10 Worst Performing IT Services Stocks to Buy According to Analysts

6. TaskUs Inc. (NASDAQ:TASK)

YTD Returns: -20%

Potential Upside: 48%

Number of Hedge Fund Holders: 17

TaskUs Inc. (NASDAQ:TASK) specializes in outsourced digital services and next-generation customer experience solutions.

On January 7, shares of TaskUs Inc. (NASDAQ:TASK) declined by 13% following an announcement from Meta Platforms Inc. (NASDAQ:META) CEO Mark Zuckerberg regarding changes to Meta’s content removal protocols. These changes were perceived as potentially affecting TaskUs Inc. (NASDAQ:TASK). However, analysts at Morgan Stanley dismissed these concerns, stating that adjustments to Meta’s fact-checking services had no negative impact on TaskUs Inc. (NASDAQ:TASK). They further noted that the company is actually increasing its share of business with Meta. Despite this reassurance, the stock remains down 20% year-to-date.

On February 26, TaskUs Inc. (NASDAQ:TASK) reported its fourth-quarter 2024 earnings. The results for Q4 were strong, and its full-year 2025 revenue guidance slightly exceeded expectations. The company projected revenue between $1.095 billion and $1.125 billion for fiscal year 2025, surpassing the consensus estimate of $1.09 billion.

Following the earnings release, a Bank of America analyst highlighted that the company’s fiscal 2025 guidance indicates a notable slowdown in the latter half of the year. However, he suggested that the guidance may be conservative, given the recent momentum in new bookings. Consequently, he raised his price target for the stock from $18 to $20 while reiterating his Buy rating.