Company Reports

Capgemini, based in France, is a global leader in the IT services and engineering research and development services markets. It generates revenue mainly by assisting companies with their digital transformation initiatives by providing services such as IT consulting, software application development and maintenance, systems integration, engineering, and business process outsourcing.

Capgemini's constant-currency sales growth increased to 11.6% in the second quarter from 11% in the first, with a return to growth in France. 2026 constant-currency growth guidance was raised 1.25% at the midpoint. Shares were down 2% intraday on July 30.

Capgemini's first-quarter trading update showed revenue slightly ahead of FactSet consensus. Organic growth was 4.5%. Shares were flat in April 30 intraday trading.

Capgemini, based in France, is a global leader in the IT services and engineering research and development services markets. It generates revenue mainly by assisting companies with their digital transformation initiatives by providing services such as IT consulting, software application development and maintenance, systems integration, engineering, and business process outsourcing.

We reviewed our moat ratings in the global technology sector due to potential disruption from artificial intelligence.

Capgemini, based in France, is a global leader in the IT services and engineering research and development services markets. It generates revenue mainly by assisting companies with their digital transformation initiatives by providing services such as IT consulting, software application development and maintenance, systems integration, engineering, and business process outsourcing.

Capgemini's fourth-quarter revenue beat FactSet consensus, while 2026 guidance was broadly in line. Restructuring costs of EUR 700 million were announced to adapt its workforce to the technology shift driven by artificial intelligence. Shares rose 5% on Feb 13.

Capgemini's third-quarter revenue beat FactSet consensus, and the company raised 2025 guidance. Shares rose 6% intraday Oct. 28.

Capgemini's second quarter delivered a modest top and bottom-line beat versus FactSet consensus, and 2025 revenue growth guidance was narrowed. Shares were up 1% intraday.

On July 7, Capgemini announced its intention to acquire WNS in a friendly all-cash transaction. WNS is a global leader in digital process services. Shares fell 5.5%.

Capgemini maintained 2025 guidance, reported first-quarter sales that were slightly better than company expectations, and hasn't seen a material impact on client decisions yet due to tariffs. Shares rallied 6% intraday.

Capgemini, based in France, is a global leader in the IT services and engineering research and development services markets. It generates revenue mainly by assisting companies with their digital transformation initiatives by providing services such as IT consulting, software application development and maintenance, systems integration, engineering, and business process outsourcing.

Capgemini's fourth quarter was in line with FactSet consensus, but fiscal 2025 revenue growth guidance looks light given a worsening downturn in manufacturing, particularly in France. Shares were down around 7% intraday.

Capgemini, based in France, is a global leader in the IT services and engineering research and development services markets. It generates revenue mainly by assisting companies with their digital transformation initiatives by providing services such as IT consulting, software application development and maintenance, systems integration, engineering, and business process outsourcing.

Capgemini shares were down around 8% intraday after it cut fiscal 2024 revenue guidance for the second quarter in a row. The company now expects fiscal 2024 constant-currency revenue growth of negative 2.0% to negative 2.4%, from negative 0.5% to negative 1.5% previously.

Narrow-moat Capgemini reported first-half numbers that were broadly in line with FactSet consensus. However, fiscal 2024 constant-currency revenue growth guidance was cut to negative 0.5%-negative 1.5% from 0%-3%, which is below our previous estimate of 2.5% growth. Shares were down around 10% intraday. We’ve lowered our near-term forecasts and reduced our fair value estimate to EUR 200 from EUR 210. At current levels, the shares look undervalued.

Capgemini, based in France, is a global leader in the IT services and engineering research and development services markets. It generates revenue mainly by assisting companies with their digital transformation initiatives by providing services such as IT consulting, software application development and maintenance, systems integration, engineering, and business process outsourcing.

Narrow-moat Capgemini reported a 3.3% decline in constant-currency sales in its first-quarter trading update. Not completely surprising, as the company previously indicated the first quarter would be the trough in sales growth for the fiscal year. Shares were down around 2% intraday. We don’t expect to make a material change to our EUR 210 fair value estimate. At current levels, the shares look fairly valued.

Capgemini, based in France, is a global leader in the IT services and engineering research and development services markets. It generates revenue mainly by assisting companies with their digital transformation initiatives by providing services such as IT consulting, software application development and maintenance, systems integration, engineering, and business process outsourcing.

Narrow-moat Capgemini reported fiscal 2023 sales of EUR 22.5 billion, up 4.4% versus last year at constant exchange rates and an operating margin of 13.3%, a 30-basis-point increase. Results were broadly in line with FactSet consensus, but slightly lower than our forecast. Guidance for fiscal 2024 is modest, reflecting continued soft business conditions. Nevertheless, shares were up around 3%-4% intraday. We surmise the market is reacting to Capgemini guiding for the trough in growth to be in the first quarter. We don’t expect to make a material change to our EUR 210 fair value estimate. At current levels, the shares look undervalued.