EXLSERVICE HOLDINGS INC (NASDAQ:EXLS) can be considered a quality stock. Here's why.

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if EXLSERVICE HOLDINGS INC (NASDAQ:EXLS) is suited for quality investing. Investors should of course do their own research, but we spotted EXLSERVICE HOLDINGS INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Key Considerations for Quality Investors.

• EXLSERVICE HOLDINGS INC has demonstrated significant revenue growth over the past 5 years, with a 13.05% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
• With a notable ROIC excluding cash and goodwill at 36.85%, EXLSERVICE HOLDINGS INC demonstrates its commitment to generating sustainable returns for shareholders. This metric emphasizes the company's effective use of capital and its ability to deliver long-term value.
• EXLSERVICE HOLDINGS INC maintains a healthy Debt/Free Cash Flow Ratio of 2.22, indicating a strong financial position and prudent debt management. This ratio suggests the company has sufficient free cash flow to cover its debt obligations and highlights its ability to generate cash from operations.
• With a favorable Profit Quality (5-year) ratio of 134.0%, EXLSERVICE HOLDINGS INC showcases its ability to consistently deliver high-quality profits. This metric signifies the company's financial strength and its capacity to generate sustainable earnings over an extended period.
• EXLSERVICE HOLDINGS INC has consistently achieved strong EBIT growth over the past 5 years, with a 27.85% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
• EXLSERVICE HOLDINGS INC has achieved superior EBIT 5-year growth compared to its Revenue 5-year growth. This demonstrates the company's ability to maximize its profitability through effective cost management and operational strategies.

What is the full fundamental picture of NASDAQ:EXLS telling us.

As part of its analysis, ChartMill provides a comprehensive Fundamental Rating for each stock. This rating, ranging from 0 to 10, is updated on a daily basis and is based on the evaluation of various fundamental indicators and properties.

Taking everything into account, EXLS scores 6 out of 10 in our fundamental rating. EXLS was compared to 85 industry peers in the IT Services industry. EXLS scores excellent points on both the profitability and health parts. This is a solid base for a good stock. EXLS is not valued too expensively and it also shows a decent growth rate. This makes EXLS very considerable for quality investing!

Check the latest full fundamental report of EXLS for a complete fundamental analysis.

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.