ExlService Holdings Grows Sales, Expands AI Investments

EXLS offers digital operations and analytics services. It uses analytics, AI, machine learning, and cloud computing to drive business transformation, serving four segments: insurance, health care, emerging markets, and analytics.

In its third-quarter earnings report, ExlService Holdings grew revenue 15% on a year-over-year basis, to $472 million. Its adjusted per-share earnings of $0.44 represents growth of 16% over the prior year. EXLS also had double-digit growth across its digital operations and solutions business, and its pipeline of $25 million or more deals grew by 25%. It also said it was expanding its AI-related investments to fund future growth.

It’s no wonder EXLS shares are up 47% this year – and they could rise more. MAPsignals data shows how Big Money investors are betting heavily on the forward picture of the stock.

Big Money Loves ExlService Holdings Shares

Institutional volumes reveal plenty. Recently, EXLS has enjoyed strong investor demand, which we believe to be institutional support.

Each green bar signals unusually large volumes in EXLS shares. They reflect our proprietary inflow signal, pushing the stock higher:

Plenty of industrials names are under accumulation right now. But there’s a powerful fundamental story happening with ExlService Holdings.

ExlService Holdings Fundamental Analysis

Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, EXLS has had strong sales and earnings growth:

• 3-year sales growth rate (+19.5%)
• 3-year earnings growth rate (+28.6%)

Source: FactSet

Also, EPS is estimated to ramp higher this year by +16.1%.

Now it makes sense why the stock has been powering to new heights. EXLS has a track record of strong financial performance.

Marrying great fundamentals with our proprietary software has found some big winning stocks over the long term.

ExlService Holdings has been a top-rated stock at MAPsignals. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

It’s made the rare Top 20 report multiple times in the last year. The blue bars below show when EXLS was a top pick…increasing in value along the way:

Tracking unusual volumes reveals the power of money flows.

This is a trait that most outlier stocks exhibit…the best of the best. Big Money demand drives stocks upward.

ExlService Holdings Price Prediction

The EXLS rally isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no position in EXLS at the time of publication.

If you are a Registered Investment Advisor (RIA) or are a serious investor, take your investing to the next level, learn more about the MAPsignals process here.