On September 19, 2023, research analysts at Jefferies Financial Group initiated coverage on shares of WNS (NYSE:WNS), a business process management (BPM) company, by releasing a comprehensive research report for clients and investors. According to Briefing.com, Jefferies Financial Group assigned a “buy” rating to WNS’s stock and set a price target of $82.00, suggesting a potential upside of 25.19% from the stock’s previous close.
At the opening of the market on Tuesday, WNS shares were priced at $65.50. The company currently has a market capitalization of $3.10 billion and boasts a price-to-earnings ratio of 24.53. With a beta of 1.15 and a PEG ratio of 1.45, WNS demonstrates moderate volatility in comparison to the overall market.
In terms of its moving averages, WNS has recorded a fifty-day simple moving average of $66.86 and a two-hundred-day simple moving average of $76.61. Over the past year, the stock’s price has fluctuated between its lowest point at $60.79 and its highest at $94.96.
With respect to its financial position, WNS maintains prudent levels of leverage with a debt-to-equity ratio standing at 0.17 as well as healthy liquidity ratios such as the current and quick ratio both measured at 1.40.
WNS specializes in providing industry-specific services worldwide across various sectors including insurance; diversified businesses such as manufacturing, retail, consumer packaged goods, media and entertainment, and telecommunications; travel and leisure; healthcare; utilities; shipping and logistics; hi-tech and professional services; as well as banking and financial services.
Looking back on recent performance indicators, WNS released its quarterly earnings data on July 20th with impressive results. The business services provider reported earnings per share (EPS) of $1.01 for the quarter, exceeding analysts’ consensus estimates of $0.93 by a margin of $0.08. Additionally, WNS generated revenue of $317.50 million in the same period, surpassing analysts’ expectations set at $304.58 million. Comparatively, the company achieved a year-on-year increase in quarterly revenue of 15.5%. Furthermore, WNS demonstrated a return on equity of 21.61% and a net margin of 10.71%, indicating strong profitability.
As analysts evaluate the future prospects of WNS, they anticipate that the company will post earnings per share of 3.45 for the current year.
Overall, Jefferies Financial Group’s “buy” rating and price target for WNS indicate confidence in the company’s potential upside and favorable market positioning within its industry segments. As investors scrutinize these research findings, they may consider including WNS in their investment portfolio or diversifying their existing holdings to capitalize on the projected growth opportunity presented by this business process management firm.
Monroe Capital Corporation
MRCC
Buy
Updated on: 29/09/2023
Healthy 
Positive Outlook for WNS: Analyst Ratings and Institutional Investor Activity
September 19, 2023 – In a recent research note, Needham & Company LLC reiterated its “buy” rating for WNS and set a target price of $115.00 per share. This recommendation aligns with the views of several other analysts who have weighed in on the stock.
Citigroup, for example, reduced their target price on WNS from $104.00 to $95.00 but maintained a “buy” rating for the company. Similarly, JPMorgan Chase & Co. lowered their price target from $104.00 to $87.00 but still classified the stock as “overweight.” These contrasting adjustments in target prices highlight the complexity of assessing a company’s valuation.
StockNews.com began coverage on WNS with a report that assigned a “hold” rating to the company. Meanwhile, Barrington Research remained bullish on the stock and lowered its target price from $108.00 to $88.00 but maintained an “outperform” rating.
In total, eight analysts have issued “buy” ratings for WNS while one analyst has rated it as a hold. These endorsements reflect a positive sentiment towards the business services provider.
According to Bloomberg.com, WNS has received a consensus rating of “Moderate Buy,” further reinforcing positive expectations for the company’s future performance in the market. The average target price is estimated at $98.50.
When assessing institutional investors’ activity with regards to WNS shares, notable trends emerge as well. JPMorgan Chase & Co., for instance, increased its stake in WNS by 16.8% during the first quarter after purchasing an additional 607 shares valued at approximately $361,000.
Additionally, Raymond James & Associates entered into a new position during the same period by acquiring shares worth approximately $433,000 in WNS.
Citigroup Inc., meanwhile, grew its holdings in WNS by 2.2% during the first quarter, accumulating an additional 333 shares valued at $1,295,000.
The Canada Pension Plan Investment Board significantly increased its position in WNS by 72.1% during the same quarter, acquiring an additional 20,400 shares with a value of approximately $4,163,000.
Furthermore, Baird Financial Group Inc. raised its stake in WNS by 21.8% during the first quarter after purchasing an additional 7,878 shares worth about $3,765,000.
Overall, these institutional investors demonstrate confidence in WNS’s potential for growth and success. Currently, hedge funds and other institutional investors own approximately 99.49% of the company’s stock.
While it is important to consider the diverse perspectives and variable target prices offered by analysts in forming investment decisions, the consensus assessment leans towards a positive outlook for WNS. Institutional investors’ bullish activity further reinforces this sentiment.
Investors should exercise due diligence and carefully assess all available information before making any investment decisions regarding WNS.
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