Analyzing TaskUs (TASK) & Its Rivals

TaskUs (NASDAQ:TASK) is one of 203 publicly-traded companies in the “Professional Services” industry, but how does it compare to its competitors? We will compare TaskUs to related businesses based on the strength of its earnings, valuation, dividends, institutional ownership, analyst recommendations, profitability and risk.

Insider and Institutional Ownership

44.6% of TaskUs shares are owned by institutional investors. Comparatively, 57.4% of shares of all “Professional Services” companies are owned by institutional investors. 31.9% of TaskUs shares are owned by company insiders. Comparatively, 17.1% of shares of all “Professional Services” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares TaskUs and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TaskUs	8.22%	30.17%	11.13%
TaskUs Competitors	0.21%	36.55%	4.39%

Risk and Volatility

TaskUs has a beta of 1.93, meaning that its share price is 93% more volatile than the S&P 500. Comparatively, TaskUs’ competitors have a beta of 0.96, meaning that their average share price is 4% less volatile than the S&P 500.

Valuation and Earnings

This table compares TaskUs and its competitors revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
TaskUs	$1.24 billion	$102.28 million	8.35
TaskUs Competitors	$3.39 billion	$228.39 million	32.87

TaskUs’ competitors have higher revenue and earnings than TaskUs. TaskUs is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Analyst Recommendations

This is a summary of current ratings and recommmendations for TaskUs and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TaskUs	1	4	1	0	2.00
TaskUs Competitors	1591	6477	9184	432	2.48

TaskUs currently has a consensus target price of $9.80, suggesting a potential upside of 6.64%. As a group, “Professional Services” companies have a potential upside of 27.00%. Given TaskUs’ competitors stronger consensus rating and higher probable upside, analysts plainly believe TaskUs has less favorable growth aspects than its competitors.

Summary

TaskUs competitors beat TaskUs on 9 of the 13 factors compared.

TaskUs Company Profile

TaskUs, Inc. provides digital outsourcing services for companies in Philippines, the United States, India, and internationally. It offers digital customer experience that consists of omni-channel customer care services primarily delivered through non-voice digital channels; and other solutions, including experience and customer care services for new product or market launches, and customer acquisition solutions. The company also provides trust and safety solutions, such as review and disposition of user and advertiser generated visual, text, and audio content, which include removal or labeling of policy violating, and offensive or misleading content, as well as risk management, compliance, identity management, and fraud services; and artificial intelligence (AI) solutions that consist of data labeling, annotation, context relevance, and transcription services for training and tuning machine learning algorithms that enables to develop AI systems. It serves clients in various industry segments comprising e-commerce, FinTech, food delivery and ride sharing, gaming, technology, HealthTech, social media, and streaming media. The company was formerly known as TU TopCo, Inc. and changed its name to TaskUs, Inc. in December 2020. TaskUs, Inc. was founded in 2008 and is headquartered in New Braunfels, Texas.