TaskUs (TASK) AI Stock Analysis

• Market Cap: $1.58B
• Dividend Yield: N/A
• Average Volume (3M): 203.38K
• Price to Earnings (P/E): 26.1
• Beta (1Y): 1.07
• Revenue Growth: 19.04%
• EPS Growth: 24.49%
• Country: US
• Employees: 58,850
• Sector: Technology
• Sector Strength: 83
• Industry: Information Technology Services
• EPS (TTM): 0.43
• Shares Outstanding: 34,843,290
• 10 Day Avg. Volume: 242,866
• 30 Day Avg. Volume: 203,376
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.06
• Enterprise Value/Revenue: 1.53
• Enterprise Value/Gross Profit: 4.09
• Enterprise Value/Ebitda: 9.79
• 1Y Price Target: $16.50
• Price Target Upside: -6.41% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 3

• Rating: 70 Outperform
• Price Target: $19.00 ▲(7.77% Upside)

TaskUs shows strong financial performance with solid revenue growth and improved profitability. Technical indicators suggest a positive trend, although the stock is nearing overbought levels. Valuation is a concern with a high P/E ratio and no dividend yield, indicating potential overvaluation. The overall score reflects these strengths and risks.

Positive Factors

AI Services

AI services continue to be the fastest-growing segment, increasing 72% year-over-year, to $52.6 million, driven by new and existing social media clients.

Earnings

Revenue in the second quarter grew 24% year-over-year, beating consensus by 8% and driven by growth in all segments.

Negative Factors

Gross Margin

Gross margin was 38.6%, down 90 basis points year-over-year and 100 basis points below consensus.

Industry Valuations

In general, industry valuations have been reduced over the past couple of years, given investor fear of GenAI.

TaskUs Business Overview & Revenue Model

Company Description

TaskUs, Inc. (TASK) is a provider of outsourced digital services and next-generation customer experience solutions. The company serves high-growth technology companies, offering services that include digital customer experience, content security, AI operations, and consulting services. TaskUs operates across various sectors, including social media, e-commerce, gaming, and streaming services, aiming to enhance customer satisfaction and operational efficiency for its clients.

How the Company Makes Money

TaskUs generates revenue primarily through long-term contracts with its clients, providing them with a range of outsourced services. The company charges its clients based on the volume and complexity of services rendered, often using a per-agent, per-hour, or per-interaction pricing model. Key revenue streams include customer support, technical support, and content moderation services. TaskUs cultivates significant partnerships with leading technology firms, which contribute to a steady flow of contract renewals and expansions, thereby driving its earnings. The company also benefits from its ability to scale operations quickly to meet the dynamic needs of its clients, which is a critical factor in its financial success.

TaskUs Financial Statement Overview

Summary

TaskUs demonstrates solid revenue growth and profitability improvements, particularly in net profit margins. The balance sheet reflects a healthier leverage position, but cash flow management requires attention due to recent declines in free cash flow growth. Overall, the company is on a positive trajectory but should focus on enhancing cash flow efficiency.

Income Statement

TaskUs shows a consistent revenue growth trend with a 5.37% increase in TTM. Gross profit margins have slightly decreased over the years, but remain healthy at 37.34% for TTM. The net profit margin has improved to 5.70% in TTM, indicating better cost management. EBIT and EBITDA margins are stable, reflecting operational efficiency. However, the decline in gross profit margin from previous years is a concern.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.57 in TTM, indicating a better leverage position. Return on equity has increased to 12.24%, showing effective use of equity to generate profits. The equity ratio remains stable, suggesting a balanced asset structure. However, the company should continue to monitor its debt levels to maintain financial stability.

Cash Flow

TaskUs experienced a decline in free cash flow growth by 34.44% in TTM, which is concerning. The operating cash flow to net income ratio is 0.67, indicating moderate cash generation from operations. The free cash flow to net income ratio is 0.44, suggesting room for improvement in converting profits to cash. Despite these challenges, the company has shown resilience in past periods.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.10B	994.99M	924.37M	960.49M	760.70M	478.05M
Gross Profit	411.24M	392.09M	385.62M	401.73M	328.97M	207.54M
EBITDA	171.91M	155.89M	157.49M	153.23M	-6.57M	90.90M
Net Income	62.75M	45.87M	45.69M	40.42M	-58.70M	34.53M
Balance Sheet
Total Assets	1.02B	953.30M	864.20M	902.01M	750.00M	707.51M
Cash, Cash Equivalents and Short-Term Investments	181.92M	192.17M	125.78M	133.99M	63.58M	107.73M
Total Debt	312.91M	305.20M	311.57M	311.55M	238.38M	244.75M
Total Liabilities	473.73M	456.38M	423.49M	446.40M	370.86M	372.37M
Stockholders Equity	544.55M	496.92M	440.71M	455.61M	379.13M	335.14M
Cash Flow
Free Cash Flow	48.49M	99.78M	112.67M	103.34M	-92.04M	29.99M
Operating Cash Flow	110.96M	138.89M	143.67M	147.09M	-32.67M	58.87M
Investing Cash Flow	-62.32M	-39.10M	-32.00M	-67.99M	-59.36M	-28.88M
Financing Cash Flow	-40.20M	-25.18M	-119.08M	-4.04M	54.39M	36.99M

TaskUs Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.63
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TASK, the sentiment is Positive. The current price of 17.63 is above the 20-day moving average (MA) of 17.21, above the 50-day MA of 17.03, and above the 200-day MA of 15.65, indicating a bullish trend. The MACD of 0.13 indicates Negative momentum. The RSI at 61.31 is Neutral, neither overbought nor oversold. The STOCH value of 73.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TASK.

TaskUs Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
G	79 Outperform	$7.86B	15.08	21.86%	1.42%	7.37%	-14.64%
EPAM	78 Outperform	$9.61B	24.60	11.36%	―	9.73%	-0.29%
EXLS	77 Outperform	$7.04B	30.17	24.70%	―	15.15%	34.33%
CNXC	71 Outperform	$3.15B	14.07	5.59%	2.62%	11.31%	-16.02%
TASK	70 Outperform	$1.58B	26.13	12.49%	―	19.04%	24.49%
Sector *	61 Neutral	$35.62B	7.50	-10.94%	1.87%	8.86%	-10.27%
VYX	49 Neutral	$1.87B	―	-8.85%	―	-43.28%	15.29%

TaskUs Corporate Events

TaskUs Elects Directors and Ratifies KPMG Appointment

On May 22, 2025, TaskUs held its Annual Meeting of Stockholders to elect Class I directors and ratify KPMG LLP as its independent registered public accounting firm for the fiscal year ending December 31, 2025. The stockholders elected three Class I directors, Bryce Maddock, Jacqueline Reses, and Kelly Tuminelli, each to serve a three-year term. Additionally, the appointment of KPMG LLP was ratified, with the meeting representing 99.10% of the company’s voting power.

The most recent analyst rating on (TASK) stock is a Hold with a $17.00 price target. To see the full list of analyst forecasts on TaskUs stock, see the TASK Stock Forecast page.