Head-To-Head Comparison: Ability (OTCMKTS:ABILF) versus ExlService (NASDAQ:EXLS)

ExlService (NASDAQ:EXLS) and Ability (OTCMKTS:ABILF) are both computer and technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, dividends, risk, profitability, earnings and institutional ownership.

Insider & Institutional Ownership

92.9% of ExlService shares are owned by institutional investors. 4.0% of ExlService shares are owned by company insiders. Comparatively, 40.0% of Ability shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares ExlService and Ability’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ExlService	11.91%	25.60%	15.03%
Ability	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of recent ratings and target prices for ExlService and Ability, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ExlService	0	1	4	0	2.80
Ability	0	0	0	0	0.00

ExlService presently has a consensus target price of $54.50, suggesting a potential upside of 37.25%. Given ExlService’s stronger consensus rating and higher probable upside, equities research analysts clearly believe ExlService is more favorable than Ability.

Risk and Volatility

ExlService has a beta of 0.9, meaning that its stock price is 10% less volatile than the S&P 500. Comparatively, Ability has a beta of -479.64, meaning that its stock price is 48,064% less volatile than the S&P 500.

Earnings & Valuation

This table compares ExlService and Ability”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ExlService	$2.03 billion	3.11	$198.30 million	$1.47	27.01
Ability	N/A	N/A	N/A	N/A	N/A

ExlService has higher revenue and earnings than Ability.

Summary

ExlService beats Ability on 9 of the 10 factors compared between the two stocks.

About ExlService

ExlService Holdings, Inc. operates as a data analytics, and digital operations and solutions company in the United States and internationally. The company operates through Insurance, Healthcare, Analytics, and Emerging Business segments. It also provides digital operations and solutions and analytics-driven services, such as claims processing, premium and benefit administration, agency management, account reconciliation, policy research, underwriting support, new business acquisition, policy servicing, premium audit, surveys, billing and collection, commercial and residential survey, and customer service using digital technology, artificial intelligence, machine learning, and advanced automation; digital customer acquisition services using a software-as-a-service delivery model through LifePRO and LISS platforms; subrogation services; and Subrosource software platform, an end-to-end subrogation platform. In addition, the company offers health care services related to care management, utilization management, disease management, payment integrity, revenue optimization, and customer engagement. Further, it provides financial planning and analysis, management reporting, forecasting and decision support, data management, regulatory reporting and risk, and compliance services; reservations, customer, and fulfilment services; freight billing, collections, claims management, freight audit, freight scheduling, supply chain management, and revenue assurance services; residential mortgage lending, title verification and validation, retail banking and credit cards, trust verification, commercial banking, and investment management; merchandising, pricing, and demand forecasting; and digital operations and solutions. The company offers predictive and prescriptive analytics in the areas of customer acquisition and lifecycle management. ExlService Holdings, Inc. was founded in 1999 and is headquartered in New York, New York.

About Ability

Ability Inc. provides systems for off-air cellular and satellite interception, and geolocation worldwide. The company engages in the interception of cellular and satellite communication networks for surveillance, border security, anti-terror, anti-crime, intelligence gathering, reconnaissance, target tracking, airport security, and tracking suspicious people for use by the ministries of defense, national agencies, secret services and security officers, federal police forces and presidential police, homeland security organizations, border control forces, integrators, anti-drug organizations and law enforcement units, and ministries of interior and justice, as well as armies, navies, and air forces. It also provides tactical and strategic interception systems for Thuraya, Iridium, and IsatPhone Pro that intercepts voice calls, SMS, data traffic, call related information, and detecting location of satellite phones; and systems to intercept VSAT, DCME, and other satellite links. In addition, the company offers cellular interception systems, which include Unlimited Interceptor, a geolocation system that detects the location of phones participating in intercepted conversations; GoDown, a system in cellular phones to change operational mode and operates as a selective jammer for prison-related projects; and In-Between Interception System that supports GSM, UMTS, and LTE networks. Further, it provides various IMSI catcher configurations and CDMA interception systems. The company was founded in 1994 and is based in Tel Aviv-Yafo, Israel.