TD Cowen analyst Bryan Bergin has maintained their bullish stance on EXLS stock, giving a Buy rating today.
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Bryan Bergin has given his Buy rating due to a combination of factors, even though sentiment toward services stocks is currently weak. He argues that Exlservice is still delivering superior organic growth, increasingly driven by its data and AI-focused offerings, which are helping margins and building a largely recurring revenue base, while free cash flow is strong enough to fund a more aggressive share repurchase program.
He also notes that management’s FY26 outlook appears conservative and is likely to be beaten, supporting sustained double-digit revenue growth and low- to mid-teens EPS gains. In his view, the stock’s current valuation, including a PEG below 1.0 and a P/E multiple well under its historical average, over-discounts temporary headwinds such as modest labor cost pressures in India, making EXLS an attractive long-term opportunity at the new $45 price target.
Based on the recent corporate insider activity of 63 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of EXLS in relation to earlier this year.