NEW YORK—Jaynie M. Studenmund, a director at ExlService Holdings, Inc. (NASDAQ:EXLS), recently sold a portion of her holdings in the company. According to a recent SEC filing, Studenmund sold 3,645 shares of common stock on November 19. The shares were sold at a weighted average price of $44.05, resulting in a total transaction value of approximately $160,562.
Following this sale, Studenmund retains ownership of 14,580 shares of ExlService Holdings. The sale was reported in a Form 4 filing with the SEC, which noted that the transaction was executed in multiple trades at prices ranging from $44.02 to $44.11 per share. The reported number of shares reflects adjustments due to a 5-for-1 forward stock split effective August 1, 2023.
ExlService Holdings, based in New York, operates in the business services sector and is known for providing operations management and analytics services.
In other recent news, ExlService Holdings reported a significant 15% year-over-year increase in its Q3 2024 revenues, which reached a total of $472 million. The company's adjusted earnings per share (EPS) also saw a notable rise of 16% to $0.44. Based on these positive results, EXL has raised its full-year 2024 revenue guidance to between $1.825 billion and $1.835 billion, suggesting a 12% to 13% year-over-year growth.
The firm's strategic focus on data modernization and artificial intelligence (AI) implementation is driving its strong performance, particularly in the Digital Operations and Solutions segments. EXL also reported a successful acquisition of ITI Data and a partnership with Databricks as part of its investment in AI and data modernization.
As part of these recent developments, the company expects its adjusted EPS for 2024 to be between $1.61 and $1.63, with estimated capital expenditures for data and AI investments ranging from $48 million to $52 million. The firm's commitment to talent development is evident, with nearly 1 million training hours completed this year. Despite inherent volatility in the Analytics segment, the company anticipates sustained low double-digit growth in its Digital Operations segment.
InvestingPro Insights
To provide additional context to Jaynie M. Studenmund's recent stock sale, it's worth examining some key financial metrics and insights from InvestingPro for ExlService Holdings (NASDAQ:EXLS).
According to InvestingPro data, EXLS has a market capitalization of $7.35 billion, indicating it's a substantial player in the business services sector. The company's P/E ratio stands at 40.1, suggesting investors are willing to pay a premium for its earnings. This aligns with an InvestingPro Tip that EXLS is "Trading at a high earnings multiple."
EXLS has demonstrated strong financial performance, with revenue growth of 11.29% over the last twelve months, reaching $1.77 billion. The company's profitability is also noteworthy, with a gross profit margin of 37.24% and an operating income margin of 13.93% for the same period.
Investors have been rewarded for their confidence in EXLS, as evidenced by the stock's impressive returns. InvestingPro data shows a one-year price total return of 64.36%, and a six-month return of 46.63%. These figures support the InvestingPro Tip highlighting the "High return over the last year" for EXLS.
It's important to note that while the stock has performed well, it may be trading at elevated valuations. InvestingPro Tips indicate that EXLS is "Trading at a high P/E ratio relative to near-term earnings growth" and "Trading at a high revenue valuation multiple." This context might provide some insight into why an insider like Studenmund might choose to sell a portion of their holdings.
For readers interested in a more comprehensive analysis, InvestingPro offers 18 additional tips for EXLS, providing a deeper understanding of the company's financial health and market position.
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