ExlService (NASDAQ:EXLS) Shares Gap Up Following Earnings Beat

Shares of ExlService Holdings, Inc. (NASDAQ:EXLS) gapped up before the market opened on Wednesday after the company announced better than expected quarterly earnings. The stock had previously closed at $42.20, but opened at $44.88. ExlService shares last traded at $46.09, with a volume of 852,951 shares traded.

The business services provider reported $0.49 EPS for the quarter, topping analysts’ consensus estimates of $0.45 by $0.04. ExlService had a return on equity of 26.12% and a net margin of 12.00%. The company had revenue of $514.46 million for the quarter, compared to analysts’ expectations of $504.87 million. During the same quarter last year, the business earned $0.40 earnings per share. ExlService’s revenue was up 14.7% on a year-over-year basis.

Analyst Ratings Changes

A number of research analysts have issued reports on the company. JPMorgan Chase & Co. lifted their target price on ExlService from $52.00 to $53.00 and gave the company an “overweight” rating in a research report on Thursday, May 1st. Wall Street Zen upgraded ExlService from a “hold” rating to a “buy” rating in a research report on Friday, May 9th. Finally, Needham & Company LLC reiterated a “buy” rating and issued a $55.00 target price on shares of ExlService in a research report on Tuesday, June 3rd. One investment analyst has rated the stock with a hold rating and six have assigned a buy rating to the stock. Based on data from MarketBeat.com, ExlService presently has a consensus rating of “Moderate Buy” and an average target price of $51.50.

Insider Transactions at ExlService

In other news, Director Jaynie M. Studenmund sold 14,580 shares of ExlService stock in a transaction dated Friday, May 2nd. The stock was sold at an average price of $47.53, for a total transaction of $692,987.40. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Vikas Bhalla sold 25,000 shares of ExlService stock in a transaction dated Thursday, May 8th. The shares were sold at an average price of $46.11, for a total value of $1,152,750.00. Following the sale, the insider directly owned 135,046 shares in the company, valued at $6,226,971.06. The trade was a 15.62% decrease in their ownership of the stock. The disclosure for this sale can be found here. Company insiders own 4.04% of the company’s stock.

Hedge Funds Weigh In On ExlService

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Whittier Trust Co. bought a new position in ExlService during the 1st quarter worth approximately $45,000. Morse Asset Management Inc bought a new position in ExlService during the 4th quarter worth approximately $49,000. Strategic Investment Solutions Inc. IL bought a new position in ExlService during the 1st quarter worth approximately $77,000. Johnson Financial Group Inc. bought a new position in ExlService during the 4th quarter worth approximately $85,000. Finally, Caitong International Asset Management Co. Ltd raised its holdings in ExlService by 25.7% during the 1st quarter. Caitong International Asset Management Co. Ltd now owns 1,803 shares of the business services provider’s stock worth $85,000 after purchasing an additional 369 shares during the last quarter. 92.92% of the stock is owned by institutional investors and hedge funds.

ExlService Trading Up 1.4%

The company has a debt-to-equity ratio of 0.30, a quick ratio of 3.41 and a current ratio of 3.41. The firm’s fifty day simple moving average is $44.94 and its 200-day simple moving average is $46.43. The stock has a market cap of $6.96 billion, a P/E ratio of 29.72, a price-to-earnings-growth ratio of 1.93 and a beta of 0.80.

About ExlService

ExlService Holdings, Inc operates as a data analytics, and digital operations and solutions company in the United States and internationally. The company operates through Insurance, Healthcare, Analytics, and Emerging Business segments. It also provides digital operations and solutions and analytics-driven services, such as claims processing, premium and benefit administration, agency management, account reconciliation, policy research, underwriting support, new business acquisition, policy servicing, premium audit, surveys, billing and collection, commercial and residential survey, and customer service using digital technology, artificial intelligence, machine learning, and advanced automation; digital customer acquisition services using a software-as-a-service delivery model through LifePRO and LISS platforms; subrogation services; and Subrosource software platform, an end-to-end subrogation platform.