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Data-driven stock valuation

Capgemini SE (CGM) fair value: what the stock is really worth

We calculate from audited financials what Capgemini SE is really worth. The fair value tells you whether the price is too high or too low, the quality score (0 to 100) how solid the business behind it is. 26 models, 37 quality factors, updated daily, free.

  1. Compare price with fair valuebelow fair value = cheap, above = expensive
  2. Check the quality50 and up solid, 75 and up strong
  3. Watch it or check another stockalert when fair value or trend changes

Technology · DE · Market cap €15.1B · ISIN FR0000125338

At a glance

CS Capgemini SE CGM · XETRA
Price€107.45
Fair Value€182.14
Upside+69.5%
Quality61/100

A solid business, trading 41% below our fair value of €182.14.

As of Aug 19, 2026, the fair value of Capgemini SE is €182.14 per share against a price of €107.45, so the fair value sits 70% above the price. A model estimate from reported figures, not an analyst target.

!Weak Growth (revenue 3y +0.7 %/yr)
!Thin margins · 7.1% net margin
Moderate debt · generates free cash flow
·3.16% dividend yield
!Moderate moat 50/100
Evidence: High Range €114.38 to €256.95

Fair value as of: Aug 19, 2026

From 24 valuation models · updated 18 days ago

Share price −1.2% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The price is below even our cautious bear case (€114.38). The market is more pessimistic than our downside scenario.
  • Solid quality (61/100) at a price below fair value, the discount is the argument here, not the business quality.
  • A fairly wide model range (€114.38 to €256.95) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

€210.91 €27.19 Fair Value €182.14 Jul 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 19, 2026.

How to read this chart

60‑month range €27.19 – €210.91 · fair‑value band €114.38 – €256.95 · the €107.45 price screens below the €182.14 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 19, 2026.

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Analysis

Capgemini SE (CGM) currently trades at €107.45, while our model-based Fair Value estimate is €182.14, implying the stock looks roughly 41.0% undervalued today. The Quality Score stands at 61/100 (solid quality), in the Technology sector. Bull case: the Multiples group reads highest at a median of €168.22 per share, and 19 of the 24 models we run sit above the €107.45 price. Bear case: the Dividend Discount group reads lowest at €43.68, and 5 of the 24 models stay below the price. Evidence for this calculation is high.

Over the trailing twelve months, Capgemini SE generated revenue of €22.5B at a net margin of 7.1%. Revenue grew 3.7% year over year. It earns a return on equity of 13.7%. Net debt stands at €5.5B. Fundamentals as of Aug 19, 2026

Scenario range: €114.38 (bear) to €256.95 (bull), the price of €107.45 sits below it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target. The share trades about 30% below its 52-week high and 13% above its 52-week low, currently below its 200-day average. For context, the median of 10 Technology peers we cover trades at 57% fair-value upside, at 70%, CGM screens cheaper than that median.

Fair Value models

Based on fiscal year 2025 figures (about 8 months old). Earnings retained since then (€3.92 per share) are deliberately not added.

Each model values the company its own way; the fair value above is the evidence-weighted blend. Evidence (0 to 100) shows how complete a model's inputs are. How we calculate →

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
FCF DCF €107.87 €159.44 €244.89 76
Growth DCF €112.83 €162.44 €239.70 75
Owner Earnings €96.55 €143.82 €222.14 73
All 24 models by family
DCF Models
FCF DCF €107.87 €159.44 €244.89 76
Owner Earnings €96.55 €143.82 €222.14 73
5Y Revenue Exit €102.67 €164.00 €246.32 69
5Y EBITDA Exit €132.91 €216.12 €317.47 71
5Y P/E Exit €109.34 €175.50 €247.61 67
10Y Revenue Exit €99.66 €153.95 €217.44 64
10Y EBITDA Exit €122.14 €188.61 €266.13 65
10Y P/E Exit €107.59 €161.60 €218.32 61
Earnings-Based
Graham-Dodd €65.70 €123.56 €153.61 63
EPV €85.57 €104.50 €121.06 71
Dividend Discount
Gordon GGM €32.19 €43.68 €55.35 66
DDM Multi-Stage €32.19 €44.53 €59.12 64
Multiples
P/E Multiple €159.41 €212.55 €265.69 63
P/S Multiple €123.18 €164.24 €205.31 58
P/B Multiple €123.18 €164.24 €205.31 55
EV/EBIT €164.45 €228.59 €292.74 66
EV/EBITDA €174.72 €242.28 €309.85 67
EV/Revenue €109.36 €168.22 €227.08 53
Asset-Based
NCAV (Graham) €35.15 €47.10 €70.29 54
Growth DCF
Growth DCF €112.83 €162.44 €239.70 75
Rev-Margin DCF €102.67 €166.12 €239.20 69
Economic Profit
Residual Income €68.12 €85.02 €194.06 67
ROIC Compounder €86.90 €110.31 €134.99 69
Growth Earnings
Growth-Adj P/E €113.57 €162.24 €210.91 65

Widest divergence: Multiples (€168.22) versus Dividend Discount (€43.68). Highest evidence: FCF DCF (76).

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Key figures & financial health

P/E ratio 11.8
P/S ratio 0.84 P/E × margin
EPS (TTM) €9.13 price ÷ EPS = P/E 11.8
Dividend yield 3.2% payout 37.2%
Net margin 7.1% FY2025
Return on equity 13.7% TTM
More key figures
Profitability
Return on assets (EBIT) 9.5% avg 5y
Operating margin 12.0% TTM
Growth
Revenue (TTM) €22.5B TTM
Revenue growth (YoY) +3.7% 3y avg +0.7%
EPS growth (YoY) +5.5%
Balance sheet & cash flow
Free cash flow €2.2B FY2025
Net debt €5.5B FY2025 · ≈ 2.5 yrs of FCF

Figures from reported company fundamentals · as of Aug 19, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 61/100

Of which business quality 60 · Market factors (momentum, volatility) 45

Profitability 46
Margins and returns on capital today
Quality Growth 29
Are margins and returns improving?
Cashflow 64
Earnings quality: real cash, not paper profit
Fin. Strength 58
Balance sheet, leverage, solvency risk
Investment 82
Disciplined investing over empire-building
Low Volatility 65
Calm price path (market factor)
Momentum 41
Price trend over the last 3–12 months (market factor)
52W Momentum 28
Distance to the 52-week high (market factor)
Net Issuance 90
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Capgemini SE, together with its subsidiaries, provides consulting, digital transformation, technology, and engineering services primarily in North America, France, the United Kingdom, Ireland, the rest of Europe, the Asia-Pacific, and Latin America.

Full company description

Capgemini SE, together with its subsidiaries, provides consulting, digital transformation, technology, and engineering services primarily in North America, France, the United Kingdom, Ireland, the rest of Europe, the Asia-Pacific, and Latin America. It offers strategy and transformation services in strategy, technology, engineering, data science, and creative design fields to support companies and organizations in creating new models and new products within the digital economy. The company provides applications and technology services to help clients to develop, modernize, extend, and secure IT and digital environment, as well as designs and develops technological solutions in data strategy and architecture, data engineering, information governance, data science and analytics, artificial intelligence, and data-driven innovation fields. In addition, it offers cloud infrastructure services for its clients to build an optimal, agile, and secure foundation for business transformations; and business process outsourcing and transactional services, as well as installation and maintenance services for its clients' IT infrastructures in data centers or in the cloud. The company serves various industries, including aerospace and defense, automotive, banking and capital markets, consumer products, energy and utilities, healthcare, high-tech, hospitality and travel, insurance, life sciences, manufacturing, media and entertainment, public sector, retail, and telecoms. The company has a strategic alliance with OpenAI for the development and deployment of enterprise AI solutions. The company was formerly known as Cap Gemini S.A. and changed its name to Capgemini SE in June 2017. The company was incorporated in 1967 and is headquartered in Paris, France.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Capgemini SE reported revenue of €22.5B in FY2025 versus €18.2B in FY2021, a compound +5.5%/yr. Reported net income was €1.6B in FY2025, compounding +8.5%/yr from FY2021.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
€22.5B
Latest YoY
+1.7%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+0.7%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year.
+10.4%
Earnings growth per share plus dividend yield: the value created per share and year.
Earnings growth per share+7.2%
Dividend yield3.2%
Operating margin (EBIT) Operating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.11.3% (2021) → 11.1% (2025) · steady
Revenue +5.5%/yr
FY21 €18.2B
FY22 €22.0B
FY23 €22.5B
FY24 €22.1B
FY25 €22.5B
Net income +8.5%/yr
FY21 €1.2B
FY22 €1.5B
FY23 €1.7B
FY24 €1.7B
FY25 €1.6B

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Cite: Fair Value Calculator (2026). "Capgemini SE Fair Value". https://www.fairvalue-calculator.com/stock/CGM

What the price implies (reverse DCF)

The inverse question: what free-cash-flow growth must Capgemini SE deliver for ten years so that today's price is fair in our DCF model? Same formula, same discount rate as the fair value.

Implied FCF growth, 10 years-3.7 % per year
Achieved revenue growth, 4 years+5.5 % p.a.
FCF yield on price12.14 %
Discount rate (WACC) in the models8.2 %

The price demands less growth than the company recently delivered: even a weaker business would justify the price. Ranking of the largest stocks →

Context: sector, industry, market

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Information Technology Services stocks, each showing price versus our Fair Value estimate (as of Aug 19, 2026).

Stock Price Fair Value vs Fair Value
International Business Machines Corporation IBM $234.89 $175.76 −25%
Accenture plc ACN $189.61 $334.27 +76%
Tata Consultancy Services Limited TCS ₹2,302 ₹3,473 +51%
Infosys Limited INFY ₹1,156 ₹1,958 +69%
HCL Technologies Limited HCLTECH ₹1,293 ₹1,722 +33%
Fiserv, Inc FI C$5.13 C$8.07 +57%
Wipro Limited WIT $1.83 $3.51 +92%
Fidelity National Information Services, Inc FIS $41.34 $19.28 −53%
Cognizant Technology Solutions Corporation CTSH $64.04 $132.01 +106%
CDW Corporation CDW $153.92 $179.36 +17%

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Frequently asked questions

Is Capgemini SE (CGM) overvalued or undervalued?
As of Aug 19, 2026, our model estimates a fair value of €182.14 versus a price of €107.45, about +70% upside (undervalued).
What is the fair value of CGM?
Our model-based fair value for Capgemini SE is €182.14 (as of Aug 19, 2026), built from audited fundamentals. The current price: €107.45.
What is the quality score of CGM?
Capgemini SE has a Quality Score of 61/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Capgemini SE (CGM)?
Our model-based price target is the fair value of €182.14 (as of Aug 19, 2026) from 24 valuation models. Cautious scenario €114.38, optimistic scenario €256.95. It is a calculation from audited fundamentals, not an analyst target.
What is the Capgemini SE stock forecast for 2026?
Our models put fair value at €182.14, about +70% upside versus a price of €107.45 (undervalued). Cautious scenario €114.38, optimistic scenario €256.95. The calculation is refreshed regularly with new filings.
What is the revenue of Capgemini SE (CGM)?
Capgemini SE reported trailing-twelve-month revenue of about €22.5B (latest available figure, as of Aug 19, 2026).
What is the net profit margin of CGM?
The net profit margin of Capgemini SE is about 7.1%, meaning it keeps roughly 7.1% of revenue as net income. Based on the latest reported figures.
Does Capgemini SE pay a dividend?
Capgemini SE currently shows a dividend yield of about 3.16% relative to its recent price (as of Aug 19, 2026).
What growth is priced into Capgemini SE (CGM)?
For today's price to be fair in a discounted-cash-flow model, Capgemini SE would have to grow free cash flow by -3.7 % per year for ten years (discount rate 8.2 %, then 2 % perpetual growth). Over the last 4 years revenue grew +5.5 % per year. As of Aug 19, 2026.
What discount rate (WACC) does the fair value of CGM use?
Our models discount Capgemini SE at 8.2 %: a base by market capitalisation (large), damped by beta 0.63. The same rate applies in all 26 models.
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