ExlService (NASDAQ:EXLS) Price Target Raised to $49.00

by · The Markets Daily

ExlService (NASDAQ:EXLS – Free Report) had its price objective upped by TD Cowen from $45.00 to $49.00 in a report issued on Thursday,Benzinga reports. They currently have a buy rating on the business services provider’s stock.

A number of other research analysts have also recently issued reports on EXLS. Barrington Research set a $43.00 price objective on shares of ExlService in a research note on Thursday, July 30th. Weiss Ratings upgraded ExlService from a “hold (c)” rating to a “hold (c+)” rating in a research note on Monday, October 26th. Needham & Company LLC raised their target price on ExlService from $45.00 to $50.00 and gave the company a “buy” rating in a report on Wednesday. Robert W. Baird set a $45.00 target price on ExlService and gave the company an “outperform” rating in a report on Thursday, July 30th. Finally, Wall Street Zen upgraded ExlService from a “hold” rating to a “buy” rating in a research note on Saturday, September 26th. Six analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $48.17.

Get Our Latest Stock Report on ExlService

ExlService Trading Up 0.8%

Shares of ExlService stock opened at $41.43 on Thursday. The company has a market capitalization of $6.25 billion, a price-to-earnings ratio of 24.66, a PEG ratio of 1.53 and a beta of 0.84. The company has a quick ratio of 1.24, a current ratio of 2.16 and a debt-to-equity ratio of 0.54. ExlService has a 12-month low of $24.85 and a 12-month high of $43.88. The firm’s 50-day moving average price is $37.33 and its two-hundred day moving average price is $32.80.

ExlService (NASDAQ:EXLS – Get Free Report) last released its earnings results on Tuesday, October 27th. The business services provider reported $0.62 EPS for the quarter, beating the consensus estimate of $0.56 by $0.06. The firm had revenue of $633.96 million for the quarter, compared to analyst estimates of $615.51 million. ExlService had a net margin of 11.13% and a return on equity of 32.53%. The business’s quarterly revenue was up 19.7% compared to the same quarter last year. During the same period last year, the firm earned $0.48 EPS. On average, analysts forecast that ExlService will post 1.87 earnings per share for the current fiscal year.

Insider Activity at ExlService

In other news, insider Vikas Bhalla sold 11,000 shares of the firm’s stock in a transaction that occurred on Thursday, October 1st. The shares were sold at an average price of $35.38, for a total value of $389,180.00. Following the sale, the insider directly owned 109,295 shares in the company, valued at approximately $3,866,857.10. This trade represents a 9.14% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 3.66% of the company’s stock.

Hedge Funds Weigh In On ExlService

A number of institutional investors have recently added to or reduced their stakes in EXLS. BlackRock Inc. bought a new stake in ExlService during the 2nd quarter worth approximately $488,370,000. Fort Washington Investment Advisors Inc. OH increased its position in ExlService by 6.2% in the 3rd quarter. Fort Washington Investment Advisors Inc. OH now owns 1,775,966 shares of the business services provider’s stock valued at $61,058,000 after acquiring an additional 103,789 shares during the period. Bank of America Corp DE acquired a new position in ExlService in the 2nd quarter valued at approximately $48,189,000. Bank of New York Mellon Corp bought a new position in shares of ExlService during the second quarter valued at $25,214,000. Finally, Amundi raised its stake in shares of ExlService by 17.8% during the second quarter. Amundi now owns 907,421 shares of the business services provider’s stock valued at $23,466,000 after acquiring an additional 137,396 shares during the last quarter. 92.92% of the stock is currently owned by institutional investors and hedge funds.

Key Stories Impacting ExlService

Here are the key news stories impacting ExlService this week:

  • Positive Sentiment: OpenAI partnership strengthens AI growth narrative. EXL was named an OpenAI Select Partner, giving it access to resources and support to develop, sell, and deliver OpenAI-based solutions. The designation may improve the company’s credibility with enterprise customers and support demand for its data and AI services. EXL named an OpenAI Select Partner
  • Positive Sentiment: Analysts continue to raise their expectations. Stifel Nicolaus raised its target to $48, TD Cowen lifted its target to $49, JPMorgan increased its target to $49, and Barrington Research raised its target to $48 while maintaining an outperform rating. These revisions reinforce positive sentiment and imply additional upside, although price targets are not guarantees. TD Cowen raises ExlService price target
  • Positive Sentiment: AI-focused product expansion adds another potential growth driver. EXL introduced iMerit Scholars for regulated AI work, highlighting its effort to address specialized data and compliance requirements in industries where accuracy and oversight are important. ExlService debuts iMerit Scholars
  • Positive Sentiment: Wall Street sees substantial potential upside. The average analyst price target indicates roughly 45% upside, while recent earnings-estimate revisions suggest improving expectations for EXL’s financial performance. ExlService analyst price target outlook
  • Neutral Sentiment: Valuation remains a consideration. A comparison with Nutanix examines which stock offers better value, suggesting investors may weigh EXLS’s growth and AI prospects against its current valuation and the alternatives available in IT services. EXLS versus NTNX value comparison

About ExlService

(Get Free Report)

ExlService Holdings, Inc, operating under the EXL brand, is a data analytics and digital operations company that helps businesses use data, technology and artificial intelligence to improve decision-making, manage risk and enhance operational performance. Its services include data management, advanced analytics, business process solutions, automation and technology-enabled transformation.

EXL serves clients across industries including insurance, healthcare, banking and capital markets, utilities, travel and transportation, retail, media and manufacturing.

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