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Is EXLSERVICE HOLDINGS INC (NASDAQ:EXLS) suited for quality investing?

By Mill Chart

Last update: Sep 18, 2024

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.


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Exploring Why NASDAQ:EXLS Holds Appeal for Quality Investors.

  • The 5-year revenue growth of EXLSERVICE HOLDINGS INC has been remarkable, with 13.05% increase. This showcases the company's strong performance in driving revenue growth and indicates its competitiveness within the market.
  • 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.
  • With a Debt/Free Cash Flow Ratio of 2.22, EXLSERVICE HOLDINGS INC exhibits solid financial health and responsible debt management practices. This ratio indicates the company's ability to generate ample free cash flow to meet its debt obligations and pursue growth opportunities.
  • The Profit Quality (5-year) of EXLSERVICE HOLDINGS INC stands at 134.0%, highlighting its ability to consistently generate reliable profits. This metric underscores the company's strong business fundamentals and reinforces its position as a financially stable entity.
  • 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.

Fundamental Analysis Observations

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.

EXLS gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 86 industry peers in the IT Services industry. EXLS has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. EXLS has a correct valuation and a medium growth rate. With these ratings, EXLS could be worth investigating further 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.

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