ExlService Holdings, Inc. (NASDAQ:EXLS) Receives Average Recommendation of "Moderate Buy" from Brokerages

Key Points

• Analysts give ExlService a consensus rating of "Moderate Buy" (four buys, one hold) with an average 12‑month price target of $43.60, though several firms recently cut targets (e.g., TD Cowen, Needham, Stifel).
• The Board approved a $125 million share repurchase program (up to 2.7% of shares), a move typically signaling management believes the stock is undervalued.
• EXLS is trading around $30.40, below its 200‑day moving average (~$36.78), with a market cap of roughly $4.75 billion and a trailing P/E of about 19.7.

ExlService Holdings, Inc. (NASDAQ:EXLS - Get Free Report) has received a consensus rating of "Moderate Buy" from the five brokerages that are covering the firm, MarketBeat Ratings reports. One investment analyst has rated the stock with a hold rating and four have given a buy rating to the company. The average 12 month price objective among brokers that have issued ratings on the stock in the last year is $43.60.

A number of research analysts have commented on EXLS shares. TD Cowen lowered their price target on ExlService from $51.00 to $45.00 and set a "buy" rating for the company in a research report on Thursday, February 26th. Needham & Company LLC reaffirmed a "buy" rating and set a $40.00 price target (down from $55.00) on shares of ExlService in a research report on Wednesday, February 25th. Robert W. Baird set a $35.00 price target on ExlService in a research report on Wednesday, February 25th. Weiss Ratings lowered ExlService from a "hold (c)" rating to a "hold (c-)" rating in a research report on Friday. Finally, Stifel Nicolaus decreased their target price on ExlService from $54.00 to $46.00 and set a "buy" rating for the company in a research report on Thursday, February 26th.

ExlService Trading Down 0.5%

EXLS opened at $30.40 on Friday. The business has a 50 day simple moving average of $30.68 and a two-hundred day simple moving average of $36.78. The firm has a market capitalization of $4.75 billion, a price-to-earnings ratio of 19.74, a PEG ratio of 1.38 and a beta of 0.89. The company has a debt-to-equity ratio of 0.32, a current ratio of 2.56 and a quick ratio of 2.56. ExlService has a one year low of $26.94 and a one year high of $48.79.

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

Insider Activity

In other news, EVP Ajay Ayyappan sold 8,114 shares of the stock in a transaction that occurred on Tuesday, January 27th. The stock was sold at an average price of $42.53, for a total value of $345,088.42. Following the completion of the transaction, the executive vice president owned 53,515 shares of the company's stock, valued at approximately $2,275,992.95. This represents a 13.17% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Over the last three months, insiders sold 11,586 shares of company stock valued at $449,725. 4.04% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the company. Allspring Global Investments Holdings LLC raised its position in shares of ExlService by 17.2% in the 3rd quarter. Allspring Global Investments Holdings LLC now owns 224,783 shares of the business services provider's stock worth $9,825,000 after acquiring an additional 33,067 shares in the last quarter. Tandem Investment Advisors Inc. raised its position in shares of ExlService by 602.1% in the 3rd quarter. Tandem Investment Advisors Inc. now owns 71,957 shares of the business services provider's stock worth $3,168,000 after acquiring an additional 61,708 shares in the last quarter. M&G PLC bought a new position in shares of ExlService in the 3rd quarter worth approximately $12,527,000. Nordea Investment Management AB bought a new position in shares of ExlService in the 4th quarter worth approximately $23,570,000. Finally, Aberdeen Group plc raised its position in shares of ExlService by 18.8% in the 4th quarter. Aberdeen Group plc now owns 562,437 shares of the business services provider's stock worth $23,870,000 after acquiring an additional 89,194 shares in the last quarter. Institutional investors 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.

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