WNS (Holdings) (NYSE:WNS) - Share price, News & Analysis

WNS fundamental analysis
Snowflake Score
Valuation	1/6
Future Growth	3/6
Past Performance	3/6
Financial Health	5/6
Dividends	0/6

WNS Stock Overview

WNS (Holdings) Limited, a business process management (BPM) company, provides data, voice, analytical, and business transformation services worldwide.

Rewards

Trading at 4.6% below our estimate of its fair value

Earnings are forecast to grow 6.99% per year

Earnings have grown 16.6% per year over the past 5 years

Risk Analysis

No risks detected for WNS from our risk checks.

WNS (Holdings) Competitors

Genpact

NYSE:G

US$9.7b

Concentrix

NasdaqGS:CNXC

US$8.7b

TELUS International (Cda)

NYSE:TIXT

US$7.8b

ExlService Holdings

NasdaqGS:EXLS

US$4.3b

Price History & Performance

Summary of all time highs, changes and price drops for WNS (Holdings)
Historical stock prices
Current Share Price	US$91.28
52 Week High	US$91.30
52 Week Low	US$67.18
Beta	1.39
1 Month Change	8.41%
3 Month Change	9.33%
1 Year Change	31.77%
3 Year Change	99.96%
5 Year Change	211.11%
Change since IPO	272.57%

Recent News & Updates

Jan 13

At US$89.23, Is It Time To Put WNS (Holdings) Limited (NYSE:WNS) On Your Watch List?

WNS (Holdings) Limited ( NYSE:WNS ), is not the largest company out there, but it saw a decent share price growth in...

Dec 27

Is WNS (Holdings) (NYSE:WNS) Using Too Much Debt?

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Dec 13

With EPS Growth And More, WNS (Holdings) (NYSE:WNS) Is Interesting

For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to...

Nov 29

WNS (Holdings) (NYSE:WNS) Might Have The Makings Of A Multi-Bagger

There are a few key trends to look for if we want to identify the next multi-bagger. Firstly, we'll want to see a...

Shareholder Returns

	WNS	US IT	US Market
7D	4.0%	-2.4%	-0.5%
1Y	31.8%	-2.0%	13.7%

Return vs Industry: WNS exceeded the US IT industry which returned -2% over the past year.

Return vs Market: WNS exceeded the US Market which returned 13.7% over the past year.

Price Volatility

Is WNS's price volatile compared to industry and market?
WNS volatility
WNS Average Weekly Movement	3.3%
IT Industry Average Movement	8.1%
Market Average Movement	6.6%
10% most volatile stocks in US Market	15.9%
10% least volatile stocks in US Market	2.4%

Stable Share Price: WNS is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: WNS's weekly volatility (3%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1996	49,511	Keshav Murugesh	https://www.wns.com

WNS (Holdings) Limited, a business process management (BPM) company, provides data, voice, analytical, and business transformation services worldwide. The company operates through two segments, WNS Global BPM and WNS Auto Claims BPM. It offers industry-specific services to clients primarily in insurance; diversified businesses, including manufacturing, retail, consumer packaged goods, media and entertainment, and telecom; travel and leisure; healthcare; utilities; shipping and logistics; consulting and professional services; and banking and financial services.

WNS (Holdings) Fundamentals Summary

How do WNS (Holdings)'s earnings and revenue compare to its market cap?
WNS fundamental statistics
Market Cap	US$4.45b
Earnings (TTM)	US$117.46m
Revenue (TTM)	US$1.01b

37.9x

P/E Ratio

4.4x

P/S Ratio

Is WNS overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
WNS income statement (TTM)
Revenue	US$1.01b
Cost of Revenue	US$659.85m
Gross Profit	US$349.28m
Expenses	US$231.82m
Earnings	US$117.46m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

Jan 20, 2022

Earnings per share (EPS)	2.41
Gross Margin	34.61%
Net Profit Margin	11.64%
Debt/Equity Ratio	1.2%

How did WNS perform over the long term?

See historical performance and comparison

Valuation

Is WNS (Holdings) undervalued compared to its fair value and its price relative to the market?

4.6%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: WNS ($91.28) is trading below our estimate of fair value ($95.66)

Significantly Below Fair Value: WNS is trading below fair value, but not by a significant amount.

Price To Earnings Ratio

PE vs Industry: WNS is poor value based on its PE Ratio (37.9x) compared to the US IT industry average (33.6x).

PE vs Market: WNS is poor value based on its PE Ratio (37.9x) compared to the US market (17.4x).

Price to Earnings Growth Ratio

PEG Ratio: WNS is poor value based on its PEG Ratio (5.4x)

Price to Book Ratio

PB vs Industry: WNS is overvalued based on its PB Ratio (6.6x) compared to the US IT industry average (4.4x).

Future Growth

How is WNS (Holdings) forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

7.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: WNS's forecast earnings growth (7% per year) is above the savings rate (2%).

Earnings vs Market: WNS's earnings (7% per year) are forecast to grow slower than the US market (13% per year).

High Growth Earnings: WNS's earnings are forecast to grow, but not significantly.

Revenue vs Market: WNS's revenue (10.3% per year) is forecast to grow faster than the US market (9.3% per year).

High Growth Revenue: WNS's revenue (10.3% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: WNS's Return on Equity is forecast to be high in 3 years time (20.5%)

Past Performance

How has WNS (Holdings) performed over the past 5 years?

16.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: WNS has high quality earnings.

Growing Profit Margin: WNS's current net profit margins (11.6%) are higher than last year (11.4%).

Past Earnings Growth Analysis

Earnings Trend: WNS's earnings have grown by 16.6% per year over the past 5 years.

Accelerating Growth: WNS's earnings growth over the past year (12.4%) is below its 5-year average (16.6% per year).

Earnings vs Industry: WNS earnings growth over the past year (12.4%) underperformed the IT industry 35.8%.

Return on Equity

High ROE: WNS's Return on Equity (17.5%) is considered low.

Financial Health

How is WNS (Holdings)'s financial position?

Financial Position Analysis

Short Term Liabilities: WNS's short term assets ($467.9M) exceed its short term liabilities ($194.7M).

Long Term Liabilities: WNS's short term assets ($467.9M) exceed its long term liabilities ($200.7M).

Debt to Equity History and Analysis

Debt Level: WNS has more cash than its total debt.

Reducing Debt: Insufficient data to determine if WNS's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: WNS's debt is well covered by operating cash flow (2320.2%).

Interest Coverage: WNS's interest payments on its debt are well covered by EBIT (14.1x coverage).

Balance Sheet

Dividend

What is WNS (Holdings) current dividend yield, its reliability and sustainability?

Dividend Yield vs Market

Notable Dividend: Unable to evaluate WNS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate WNS's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if WNS's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if WNS's dividend payments have been increasing.

Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of WNS's dividend in 3 years as they are not forecast to pay a notable one for the US market.

Next Steps

Explore strong dividend paying companies in the Software industry.

Management

How experienced are the management team and are they aligned to shareholders interests?

8.3yrs

Average management tenure

CEO

Keshav Murugesh (57 yo)

11.92yrs

Tenure

US$3,413,553

Compensation

Mr. Keshav R. Murugesh has been Group Chief Executive Officer of WNS (Holdings) Ltd., since February 10, 2010. Mr. Murugesh serves as Chief Executive Officer of WNS Global Services Private Limited. He serv...

CEO Compensation Analysis

Compensation vs Market: Keshav's total compensation ($USD3.41M) is below average for companies of similar size in the US market ($USD5.13M).

Compensation vs Earnings: Keshav's compensation has been consistent with company performance over the past year.

Leadership Team

Experienced Management: WNS's management team is seasoned and experienced (8.3 years average tenure).

Board Members

Experienced Board: WNS's board of directors are considered experienced (7 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/01/17 23:39
End of Day Share Price	2022/01/14 00:00
Earnings	2021/09/30
Annual Earnings	2021/03/31