TaskUs, Inc. (TASK): A Bull Case Theory

We came across a bullish thesis on TaskUs, Inc. on Show me the incentives...’s Substack. In this article, we will summarize the bulls’ thesis on TASK. TaskUs, Inc.'s share was trading at $14.69 as of October 9th. TASK’s trailing and forward P/E were 26.01 and 10.02 respectively according to Yahoo Finance.

TaskUs Inc. (TASK) is currently facing a contentious take-private transaction led by its co-founders, Bryce Maddock and Jaspar Weir, in partnership with Blackstone. On May 8, 2025, the company announced the agreement to go private at $16.50 per share, coinciding with quarterly results that showed $277.8 million in revenue (+22% YoY) and strong performance across all three service lines, including AI Services growing over 50% YoY and Trust & Safety maintaining 30%+ growth for the fifth consecutive quarter. Despite the strong fundamentals and YTD 2025 net income reaching 90% of 2024’s total, activist investors and minority shareholders argue that the proposed price materially undervalues the company, suggesting a fair value closer to $25 per share based on comparable transactions and future earnings potential.

The Buyer Group, controlling ~51% of Class A shares and 100% of Class B shares, initially planned to fund the transaction through TaskUs’ $372 million liquidity position, yet the Special Committee repeatedly demanded fully committed financing, creating procedural friction. Proxy filings reveal concerns over AI’s potential disruptive impact, though recent earnings indicate AI Services is the fastest-growing segment. The merger approval requires a majority-of-the-minority vote, and activists including Think Investments (~19% of Class A) and Murchinson Ltd. have publicly opposed the deal, questioning valuation, process fairness, and conflicts of interest.

ISS also recommended rejection, increasing pressure on Blackstone to improve the offer. Recent share repurchases may have reduced minority voting power, but the transaction remains uncertain. With the Special Committee engaging stockholders and the merger approval meeting adjourned multiple times, activist pressure is likely to force a higher bid, creating potential upside for shareholders if Blackstone adjusts the offer to secure minority approval.

Previously we covered a bullish thesis on Cognizant Technology Solutions Corporation (CTSH) by Magnus Ofstad in May 2025, which highlighted the company’s strong Q1 performance, AI-led productivity strategy, and key partnerships driving enterprise AI adoption. The company's stock price has depreciated approximately by 11.69% since our coverage as cautious guidance weighed on sentiment. The thesis still stands. Show me the incentives shares a similar perspective on TaskUs, Inc. (TASK) but emphasizes activist-driven take-private upside and AI Services growth.

TaskUs, Inc. is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 22 hedge fund portfolios held TASK at the end of the second quarter which was 19 in the previous quarter. While we acknowledge the potential of TASK as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy NOW 

Disclosure: None.