ExlService Holdings, Inc. (EXLS) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+20.7%

$51.25

vs $42.45 price

Levered DCF

$53.36

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

6.46

Safe zone

Rating

A-

Overall 4 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	27.21×	36.38×	27.79×	39.41×	42.57×	32.75×	35.62×	31.88×
P/B	7.49×	7.77×	5.77×	7.45×	7.01×	4.06×	3.56×	2.93×
P/S	3.27×	3.93×	3.15×	4×	4.33×	3.04×	2.41×	2.05×
EV / EBITDA	18.09×	22.11×	16.36×	21.13×	22.05×	14.82×	14.73×	17.16×
Gross margin	38.4%	37.6%	37.3%	36.5%	38.4%	34.9%	33.9%	33.8%
Operating margin	15.0%	14.3%	14.6%	13.6%	13.9%	11.5%	7.7%	5.6%
Net margin	12.0%	10.8%	11.3%	10.1%	10.2%	9.3%	6.8%	6.4%
Current ratio	2.56×	2.73×	2.07×	2.2×	1.16×	2.74×	2.35×	3.22×
Debt / equity	0.44×	0.39×	0.31×	0.41×	0.5×	0.46×	0.5×	0.46×
Interest coverage	17.82×	13.69×	18.11×	23.29×	20.62×	9.83×	5.62×	6.89×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%
Payout ratio	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	27.5%	21.3%	20.7%	18.9%	16.6%	12.4%	10.1%	9.2%
Return on invested capital	17.9%	14.8%	15.5%	13.0%	11.4%	8.0%	6.1%	5.1%
Return on assets	14.7%	12.3%	12.8%	10.6%	8.9%	7.2%	5.7%	5.3%
Free cash flow yield	4.4%	3.1%	3.1%	2.1%	3.0%	5.5%	5.4%	2.9%
Earnings yield	3.7%	2.7%	3.6%	2.5%	2.4%	3.1%	2.8%	3.1%
Enterprise value	$7.1B	$7.4B	$5.3B	$5.8B	$5.1B	$3B	$2.6B	$2B
Net debt / EBITDA	0.66×	0.61×	0.41×	0.69×	0.9×	0.53×	1.19×	1.58×
Cash conversion cycle (days)	67	70	72	68	66	59	65	70