We expect a solid currency-driven EPS beat/raise (revenue likely about in line); view risk/reward as reasonably balanced. We expect a solid EPS beat/raise, as currency has moved nicely into the company’s favor since they reported Q1 results. Yet we believe that significant upside to the stock may be limited given (1) somewhat choppy industry trends; (2) currency benefits can be transitory (quickly can move the other way); (3) the NTM multiple is similar to that of faster-growth CTSH.
For more information, please contact:
David J. Koning, CFA
About the Author: Ben Trowbridge is an accomplished Outsourcing Consultant with extensive experience in outsourcing and managed services. As a former EY Partner and CEO of Alsbridge, he built successful practices in Transformational Outsourcing, BPO, IT Outsourcing, and Cybersecurity Managed Services. Throughout his career, Ben has advised a broad range of clients on outsourcing and global business services strategy and transactions. As the current CEO of the Outsourcing Center, he provides valuable insights and guidance to buyers and managed services executives. Contact him at [email protected].