulting Group presently has a consensus price target of $215.50, suggesting a potential upside of 27.03%. Genpact has a consensus price target of $41.89, suggesting a potential downside of 4.07%. Given Huron Consulting Group’s stronger consensus rating and higher possible upside, equities research analysts plainly believe Huron Consulting Group is more favorable than Genpact.

Summary

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

About Huron Consulting Group

Huron Consulting Group is a global professional services firm that advises organizations on business strategy, operations, technology and performance improvement. Founded in 2002 and headquartered in Chicago, the company serves clients in the United States and internationally. Huron organizes its work around healthcare, education and commercial markets. Its services include operational and financial consulting, digital transformation, technology implementation, data and analytics, and support with regulatory and organizational challenges.

About Genpact

Genpact is a global professional services company that helps businesses improve operations and pursue digital transformation. Its services include business process management, consulting, data and analytics, artificial intelligence, and technology implementation. The company works with clients across industries such as banking and financial services, insurance, consumer goods, healthcare, life sciences, manufacturing, and technology. It serves organizations around the world through its global operations.