ExlService Holdings, Inc. (NASDAQ:EXLS) Given Consensus Recommendation of "Moderate Buy" by Brokerages

Key Points

• ExlService Holdings has a consensus analyst rating of “Moderate Buy”, with five of six brokerages rating the stock a buy and an average 12-month price target of $41.50.
• The company reported better-than-expected Q1 earnings, posting EPS of $0.58 versus estimates of $0.53 and revenue of $570.35 million, up 13.8% year over year.
• ExlService’s board approved a $125 million share repurchase plan, which could allow the company to buy back up to 2.7% of its shares and may signal management views the stock as undervalued.

ExlService Holdings, Inc. (NASDAQ:EXLS - Get Free Report) has been given an average recommendation of "Moderate Buy" by the six brokerages that are covering the firm, MarketBeat Ratings reports. One investment analyst has rated the stock with a hold rating and five have given a buy rating to the company. The average 1 year target price among analysts that have covered the stock in the last year is $41.50.

EXLS has been the subject of several recent analyst reports. Stifel Nicolaus cut their price objective on ExlService from $54.00 to $46.00 and set a "buy" rating for the company in a report on Thursday, February 26th. Robert W. Baird set a $35.00 price target on ExlService in a research note on Wednesday, February 25th. Barrington Research set a $40.00 price target on ExlService and gave the company an "outperform" rating in a report on Thursday, April 30th. Needham & Company LLC reaffirmed a "buy" rating and set a $40.00 price target (down from $55.00) on shares of ExlService in a report on Wednesday, February 25th. Finally, Weiss Ratings downgraded ExlService from a "hold (c)" rating to a "hold (c-)" rating in a report on Friday, April 24th.

ExlService Trading Up 1.6%

NASDAQ EXLS opened at $29.43 on Thursday. The company has a market cap of $4.50 billion, a PE ratio of 18.75, a PEG ratio of 1.22 and a beta of 0.87. The company has a current ratio of 2.66, a quick ratio of 2.66 and a debt-to-equity ratio of 0.53. ExlService has a 12 month low of $26.82 and a 12 month high of $48.54. The stock has a 50 day moving average of $30.38 and a 200-day moving average of $35.50.

ExlService (NASDAQ:EXLS - Get Free Report) last released its quarterly earnings data on Tuesday, April 28th. The business services provider reported $0.58 EPS for the quarter, beating the consensus estimate of $0.53 by $0.05. The company had revenue of $570.35 million during the quarter, compared to the consensus estimate of $557.67 million. ExlService had a return on equity of 28.50% and a net margin of 11.66%.The firm's revenue for the quarter was up 13.8% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.48 EPS. ExlService has set its FY 2026 guidance at 2.180-2.230 EPS. On average, equities research analysts anticipate that ExlService will post 1.79 EPS for the current fiscal year.

ExlService announced that its Board of Directors has initiated a stock repurchase plan on Tuesday, March 17th that allows the company to buyback $125.00 million in shares. This buyback authorization allows the business services provider to buy up to 2.7% of its shares through open market purchases. Shares buyback plans are generally a sign that the company's board of directors believes its stock is undervalued.

Insider Transactions at ExlService

In other ExlService news, EVP Ajay Ayyappan sold 1,197 shares of the firm's stock in a transaction on Monday, February 23rd. The stock was sold at an average price of $29.79, for a total transaction of $35,658.63. Following the completion of the sale, the executive vice president owned 53,901 shares of the company's stock, valued at $1,605,710.79. This trade represents a 2.17% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. 4.04% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On ExlService

Several hedge funds have recently added to or reduced their stakes in EXLS. CENTRAL TRUST Co lifted its holdings in ExlService by 2,428.0% during the 3rd quarter. CENTRAL TRUST Co now owns 632 shares of the business services provider's stock valued at $28,000 after purchasing an additional 607 shares during the last quarter. Transamerica Financial Advisors LLC increased its position in ExlService by 285.2% during the 4th quarter. Transamerica Financial Advisors LLC now owns 678 shares of the business services provider's stock worth $29,000 after buying an additional 502 shares during the period. True Wealth Design LLC increased its position in ExlService by 57.2% during the 4th quarter. True Wealth Design LLC now owns 706 shares of the business services provider's stock worth $30,000 after buying an additional 257 shares during the period. Private Trust Co. NA increased its position in ExlService by 56.2% during the 4th quarter. Private Trust Co. NA now owns 717 shares of the business services provider's stock worth $30,000 after buying an additional 258 shares during the period. Finally, V Square Quantitative Management LLC bought a new position in ExlService during the 4th quarter worth $33,000. Institutional investors and hedge funds own 92.92% of the company's stock.

ExlService Company Profile

ExlService Holdings, Inc NASDAQ: EXLS is a global operations management and analytics company that partners with clients in insurance, healthcare, banking, and financial services to drive digital transformation and operational excellence. The firm delivers analytics-driven solutions and business process outsourcing services, including claims adjudication, finance and accounting, data management, and customer service support. ExlService combines domain expertise with advanced analytics, artificial intelligence, and automation technologies to help organizations optimize processes, enhance customer experiences, and manage risk.

Founded in 1999 and headquartered in New York City, ExlService has grown through a mix of organic expansion and strategic acquisitions, earning recognition for its data analytics capabilities and industry-specific knowledge.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.