Bull of the Day: TaskUs (TASK)

Providing outsourced digital services, TaskUs TASK is an up-and-coming tech company that investors should consider right now.

Most appealing, TaskUs stock is trading under $20 a share, and the company’s diversification makes it a very appealing investment as it relates to the rapid expansion of the outsourced digital services market.

TaskUs serves the crypto, social media, e-commerce, gaming, food delivery, and ride sharing industries, among others, with some of its most notable clients being Coinbase COIN, Meta Platforms META, DoorDash DASH, and Uber UBER.

Outsourced Digital Services Overview

As a brief overview, outsourced digital services refer to the practice of hiring external experts or companies to manage and implement digital products or services most commonly including IT support and cloud computing, software development, digital marketing, customer service, and data analytics. As for TaskUs, its digital outsourcing specialties include AI-powered customer support and content moderation. 

Furthermore, in the grand scheme of things, the global IT services outsourcing market was valued at over $700 billion in 2024 and is expected to be worth upwards of $1 trillion by 2030, with a projected CAGR of more than 8% during this period. This comes as the COVID-19 pandemic showed the prolific need for digital content in particular, leading to increased demand for outsourcing these specific services.  

TaskUs Accelerates Agentic AI Services

Going back to its diversity and expansion, TaskUs recently announced a strategic partnership with AI-driven customer support companies Decagon and Regal last Tuesday. The partnerships augment TaskUs' agentic AI consulting practice, a set of business services and expertise that help companies seamlessly integrate advanced AI technologies into their customer experience operations.

To that point, agentic AI can accomplish complex tasks autonomously with minimal human interaction, unlike traditional AI models, as it builds on the rapid progress of generative AI by exhibiting goal-driven behavior, adaptability, and reasoning to solve problems dynamically.

TaskUs Growth Trajectory

Based on Zacks' estimates, TaskUs’ total sales are expected to rise 13% in fiscal 2025 and are projected to increase another 12% in FY26 to $1.26 billion. Plus, annual earnings are expected to be up 7% this year and are projected to spike another 14% in FY26 to $1.57 per share.

It’s also noteworthy that FY26 sales projections would represent 163% growth from sales of $478 million during the height of the pandemic in 2020, with TaskUs going public in June of 2021.

Image Source: Zacks Investment Research

TaskUs’ Attractive Valuation

While many tech stocks with attractive growth potential (especially as it relates to AI) can usually trade at a stretched premium to the broader market, TASK shares are trading at a very reasonable 12X forward earnings multiple. In comparison, TaskUs’ Zacks Computers-IT Services Industry average is at 21.6X forward earnings, with the benchmark S&P 500’s average currently at 22.9X.  

Notably, TaskUs also trades at less than 2X sales, which can be a rarity for expansive tech companies even in their later stages of corporate life.  

Bottom Line

Considering its concentration on agentic AI, now appears to be an ideal time to buy TaskUs stock with TASK having an overall “A” VGM Zacks Style Scores grade for the combination of Value, Growth, and Momentum. More intriguing, TASK has rebounded and soared over +40% in the last two years but still offers a nearly 30% discount from its IPO price of $23.

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This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research