Evolv Technologies (NASDAQ:EVLV) vs. ExlService (NASDAQ:EXLS) Head to Head Review

Evolv Technologies (NASDAQ:EVLV) and ExlService (NASDAQ:EXLS) are both computer and technology companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, earnings, dividends, analyst recommendations, valuation, risk and profitability.

Institutional & Insider Ownership

66.7% of Evolv Technologies shares are held by institutional investors. Comparatively, 92.9% of ExlService shares are held by institutional investors. 11.3% of Evolv Technologies shares are held by company insiders. Comparatively, 4.0% of ExlService shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Evolv Technologies and ExlService”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Evolv Technologies	$145.90 million	7.04	-$33.14 million	($0.23)	-24.83
ExlService	$2.16 billion	2.05	$251.02 million	$1.57	18.45

ExlService has higher revenue and earnings than Evolv Technologies. Evolv Technologies is trading at a lower price-to-earnings ratio than ExlService, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Evolv Technologies has a beta of 1.82, indicating that its stock price is 82% more volatile than the S&P 500. Comparatively, ExlService has a beta of 0.87, indicating that its stock price is 13% less volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Evolv Technologies	-22.75%	-33.53%	-12.22%
ExlService	11.66%	28.50%	15.48%

Analyst Recommendations

This is a breakdown of current recommendations for Evolv Technologies and ExlService, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Evolv Technologies	1	0	4	1	2.83
ExlService	0	1	5	0	2.83

Evolv Technologies presently has a consensus price target of $9.13, suggesting a potential upside of 59.81%. ExlService has a consensus price target of $41.50, suggesting a potential upside of 43.25%. Given Evolv Technologies’ higher probable upside, analysts plainly believe Evolv Technologies is more favorable than ExlService.

Summary

ExlService beats Evolv Technologies on 9 of the 14 factors compared between the two stocks.

About Evolv Technologies

Evolv Technologies Holdings, Inc. provides artificial intelligence (AI)-based weapons detection for security screening in the United States and internationally. Its products include Evolv Express, a touchless security screening system designed to detect firearms, improvised explosive devices, and tactical knives; and Evolv Insights that provides self-serve access, insights regarding visitor flow and arrival curves, location specific performance, system detection performance, and alarm statistics. The company was founded in 2013 and is headquartered in Waltham, Massachusetts.

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.