TTEC Holdings (TTEC) AI Stock Analysis

• Market Cap: $234.86M
• Dividend Yield: 1.22%
• Average Volume (3M): 305.14K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.18
• Revenue Growth: -9.86%
• EPS Growth: -2426.25%
• Country: US
• Employees: 50,000
• Sector: Technology
• Sector Strength: 80
• Industry: Information Technology Services
• EPS (TTM): 0.28
• Shares Outstanding: 47,833,187
• 10 Day Avg. Volume: 237,298
• 30 Day Avg. Volume: 305,137
• PEG Ratio: -0.06
• Price to Book (P/B): 0.63
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -1.63
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $6.85
• Price Target Upside: 39.51% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 58 Neutral
• Price Target: $5.00 ▲(1.83%Upside)

TTEC Holdings is facing substantial financial difficulties, evidenced by declining revenue and cash flow. Despite technical indicators showing positive momentum, the company's valuation metrics are mixed. Earnings call insights reveal strategic advancements, yet revenue challenges remain. Governance improvements provide some support, but overall, the stock's performance outlook is cautious.

Positive Factors

Earnings

TTEC Holdings reported Q1/25 revenue of $534.2 million, which was 5% higher than forecast and 4% higher than the FactSet consensus forecast.

Financial Performance

TTEC reported Q1/25 non-GAAP EPS of $0.28, which exceeded both forecast and the FactSet consensus forecast of $0.19.

Growth Strategy

Management is confident that the Digital business will return to growth in 2025 fueled by growth in both professional and recurring services.

Negative Factors

Client Impact

The new 2025 full-year guide contemplates impacts from clients discontinuing certain lines of business and FX headwinds.

Guidance

Guidance reflects a cautious tack toward the second half of 2025 as macro uncertainties are weighing on clients’ decision-making and resulting in smaller contract starts.

Revenue Decline

Total revenue declined 7% YOY on a reported basis, declined 6% YOY in constant currency, and declined 6% sequentially on a reported basis.

TTEC Holdings Business Overview & Revenue Model

Company Description

TTEC Holdings, Inc., a customer experience technology and services company, that designs, builds, orchestrates, and delivers digitally enabled customer experiences designed for various brands. It operates in two segments, TTEC Digital and TTEC Engage. The TTEC Digital segments designs, builds, and operates robust digital experiences for clients and their customers through the contextual integration and orchestration of customer relationship management, data, analytics, customer experience as a service technology, and intelligent automation to ensure customer experience (CX) outcomes. The TTEC Engage segment provides digitally enabled CX managed services; delivers omnichannel customer care, tech support, order fulfillment, customer acquisition, growth, and retention services; and delivers digitally enabled back office and industry specific specialty services, such as AI operations, content moderation, and fraud management services. It serves clients in the automotive, communication, financial services, government, healthcare, logistics, media and entertainment, e-tail/retail, technology, transportation, and travel industries with operations in the United States, Australia, Belgium, Brazil, Bulgaria, Canada, Costa Rica, Germany, Greece, India, Ireland, Mexico, the Netherlands, New Zealand, the Philippines, Poland, Singapore, South Africa, Thailand, and the United Kingdom. The company was formerly known as TeleTech Holdings, Inc. and changed its name to TTEC Holdings, Inc. in January 2018. TTEC Holdings, Inc. was founded in 1982 and is headquartered in Englewood, Colorado.

How the Company Makes Money

TTEC makes money primarily through its two business segments. The TTEC Digital segment generates revenue by offering customer experience strategy, technology, and implementation services. This includes consulting services and the design and integration of customer engagement platforms. The TTEC Engage segment earns revenue by providing outsourced customer care, technical support, and sales services to a wide range of industries, including telecommunications, healthcare, retail, and financial services. The company benefits from long-term contracts with its clients, which ensures a stable and recurring revenue stream. Additionally, TTEC has strategic partnerships with technology companies to enhance its service offerings and expand its market reach.

TTEC Holdings Financial Statement Overview

Summary

TTEC Holdings is facing significant financial challenges, marked by declining revenue, profitability, and cash flow. The company's leverage has increased, and its equity position has weakened. Immediate strategic interventions may be necessary to stabilize its financial health and address operational inefficiencies.

Income Statement

TTEC Holdings has experienced a significant decline in revenue and profitability over the latest year, with the total revenue decreasing from $2.46 billion in 2023 to $2.21 billion in 2024, marking a negative growth rate of 10.37%. The net profit margin has also turned negative in 2024, from a modest 0.34% in 2023 to -14.54% in 2024, indicating financial distress. The gross profit margin is substantially high due to reporting, but EBIT and EBITDA margins have deteriorated, reflecting operational challenges.

Balance Sheet

The balance sheet shows a weakening equity position, with stockholders' equity decreasing from $598.6 million in 2023 to $268.1 million in 2024, resulting in a higher debt-to-equity ratio. The equity ratio fell to 15.29% in 2024, indicating a lower proportion of equity financing. High leverage poses a risk, but the company still manages substantial assets totaling $1.75 billion.

Cash Flow

Cash flow analysis reveals a negative free cash flow of $103.99 million in 2024, a decline from $76.93 million in 2023, indicating worsening liquidity. The operating cash flow to net income ratio is negative due to negative net income and operating cash flow, highlighting cash management issues. The company faces challenges in generating positive cash flow, affecting its financial flexibility.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
2.21B	2.46B	2.44B	2.27B	1.95B
	Gross Profit
2.21B	529.94M	587.19M	568.95M	496.53M
	EBIT
-173.52M	118.02M	168.54M	217.19M	204.69M
	EBITDA
-54.25M	220.32M	301.21M	330.30M	293.94M
	Net Income Common Stockholders
-320.96M	8.43M	103.24M	140.97M	118.65M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
84.99M	172.75M	153.44M	158.21M	132.91M
	Total Assets
1.75B	2.19B	2.15B	2.00B	1.52B
	Total Debt
1.08B	1.13B	1.06B	899.88M	526.93M
	Net Debt
994.38M	957.33M	911.41M	741.67M	394.01M
	Total Liabilities
1.49B	1.57B	1.52B	1.40B	1.06B
	Stockholders Equity
268.12M	598.63M	559.91M	522.21M	457.76M
Cash Flow		Free Cash Flow
-103.99M	76.93M	53.04M	190.94M	212.15M
	Operating Cash Flow
-58.82M	144.76M	137.05M	251.30M	271.92M
	Investing Cash Flow
477.00K	-67.58M	-226.20M	-541.98M	-112.43M
	Financing Cash Flow
-38.30M	-68.23M	89.04M	330.63M	-112.23M

TTEC Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.91
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TTEC, the sentiment is Positive. The current price of 4.91 is above the 20-day moving average (MA) of 4.85, above the 50-day MA of 4.22, and above the 200-day MA of 4.45, indicating a bullish trend. The MACD of 0.26 indicates Positive momentum. The RSI at 54.87 is Neutral, neither overbought nor oversold. The STOCH value of 10.37 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TTEC.

TTEC Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TSSI	78 Outperform	$361.30M	40.68	137.01%	―	262.87%	873.76%
CNXC	74 Outperform	$3.58B	14.01	6.34%	2.32%	21.67%	-17.91%
TASK	67 Neutral	$1.47B	27.87	11.35%	―	14.05%	17.90%
Sector *	61 Neutral	$11.50B	10.46	-6.94%	2.92%	7.57%	-9.01%
CNDT	60 Neutral	$362.50M	1.64	30.92%	―	-14.38%	―
TTEC	58 Neutral	$234.86M	―	-73.85%	1.22%	-9.86%	-2426.25%
UIS	56 Neutral	$338.99M	―	192.24%	―	-1.72%	82.15%

TTEC Holdings Corporate Events

TTEC Holdings Conducts 2025 Annual Stockholders Meeting

On May 22, 2025, TTEC Holdings, Inc. conducted its 2025 Annual Meeting of Stockholders where stockholders voted to elect seven directors and ratified the appointment of PricewaterhouseCoopers LLP as the independent registered public accounting firm for 2025. The election of directors and the ratification of the accounting firm are expected to strengthen TTEC’s governance and financial oversight, potentially impacting its operational efficiency and stakeholder confidence.

The most recent analyst rating on (TTEC) stock is a Buy with a $6.85 price target. To see the full list of analyst forecasts on TTEC Holdings stock, see the TTEC Stock Forecast page.