Capgemini SE is an international consulting, technology services, and digital transformation company with its headquarters in Paris, France. As of 2020 their market capitalization stands at €31.7 bln and their stock price for the day was €186. Capgemini SE’s revenue information can be seen in the provided data table. According to it, the company reported zero revenues for both September 2020 and July 2020. This indicates a steep decline in the company’s profits over the past few months which could be attributed to COVID-19 related economic downturns.
The company had previously posted revenues of €17.2 bln in 2019 and €14.9 bln in 2018, making these recent figures all the more concerning as they suggest a sudden drop in demand within just two quarters of 2020 due to various macroeconomic factors like the pandemic, global recession, etc. Moreover, their shares have fallen by 2.55% from €188 to €186 on August 22nd which further strengthens this conclusion that investors are not confident about Capgemini SE’s current financial position as well as future prospects.
It is important for Capgemini SE to reassess its strategies and operations in order to address this decline and restore investor confidence moving forward into 2021. They need to come up with ways to reduce costs and optimize their resources while also finding new markets or customers that can help drive their revenues back up again soon enough so that they can start growing again like they did between 2018-2019
