TaskUs (NASDAQ:TASK) Stock Price Up 7.9% - Still a Buy?

Key Points

• TaskUs shares jumped 7.9% to about $8.45, although trading volume was 92% below the stock’s average daily volume, suggesting limited participation in the move.
• Analyst sentiment remains mixed: the stock has an average rating of “Hold” and a consensus price target of $9.60, with ratings ranging from Strong Buy to Sell.
• TaskUs recently beat quarterly expectations, reporting adjusted EPS of $0.33 versus the $0.28 consensus and revenue of $308.86 million versus $297.58 million expected.

TaskUs, Inc. (NASDAQ:TASK - Get Free Report)'s stock price shot up 7.9% during trading on Thursday. The stock traded as high as $8.50 and last traded at $8.4510. Approximately 48,821 shares changed hands during trading, a decline of 92% from the average daily volume of 626,569 shares. The stock had previously closed at $7.83.

Wall Street Analyst Weigh In

Several equities analysts have recently weighed in on the company. Wall Street Zen upgraded TaskUs from a "hold" rating to a "buy" rating in a research report on Saturday, September 19th. Robert W. Baird set a $12.00 price target on TaskUs in a report on Thursday, August 6th. Wedbush dropped their price objective on shares of TaskUs from $12.00 to $9.00 and set an "outperform" rating for the company in a report on Thursday, August 6th. Morgan Stanley raised their price objective on shares of TaskUs from $6.00 to $7.00 and gave the stock an "equal weight" rating in a research report on Tuesday, August 11th. Finally, Weiss Ratings upgraded shares of TaskUs from a "sell (d+)" rating to a "hold (c-)" rating in a report on Thursday, September 24th. One analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, five have given a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus target price of $9.60.

TaskUs Stock Up 6.4%

The stock has a market capitalization of $764.24 million, a price-to-earnings ratio of 7.18 and a beta of 1.75. The business has a 50-day moving average of $7.52 and a 200-day moving average of $6.81. The company has a debt-to-equity ratio of 1.56, a quick ratio of 2.95 and a current ratio of 2.95.

TaskUs (NASDAQ:TASK - Get Free Report) last posted its earnings results on Wednesday, August 5th. The company reported $0.33 EPS for the quarter, beating analysts' consensus estimates of $0.28 by $0.05. The company had revenue of $308.86 million for the quarter, compared to analysts' expectations of $297.58 million. TaskUs had a net margin of 8.75% and a return on equity of 27.02%. On average, sell-side analysts expect that TaskUs, Inc. will post 1.1 EPS for the current year.

Institutional Trading of TaskUs

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Squarepoint Ops LLC acquired a new position in TaskUs in the 2nd quarter valued at about $148,000. Alamar Capital Management LLC acquired a new stake in shares of TaskUs during the second quarter worth about $80,000. Bank of America Corp DE lifted its position in shares of TaskUs by 2,573.2% during the first quarter. Bank of America Corp DE now owns 106,475 shares of the company's stock worth $714,000 after purchasing an additional 102,492 shares in the last quarter. Saba Capital Management L.P. purchased a new position in shares of TaskUs in the first quarter valued at approximately $14,016,000. Finally, Renaissance Technologies LLC acquired a new position in shares of TaskUs in the first quarter valued at approximately $242,000. Hedge funds and other institutional investors own 44.64% of the company's stock.

About TaskUs

TaskUs, Inc is a provider of outsourced digital services and customer experience solutions for companies operating in the technology, social media, gaming, retail, e-commerce, financial technology and healthcare sectors. The company helps clients manage customer interactions and other business processes through a combination of human expertise, technology and data-driven operations.

Its services include customer care, content moderation, trust and safety, fraud and risk management, back-office support, artificial intelligence operations and digital consulting.

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