Loading...

You're on the old version of Simply Wall St. We will no longer be supporting this site, so we recommend you switch to our brand new platform.

ExlService Holdings

Nasdaq:EXLS
Snowflake Description

Excellent balance sheet with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
EXLS
Nasdaq
$2B
Market Cap
  1. Home
  2. US
  3. Software
Company description

ExlService Holdings, Inc. provides operations management and analytics services in the United States, the United Kingdom, and internationally. The last earnings update was 41 days ago. More info.


Add to Portfolio Compare Print
  • ExlService Holdings has significant price volatility in the past 3 months.
EXLS Share Price and Events
7 Day Returns
5%
NasdaqGS:EXLS
4.3%
US IT
2.4%
US Market
1 Year Returns
-15.4%
NasdaqGS:EXLS
-1.2%
US IT
-10%
US Market
EXLS Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
ExlService Holdings (EXLS) 5% -28% -28.1% -15.4% 9% 47.6%
US IT 4.3% -10% -15.6% -1.2% 59.3% 77.7%
US Market 2.4% -11% -19.4% -10% 9.6% 21.1%
1 Year Return vs Industry and Market
  • EXLS underperformed the IT industry which returned -1.2% over the past year.
  • EXLS underperformed the Market in United States of America which returned -10% over the past year.
Price Volatility
EXLS
Industry
5yr Volatility vs Market

Value

 Is ExlService Holdings undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of ExlService Holdings to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for ExlService Holdings.

NasdaqGS:EXLS Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 10 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.4%
Perpetual Growth Rate 10-Year US Government Bond Rate 1.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:EXLS
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 1.7%
Equity Risk Premium S&P Global 5.4%
IT Unlevered Beta Simply Wall St/ S&P Global 0.91
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.913 (1 + (1- 21%) (19.21%))
1.035
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.03
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.74% + (1.035 * 5.44%)
7.37%

Discounted Cash Flow Calculation for NasdaqGS:EXLS using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for ExlService Holdings is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

NasdaqGS:EXLS DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 7.37%)
2020 93.82 Analyst x2 87.38
2021 110.52 Analyst x2 95.87
2022 122.36 Est @ 10.71% 98.86
2023 132.17 Est @ 8.02% 99.46
2024 140.28 Est @ 6.13% 98.31
2025 147.03 Est @ 4.82% 95.98
2026 152.76 Est @ 3.89% 92.87
2027 157.72 Est @ 3.25% 89.31
2028 162.13 Est @ 2.8% 85.50
2029 166.15 Est @ 2.48% 81.61
Present value of next 10 years cash flows $925.00
NasdaqGS:EXLS DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $166.15 × (1 + 1.74%) ÷ (7.37% – 1.74%)
$3,003.40
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $3,003.40 ÷ (1 + 7.37%)10
$1,475.22
NasdaqGS:EXLS Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $925.00 + $1,475.22
$2,400.22
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $2,400.22 / 34.36
$69.85
NasdaqGS:EXLS Discount to Share Price
Calculation Result
Value per share (USD) From above. $69.85
Current discount Discount to share price of $50.67
= -1 x ($50.67 - $69.85) / $69.85
27.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price ExlService Holdings is available for.
Intrinsic value
27%
Share price is $50.67 vs Future cash flow value of $69.85
Current Discount Checks
For ExlService Holdings to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • ExlService Holdings's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • ExlService Holdings's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for ExlService Holdings's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are ExlService Holdings's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:EXLS PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in USD $1.97
NasdaqGS:EXLS Share Price ** NasdaqGS (2020-04-07) in USD $50.67
United States of America IT Industry PE Ratio Median Figure of 71 Publicly-Listed IT Companies 24.84x
United States of America Market PE Ratio Median Figure of 2,948 Publicly-Listed Companies 12.95x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of ExlService Holdings.

NasdaqGS:EXLS PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:EXLS Share Price ÷ EPS (both in USD)

= 50.67 ÷ 1.97

25.72x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • ExlService Holdings is overvalued based on earnings compared to the US IT industry average.
  • ExlService Holdings is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does ExlService Holdings's expected growth come at a high price?
Raw Data
NasdaqGS:EXLS PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 25.72x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 10 Analysts
14.4%per year
United States of America IT Industry PEG Ratio Median Figure of 60 Publicly-Listed IT Companies 1.89x
United States of America Market PEG Ratio Median Figure of 2,010 Publicly-Listed Companies 0.92x

*Line of best fit is calculated by linear regression .

NasdaqGS:EXLS PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 25.72x ÷ 14.4%

1.79x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • ExlService Holdings is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on ExlService Holdings's assets?
Raw Data
NasdaqGS:EXLS PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in USD $19.60
NasdaqGS:EXLS Share Price * NasdaqGS (2020-04-07) in USD $50.67
United States of America IT Industry PB Ratio Median Figure of 116 Publicly-Listed IT Companies 2.88x
United States of America Market PB Ratio Median Figure of 5,162 Publicly-Listed Companies 1.26x
NasdaqGS:EXLS PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:EXLS Share Price ÷ Book Value per Share (both in USD)

= 50.67 ÷ 19.60

2.59x

* Primary Listing of ExlService Holdings.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • ExlService Holdings is good value based on assets compared to the US IT industry average.
X
Value checks
We assess ExlService Holdings's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the IT industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the IT industry average (and greater than 0)? (1 check)
  5. ExlService Holdings has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is ExlService Holdings expected to perform in the next 1 to 3 years based on estimates from 10 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
14.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is ExlService Holdings expected to grow at an attractive rate?
  • ExlService Holdings's earnings growth is expected to exceed the low risk savings rate of 1.7%.
Growth vs Market Checks
  • ExlService Holdings's earnings growth is expected to exceed the United States of America market average.
  • ExlService Holdings's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:EXLS Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:EXLS Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 10 Analysts 14.4%
NasdaqGS:EXLS Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 10 Analysts 6.6%
United States of America IT Industry Earnings Growth Rate Market Cap Weighted Average 16.4%
United States of America IT Industry Revenue Growth Rate Market Cap Weighted Average 9.7%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.3%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:EXLS Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 10 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:EXLS Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31 1,252 105 1
2021-12-31 1,127 159 93 10
2020-12-31 1,047 146 85 10
2020-04-08
NasdaqGS:EXLS Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-12-31 991 168 68
2019-09-30 969 151 50
2019-06-30 949 126 46
2019-03-31 916 109 48
2018-12-31 883 92 57
2018-09-30 846 90 44
2018-06-30 807 82 49
2018-03-31 786 99 55
2017-12-31 762 113 49
2017-09-30 742 115 74
2017-06-30 721 118 69
2017-03-31 702 117 65

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • ExlService Holdings's earnings are expected to grow by 14.4% yearly, however this is not considered high growth (20% yearly).
  • ExlService Holdings's revenue is expected to grow by 6.6% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:EXLS Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 10 Analyst Estimates (S&P Global) See Below

All data from ExlService Holdings Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:EXLS Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31 3.01 3.01 3.01 1.00
2021-12-31 2.69 2.85 2.36 10.00
2020-12-31 2.44 2.55 2.09 10.00
2020-04-08
NasdaqGS:EXLS Past Financials Data
Date (Data in USD Millions) EPS *
2019-12-31 1.97
2019-09-30 1.46
2019-06-30 1.35
2019-03-31 1.40
2018-12-31 1.65
2018-09-30 1.27
2018-06-30 1.44
2018-03-31 1.62
2017-12-31 1.44
2017-09-30 2.18
2017-06-30 2.04
2017-03-31 1.92

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • ExlService Holdings is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess ExlService Holdings's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
ExlService Holdings has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has ExlService Holdings performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare ExlService Holdings's growth in the last year to its industry (IT).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • ExlService Holdings's year on year earnings growth rate has been positive over the past 5 years.
  • ExlService Holdings's 1-year earnings growth exceeds its 5-year average (19.3% vs 5.3%)
  • ExlService Holdings's earnings growth has exceeded the US IT industry average in the past year (19.3% vs 13.7%).
Earnings and Revenue History
ExlService Holdings's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from ExlService Holdings Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:EXLS Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 991.35 67.66 198.90
2019-09-30 969.38 50.16 194.75
2019-06-30 949.11 46.37 192.03
2019-03-31 915.71 48.26 186.29
2018-12-31 883.11 56.73 179.86
2018-09-30 846.08 43.51 173.32
2018-06-30 807.31 49.34 166.46
2018-03-31 786.25 55.26 160.94
2017-12-31 762.31 48.89 156.39
2017-09-30 741.71 73.73 151.24
2017-06-30 720.56 68.70 146.36
2017-03-31 701.99 64.70 142.66
2016-12-31 685.99 61.73 139.47
2016-09-30 674.57 61.01 135.07
2016-06-30 666.88 60.12 133.09
2016-03-31 652.02 55.82 130.98
2015-12-31 628.49 51.57 126.77
2015-09-30 597.92 44.26 122.07
2015-06-30 556.87 35.18 115.64
2015-03-31 520.99 30.87 109.51
2014-12-31 499.28 32.45 104.68
2014-09-30 488.12 40.84 98.83
2014-06-30 487.97 48.01 98.54
2014-03-31 484.24 49.48 95.73
2013-12-31 478.45 48.10 95.17
2013-09-30 471.98 44.40 96.86
2013-06-30 462.31 42.86 92.87

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • ExlService Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • ExlService Holdings used its assets less efficiently than the US IT industry average last year based on Return on Assets.
  • ExlService Holdings's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess ExlService Holdings's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the IT industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
ExlService Holdings has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is ExlService Holdings's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up ExlService Holdings's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • ExlService Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • ExlService Holdings's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of ExlService Holdings's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 2.3x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from ExlService Holdings Company Filings, last reported 3 months ago.

NasdaqGS:EXLS Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 670.00 235.00 321.40
2019-09-30 647.68 244.79 280.77
2019-06-30 641.35 252.29 253.05
2019-03-31 630.84 320.64 302.74
2018-12-31 618.32 284.66 280.37
2018-09-30 574.45 300.63 242.51
2018-06-30 585.48 67.64 233.14
2018-03-31 601.71 67.67 239.42
2017-12-31 600.05 60.71 265.27
2017-09-30 596.37 45.00 249.37
2017-06-30 579.92 45.00 237.33
2017-03-31 562.71 45.00 218.17
2016-12-31 532.18 45.00 226.65
2016-09-30 518.22 45.00 214.01
2016-06-30 497.00 45.00 200.71
2016-03-31 483.79 65.00 192.85
2015-12-31 465.77 70.00 219.00
2015-09-30 447.41 70.00 183.84
2015-06-30 444.46 70.00 172.53
2015-03-31 436.96 80.00 165.65
2014-12-31 419.16 50.00 188.08
2014-09-30 409.12 0.00 167.99
2014-06-30 409.29 0.00 168.49
2014-03-31 394.69 0.00 150.86
2013-12-31 366.17 0.00 154.05
2013-09-30 359.81 0.00 138.55
2013-06-30 352.96 0.00 120.20
  • ExlService Holdings's level of debt (35.1%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (12% vs 35.1% today).
  • Debt is well covered by operating cash flow (71.7%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 7.6x coverage).
X
Financial health checks
We assess ExlService Holdings's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. ExlService Holdings has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is ExlService Holdings's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from ExlService Holdings dividends. Estimated to be 0% next year.
If you bought $2,000 of ExlService Holdings shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate ExlService Holdings's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate ExlService Holdings's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:EXLS Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 10 Analyst Estimates (S&P Global) See Below
United States of America IT Industry Average Dividend Yield Market Cap Weighted Average of 34 Stocks 1.5%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1935 Stocks 2.9%
United States of America Minimum Threshold Dividend Yield 10th Percentile 1.1%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.9%
United States of America Top 25% Dividend Yield 75th Percentile 5.5%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:EXLS Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2022-12-31 0.00 1.00
2021-12-31 0.00 1.00
2020-12-31 0.00 1.00
2020-04-08

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as ExlService Holdings has not reported any payouts.
  • Unable to verify if ExlService Holdings's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of ExlService Holdings's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as ExlService Holdings has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of ExlService Holdings's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess ExlService Holdings's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can ExlService Holdings afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. ExlService Holdings has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of ExlService Holdings's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Rohit Kapoor
COMPENSATION $5,105,509
AGE 54
TENURE AS CEO 11.9 years
CEO Bio

Mr. Rohit Kapoor serves as co-Founder at Exlservice Holdings, Inc. in April 1999. Mr. Kapoor has been the Chief Executive Officer of Exlservice Holdings, Inc. since May 2008 and served as its Co-Chairman since October, 2018. He served as the President of Exlservice Holdings, Inc since November 2002 and from May 2008 to March 2012. He served as President of EXL Inc. at Exlservice Holdings, Inc. since August 2000. In his new role, he focuses on enhancing EXL’s continued growth and the EXL’s strategic account management and service delivery infrastructure for the next phase of EXL’s development. He served as the Chief Financial Officer of EXL Inc. since August 2000 until April 16, 2012. He served as the Chief Operating Officer of Exlservice Holdings, Inc. from June 13, 2007 to April 2008. Mr. Kapoor served as the Chief Financial Officer of Exlservice Holdings, Inc. from November 2002 to June 2005 and from August 2006 to March 2007 and also served as its Principal Accounting Officer. He Co-founded EXL Inc. in April 1999. He served as business Head of Deutsche Bank from July 1999 to July 2000. From 1991 to 1999, he served in various capacities at Bank of America in the United States and Asia, including India. He is a well Respected leader in the outsourcing industry and has been instrumental in building EXL’s leadership position over the past several years. He continues to strengthen the alignment of EXL’s two primary lines of business - Transformation and Outsourcing services. He serves as Vice Chairman of Exlservice Holdings, Inc. since April 16, 2012. He has been a Director of Exlservice Holdings, Inc. since November 2002 and Tri-State chapter of Pratham USA since March 2014. He served as an Independent Director of CA, Inc. from April 7, 2011 to November 5, 2018 and its Lead Independent Director from August 8, 2018 to November 5, 2018. He is the Chairman of National Association of Software and Services Companies (“NASSCOM”) BPM Council. Mr. Kapoor’s qualifications include: extensive leadership experience at a public company; extensive accounting experience; international experience; entrepreneurial experience; governance experience as a Member of the Board of a public company; and a deep understanding of operational efficiencies. He is a Member of Board of Directors, America India Foundation (AIF) since February 2018. Mr. Kapoor holds a B.Tech. in Mechanical Engineering from IIT, Delhi and an MBA from Indian Institute of Management, Ahmedabad in 1988.

CEO Compensation
  • Rohit's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Rohit's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the ExlService Holdings management team in years:

2.8
Average Tenure
52.5
Average Age
  • The tenure for the ExlService Holdings management team is about average.
Management Team

Rohit Kapoor

TITLE
Co-Founder
COMPENSATION
$5M
AGE
54
TENURE
11.9 yrs

Pavan Bagai

TITLE
President & COO
COMPENSATION
$2M
AGE
57
TENURE
8 yrs

Nalin Miglani

TITLE
Executive VP & Chief Human Resource Officer
COMPENSATION
$1M
AGE
58
TENURE
5.3 yrs

Maurizio Nicolelli

TITLE
Executive VP & CFO
AGE
51
TENURE
0.2 yrs

Narasimha Kini

TITLE
Senior VP and Business Head of Finance & Accounting
COMPENSATION
$409K
AGE
50
TENURE
1.9 yrs

Mike Toma

TITLE
CTO & Senior VP
TENURE
3.8 yrs

Baljinder Singh

TITLE
Senior VP
TENURE
1.9 yrs

Steven N. Barlow

TITLE
Vice President of Investor Relations
TENURE
6.3 yrs

Ajay Ayyappan

TITLE
Senior VP
AGE
41
TENURE
1.3 yrs

Sonila Pokharia

TITLE
Chief Compliance & Ethics Officer
TENURE
0.9 yrs
Board of Directors Tenure

Average tenure and age of the ExlService Holdings board of directors in years:

5.8
Average Tenure
65.5
Average Age
  • The tenure for the ExlService Holdings board of directors is about average.
Board of Directors

Garen Staglin

TITLE
Independent Chairman of the Board
COMPENSATION
$380K
AGE
74
TENURE
1.5 yrs

Rohit Kapoor

TITLE
Co-Founder
COMPENSATION
$5M
AGE
54
TENURE
8 yrs

David Kelso

TITLE
Independent Director
COMPENSATION
$203K
AGE
67
TENURE
13.8 yrs

Clyde Ostler

TITLE
Independent Director
COMPENSATION
$205K
AGE
72
TENURE
12.3 yrs

Anne Minto

TITLE
Independent Director
COMPENSATION
$232K
AGE
66
TENURE
7.1 yrs

Som Mittal

TITLE
Independent Director
COMPENSATION
$218K
AGE
67
TENURE
6.3 yrs

Deborah Kerr

TITLE
Independent Director
COMPENSATION
$192K
AGE
47
TENURE
5.3 yrs

Nitin Sahney

TITLE
Independent Director
COMPENSATION
$193K
AGE
56
TENURE
4.3 yrs

Jaynie Studenmund

TITLE
Independent Director
COMPENSATION
$121K
AGE
65
TENURE
1.6 yrs

Vikram Pandit

TITLE
Independent Director
COMPENSATION
$96K
AGE
62
TENURE
1.5 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess ExlService Holdings's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. ExlService Holdings has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

ExlService Holdings (NASDAQ:EXLS) Seems To Use Debt Quite Sensibly

NasdaqGS:EXLS Historical Debt, August 27th 2019 How Healthy Is ExlService Holdings's Balance Sheet? … Zooming in on the latest balance sheet data, we can see that ExlService Holdings had liabilities of US$168.2m due within 12 months and liabilities of US$327.9m due beyond that. … While ExlService Holdings has net cash on its balance sheet, it's still worth taking a look at its ability to convert earnings before interest and tax (EBIT) to free cash flow, to help us understand how quickly it is building (or eroding) that cash balance.

Simply Wall St -

Based On Its ROE, Is ExlService Holdings, Inc. (NASDAQ:EXLS) A High Quality Stock?

The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for ExlService Holdings: 7.2% = US$46m ÷ US$641m (Based on the trailing twelve months to June 2019.) It's easy to understand the 'net profit' part of that equation, but 'shareholders' equity' requires further explanation. … ExlService Holdings's Debt And Its 7.2% ROE ExlService Holdings has a debt to equity ratio of 0.39, which is far from excessive. … If you would prefer check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.

Simply Wall St -

Calculating The Intrinsic Value Of ExlService Holdings, Inc. (NASDAQ:EXLS)

We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. … Generally we assume that a dollar today is more valuable than a dollar in the future, and so the sum of these future cash flows is then discounted to today's value: 10-year free cash flow (FCF) forecast 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Levered FCF ($, Millions) $101.4m $120.0m $135.1m $148.2m $159.4m $169.1m $177.7m $185.5m $192.8m $199.6m Growth Rate Estimate Source Analyst x2 Analyst x1 Est @ 12.61% Est @ 9.64% Est @ 7.57% Est @ 6.12% Est @ 5.1% Est @ 4.39% Est @ 3.89% Est @ 3.54% Present Value ($, Millions) Discounted @ 9% $93.0 $101.0 $104.3 $105.0 $103.6 $100.8 $97.2 $93.1 $88.8 $84.3 ("Est" = FCF growth rate estimated by Simply Wall St) Present Value of 10-year Cash Flow (PVCF)= $971.1m We now need to calculate the Terminal Value, which accounts for all the future cash flows after this ten year period. … In the same way as with the 10-year 'growth' period, we discount future cash flows to today's value, using a cost of equity of 9%.

Simply Wall St -

Why ExlService Holdings, Inc.’s (NASDAQ:EXLS) Use Of Investor Capital Doesn’t Look Great

Analysts use this formula to calculate return on capital employed: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for ExlService Holdings: 0.072 = US$74m ÷ (US$1.2b - US$158m) (Based on the trailing twelve months to March 2019.) Therefore, ExlService Holdings has an ROCE of 7.2%. … Do ExlService Holdings's Current Liabilities Skew Its ROCE? … The ROCE equation subtracts current liabilities from capital employed, so a company with a lot of current liabilities appears to have less capital employed, and a higher ROCE than otherwise.

Simply Wall St -

Is ExlService Holdings, Inc.'s (NASDAQ:EXLS) Future Growth Already Accounted For In Today's Price?

ExlService Holdings is trading at price-to-earnings (PE) ratio of 46.05x, this tells us the stock is overvalued compared to the US market average ratio of 17.94x , and overvalued based on current earnings compared to the IT industry average of 36.65x. … NasdaqGS:EXLS Price Estimation Relative to Market, July 12th 2019 We understand EXLS seems to be overvalued based on its current earnings, compared to its industry peers. … This tells us that when we include its growth in our analysis ExlService Holdings's stock can be considered overvalued , based on its fundamentals.

Simply Wall St -

Should You Be Concerned With ExlService Holdings, Inc.'s (NASDAQ:EXLS) -13% Earnings Drop?

See our latest analysis for ExlService Holdings Did EXLS perform worse than its track record and industry? … Furthermore, its return on assets (ROA) of 4.8% is below the US IT industry of 5.6%, indicating ExlService Holdings's are utilized less efficiently. … I recommend you continue to research ExlService Holdings to get a better picture of the stock by looking at: Future Outlook: What are well-informed industry analysts predicting for EXLS’s future growth?

Simply Wall St -

What You Must Know About ExlService Holdings, Inc.'s (NASDAQ:EXLS) Beta Value

Beta can be a useful tool to understand how much a stock is influenced by market risk (volatility). … With a beta of 1.05, (which is quite close to 1) the share price of ExlService Holdings has historically been about as voltile as the broader market. … What this means for you: It is probable that there is a link between the share price of ExlService Holdings and the broader market, since it has a beta value quite close to one.

Simply Wall St -

ExlService Holdings, Inc. (NASDAQ:EXLS) Insiders Have Been Selling

So we'll take a look at whether insiders have been buying or selling shares in ExlService Holdings, Inc. … As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.' Check out our latest analysis for ExlService Holdings ExlService Holdings Insider Transactions Over The Last Year The Chief Growth Officer &amp; Executive VP, Nagaraja Srivatsan, made the biggest insider sale in the last 12 months. … Insider Ownership For a common shareholder, it is worth checking how many shares are held by company insiders.

Simply Wall St -

Should You Be Tempted To Sell ExlService Holdings, Inc. (NASDAQ:EXLS) Because Of Its P/E Ratio?

The formula for P/E is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for ExlService Holdings: P/E of 44.06 = $61.76 ÷ $1.4 (Based on the trailing twelve months to March 2019.) Is A High Price-to-Earnings Ratio Good? … The higher the P/E ratio, the higher the price tag of a business, relative to its trailing earnings. … NasdaqGS:EXLS Price Estimation Relative to Market, June 14th 2019 That means that the market expects ExlService Holdings will outperform other companies in its industry.

Simply Wall St -

Shareholders Are Thrilled That The ExlService Holdings (NASDAQ:EXLS) Share Price Increased 100%

One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … ExlService Holdings's earnings per share are down 1.5% per year, despite strong share price performance over five years. … Since the change in EPS doesn't seem to correlate with the change in share price, it's worth taking a look at other metrics.

Simply Wall St -

Company Info

Description

ExlService Holdings, Inc. provides operations management and analytics services in the United States, the United Kingdom, and internationally. The company offers business process management (BPM) services to the insurance industry in the areas of claims processing, subrogation, premium and benefit administration, agency management, account reconciliation, policy research, underwriting support, new business processing, policy servicing, premium audit, surveys, billing and collection, commercial and residential survey, and customer services. It also provides BPM services related to the care management, utilization management, multi-chronic case management, disease management, payment integrity, revenue optimization, and customer engagement for the healthcare industry; BPM services related to business processes in corporate and leisure travel, such as reservations, customer service, fulfillment, and finance and accounting; and finance and accounting BPM services, including procure-to-pay, order-to-cash, hire-to-retire, record-to-report, regulatory reporting, financial planning and analysis, audit and assurance, and treasury and tax processes. In addition, the company offers BPM services for banking and financial services industry comprising residential mortgage lending, retail banking and credit cards, commercial banking, and investment management; BPM services related to enhancing operating models, enhancing customer experience, reducing costs, shortening turnaround time, and simplifying compliance for clients; and industry-specific digital transformational services. Further, it provides predictive and prescriptive analytics in the areas of customer acquisition and lifecycle management, risk underwriting and pricing, operational effectiveness, credit and operational risk monitoring and governance, regulatory reporting, and data management. The company was founded in 1999 and is headquartered in New York, New York.

Details
Name: ExlService Holdings, Inc.
EXLS
Exchange: NasdaqGS
Founded: 1999
$1,741,258,892
34,364,691
Website: http://www.exlservice.com
Address: ExlService Holdings, Inc.
320 Park Avenue,
29th Floor,
New York,
New York, 10022,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS EXLS Common Stock Nasdaq Global Select US USD 20. Oct 2006
Number of employees
Current staff
Staff numbers
31,700
ExlService Holdings employees.
Industry
Data Processing and Outsourced Services
Software
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/08 09:28
End of day share price update: 2020/04/07 00:00
Last estimates confirmation: 2020/03/27
Last earnings filing: 2020/02/27
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.