ExlService (NASDAQ:EXLS) Sets New 1-Year Low – What’s Next?

ExlService Holdings, Inc. (NASDAQ:EXLS)’s stock price hit a new 52-week low during mid-day trading on Thursday . The stock traded as low as $26.00 and last traded at $25.9780, with a volume of 376182 shares traded. The stock had previously closed at $27.86.

Wall Street Analysts Forecast Growth

Several brokerages recently weighed in on EXLS. Weiss Ratings raised ExlService from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Monday. TD Cowen restated a “buy” rating on shares of ExlService in a report on Wednesday. Stifel Nicolaus reduced their target price on shares of ExlService from $54.00 to $46.00 and set a “buy” rating on the stock in a research report on Thursday, February 26th. Needham & Company LLC reiterated a “buy” rating and issued a $40.00 price target (down from $55.00) on shares of ExlService in a research note on Wednesday, February 25th. Finally, JPMorgan Chase & Co. boosted their price objective on shares of ExlService from $42.00 to $43.00 and gave the stock an “overweight” rating in a research note on Thursday, April 30th. Five investment analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $41.50.

ExlService Price Performance

The stock has a market capitalization of $3.93 billion, a P/E ratio of 16.37, a PEG ratio of 1.22 and a beta of 0.82. The company has a debt-to-equity ratio of 0.53, a quick ratio of 2.66 and a current ratio of 2.66. The firm has a fifty day moving average price of $29.86 and a two-hundred day moving average price of $34.07.

ExlService (NASDAQ:EXLS) last announced its earnings results on Tuesday, April 28th. The business services provider reported $0.58 earnings per share (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 analyst estimates of $557.67 million. ExlService had a net margin of 11.66% and a return on equity of 28.50%. The firm’s quarterly revenue was up 13.8% compared to the same quarter last year. During the same period in the previous year, the business posted $0.48 earnings per share. ExlService has set its FY 2026 guidance at 2.180-2.230 EPS. As a group, analysts expect that ExlService Holdings, Inc. will post 1.79 EPS for the current fiscal year.

ExlService declared that its Board of Directors has authorized a stock repurchase plan on Tuesday, March 17th that permits the company to buyback $125.00 million in outstanding shares. This buyback authorization permits the business services provider to reacquire up to 2.7% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s board of directors believes its shares are undervalued.

Insider Activity at ExlService

In other ExlService news, EVP Ajay Ayyappan sold 5,093 shares of ExlService stock in a transaction that occurred on Wednesday, May 20th. The shares were sold at an average price of $29.11, for a total transaction of $148,257.23. Following the transaction, the executive vice president owned 48,994 shares of the company’s stock, valued at $1,426,215.34. The trade was a 9.42% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Vikas Bhalla sold 12,000 shares of ExlService stock in a transaction that occurred on Thursday, June 4th. The shares were sold at an average price of $30.22, for a total transaction of $362,640.00. Following the transaction, the insider directly owned 153,295 shares in the company, valued at $4,632,574.90. This represents a 7.26% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 3.66% of the stock is owned by insiders.

Institutional Investors Weigh In On ExlService

Institutional investors and hedge funds have recently modified their holdings of the stock. Transamerica Financial Advisors LLC raised its position in shares of ExlService by 285.2% during the fourth quarter. Transamerica Financial Advisors LLC now owns 678 shares of the business services provider’s stock valued at $29,000 after buying an additional 502 shares during the last quarter. True Wealth Design LLC raised its position in shares of ExlService by 57.2% during the fourth quarter. True Wealth Design LLC now owns 706 shares of the business services provider’s stock valued at $30,000 after buying an additional 257 shares during the last quarter. Private Trust Co. NA raised its position in shares of ExlService by 56.2% during the fourth quarter. Private Trust Co. NA now owns 717 shares of the business services provider’s stock valued at $30,000 after buying an additional 258 shares during the last quarter. V Square Quantitative Management LLC bought a new stake in shares of ExlService during the fourth quarter valued at approximately $33,000. Finally, Hantz Financial Services Inc. raised its position in shares of ExlService by 183.1% during the fourth quarter. Hantz Financial Services Inc. now owns 1,353 shares of the business services provider’s stock valued at $57,000 after buying an additional 875 shares during the last quarter. Institutional investors own 92.92% of the company’s stock.

About ExlService

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.