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

Shares of ExlService Holdings, Inc. (NASDAQ:EXLS) gapped up prior to trading 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 changing hands.

The business services provider reported $0.49 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.45 by $0.04. ExlService had a return on equity of 26.12% and a net margin of 12.00%. The firm had revenue of $514.46 million for the quarter, compared to analyst estimates of $504.87 million. During the same period in the previous year, the firm earned $0.40 earnings per share. The company’s revenue was up 14.7% compared to the same quarter last year.

Analyst Upgrades and Downgrades

EXLS has been the topic of several recent analyst reports. Needham & Company LLC reissued a “buy” rating and issued a $55.00 price target on shares of ExlService in a research note on Tuesday, June 3rd. JPMorgan Chase & Co. boosted their price target on ExlService from $52.00 to $53.00 and gave the company an “overweight” rating in a research note on Thursday, May 1st. Finally, Wall Street Zen raised ExlService from a “hold” rating to a “buy” rating in a research note on Friday, May 9th. One research analyst has rated the stock with a hold rating and six have issued a buy rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $51.50.

Insider Buying and Selling

In other news, Director Jaynie M. Studenmund sold 14,580 shares of the company’s stock in a transaction that occurred on 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 can be accessed through this hyperlink. Also, insider Vikas Bhalla sold 25,000 shares of the company’s stock in a transaction that occurred on Thursday, May 8th. The stock was sold at an average price of $46.11, for a total value of $1,152,750.00. Following the transaction, 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. 4.04% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On ExlService

A number of institutional investors have recently modified their holdings of the company. Securian Asset Management Inc. raised its position in shares of ExlService by 1.9% during the second quarter. Securian Asset Management Inc. now owns 12,390 shares of the business services provider’s stock worth $543,000 after purchasing an additional 228 shares during the period. Balboa Wealth Partners grew its holdings in ExlService by 5.0% during the first quarter. Balboa Wealth Partners now owns 5,140 shares of the business services provider’s stock worth $243,000 after buying an additional 244 shares in the last quarter. Blue Trust Inc. grew its holdings in ExlService by 6.9% during the second quarter. Blue Trust Inc. now owns 3,914 shares of the business services provider’s stock worth $171,000 after buying an additional 254 shares in the last quarter. Xponance Inc. grew its holdings in ExlService by 1.2% during the first quarter. Xponance Inc. now owns 23,630 shares of the business services provider’s stock worth $1,116,000 after buying an additional 270 shares in the last quarter. Finally, Wealth Enhancement Advisory Services LLC grew its holdings in ExlService by 1.9% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 15,112 shares of the business services provider’s stock worth $713,000 after buying an additional 286 shares in the last quarter. 92.92% of the stock is owned by institutional investors and hedge funds.

ExlService Price Performance

The company has a fifty day moving average of $44.94 and a 200-day moving average of $46.43. The firm has a market cap of $6.96 billion, a P/E ratio of 29.72, a P/E/G ratio of 1.93 and a beta of 0.80. The company has a debt-to-equity ratio of 0.30, a current ratio of 3.41 and a quick ratio of 3.41.

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.