With an extensive portfolio of services like cloud, cybersecurity, data and artificial intelligence, enterprise management, intelligent industry and sustainability, Capgemini has built remarkable customer trust and is expected to surge in market demand. The company has forecasted to grow earnings by 10.5% and revenue by 6.5% annually. EPS and ROE are also expected to grow by 9.9% and 18.4% per year, respectively. So, overall, investing in Capgemini unlisted shares would be profitable and could allow retail investors to reap ample benefits. This blog will analyse data, factors and other vital aspects to authenticate the good performance of Capgemini Technology Services India Ltd’s unlisted shares.
Capgemini As A Tech Solution Provider
Previously known as IGATE Global Solutions Limited, Capgemini Technology Services India Limited provides IT and IT-enabled services, offshore outsourcing solutions, and BPO services to medium and large enterprises. In addition, the company provides customised solutions for application development and business intelligence services via its large offshore development centres. It has subsidiaries in the United States, the United Kingdom, Singapore and India. As an employer, Capgemini Technology Services India Ltd. employs 3,40,000 employees and operates in around 50 countries. As an IT solution provider, the company can maximise its growth with some significant drivers:
Capgemini Can Leverage These Key Drivers
Since the company provides modern tech and IT solutions worldwide, it can scale its operations in the following segments.
One of the most rapidly growing segments of the Indian IT industry, cloud computing is attracting more and more companies. They are willing to move their operations to the cloud enabling their teams to collaborate and work remotely. This trend has surged after the COVID-19 pandemic.
Artificial Intelligence & Machine Learning
AI and ML are the new normal, transforming various industries; the IT sector is no exception. Companies are utilising the applications of AI and ML to enhance their customer experience and improve operational efficiency.
The uncertainty caused due to pandemic has forced Indian businesses to boost their digital transformation efforts and adopt digital technologies to stay competitive. Consequently, there is considerable growth in demand for digital transformation services, including consulting, planning and execution.
As more and more businesses in India have moved their operations online, cyber threats have become one of their primary concerns. It has increased demand for cybersecurity services, including risk assessment, threat detection and prevention.
Capgemini Has a Strong & Steady Financial Position
Since Capgemini Technology Services India Ltd has taken no borrowings, it has a strong liquidity and solvency position. Moreover, the company’s debt can be easily managed with the cash or other equivalent assets the company has. The company has also registered solid growth in its cloud and digital business segment since it has adopted cutting-edge technologies like Big Data, Cloud computing and artificial intelligence. Additionally, Capgemini leverages its strong networking and extensive global reach to provide its services in regional languages. It allows the company to get a significant advantage in terms of customer satisfaction.
The Market is Full of Opportunities for Capgemini
The government of India allotted $7.3 billion to invest in information technology and the telecommunication industry in the Union Budget 2021/22. Additionally, India has an excellent ecosystem for tech startups, allowing IT vendors to offer different innovative services. Another possibility for IT solution providers like Capgemini is generated by the growing demand for automation and digitalisation in each segment of the economy since it will allow IT companies to expand their product and service range. Therefore, the IT sector is expected to reach $45.4 billion by 2026. Based on the manifold growth of the Indian IT industry, retail investors tend to buy unlisted shares of IT companies to enjoy significant returns.
Market Trends Are Favourable
The recent market trend is preparing for a better future with the advancements powered by innovative technologies like the Internet of Things, blockchain, Augmented Reality, Artificial Intelligence and faster internet speed like 5G.
Metaverse is another opportunity that IT providers seek to utilise to provide their customers with never before experiences. It would enable IT solutions providers like Capgemini Technology to add services like immersive digital space and real-time communications to their portfolio.
With the global delivery model, the Indian software development industry is projected to reach $100 million by 2025. In addition, Indian companies are keen to expand their global footprint and increase their global investment.
Global Innovation Center is embracing innovative technologies like AI, ML, Big Data Analytics and cloud computing in banking and financial services, providing business opportunities to Indian IT service providers.
How Will Capgemini Technology Services India Ltd Unlisted Shares Perform in the Future?
Many reasons demonstrate that the performance of Capgemini unlisted shares will be good in future. First, the earnings and revenue of the company are expected to grow at a significant rate. Second, the company has a vast portfolio, including highly sought-after services like cloud computing, artificial intelligence, cyber security, customer experience, etc. Another solid reason that promises the optimistic performance of Capgemini Technology Services India Ltd unlisted shares is that the company has in-depth expertise in utilising emerging technologies to provide world-class services for enterprise management.
Based on the financial records of Capgemini, the key drivers it is leveraging, its strength, financial position, ample opportunities and favourable market trends, Capgemini Technology India unlisted shares are a good investment option. Since the Capgemini Technology pre-IPO stocks are currently undervalued by 21%, and it has a historical annual earnings growth of 15%, retail investors can reap considerable benefits. Considering the exponential growth of the Indian IT industry, it is the right time to invest in well-established IT service providers like Capgemini.
Despite excellent financial records and growth history, stock investment is always risky. So, getting the support of the best unlisted shares experts is recommended to make a smart and informed and smart investment decision. Stockify can help you get the right guidance while buying or selling unlisted shares. Get in touch with us today!