Exlservice Holdings, the Technology sector company, was revisited by a Wall Street analyst today. Analyst Mayank Tandon from Needham maintained a Buy rating on the stock and has a $40.00 price target.
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Mayank Tandon has given his Buy rating due to a combination of factors, starting with Exlservice’s solid first-quarter performance that exceeded expectations on both revenue and earnings. Management also raised its full-year 2026 outlook for sales and EPS, with new midpoint targets coming in ahead of Street forecasts, underscoring strong operating momentum.
A key driver is the rapid expansion of the Data and AI-Led services unit, which grew 28% year over year in constant currency and now contributes about 60% of total revenue, supported by a healthy pipeline and a largely recurring revenue base exceeding 75% that enhances visibility into 2026. Tandon also views the current valuation—around 12.5x FY27 earnings—as compelling relative to the company’s above-peer growth, accelerating AI adoption, and sustained double-digit expansion prospects, leading him to reiterate a Buy rating and keep his $40 price target unchanged.
According to TipRanks, Tandon is an analyst with an average return of -4.1% and a 37.63% success rate. Tandon covers the Technology sector, focusing on stocks such as Agilysys, Cognizant, and Epam Systems.
In another report released today, TD Cowen also maintained a Buy rating on the stock with a $45.00 price target.