We recently published a list of Top 10 Stocks to Buy According to Think Investments. In this article, we are going to take a look at where TaskUs, Inc. (NASDAQ:TASK) stands against other top stocks to buy according to Think Investments.
Think Investments is an investment firm based in San Francisco, with additional offices in Singapore and India. The firm focuses on long-term investments in both public and private companies, emphasizing creative research to identify high-potential opportunities. Specializing in technology-driven early-stage businesses, Think Investments partners with its strong management teams to build differentiated companies that generate high returns on invested capital. With a deep understanding of emerging markets and global technology, the firm is well-positioned to navigate complex investment landscapes.
Founded in 2013 by Shashin Shah, Think Investments has established itself as a key player in global markets. The firm has over $1 billion invested in Indian companies operating in the financial services, healthcare, technology, and consumer sectors. Think’s investment strategy is guided by Shah’s extensive experience in global equity markets, ensuring a disciplined approach to capital allocation. The firm’s commitment to long-term value creation has made it a trusted partner for relatively young companies looking to scale efficiently.
Shashin Shah, Founder and Managing Partner, brings decades of expertise in global investing. Before launching Think Investments, he was a partner at Valiant Capital, where he managed multiple international markets, including India, the U.S., Europe, Asia, the Middle East, and North Africa. Shah also worked at Blue Ridge Capital and Morgan Stanley, further honing his investing skills. His academic background includes a bachelor’s degree in computer engineering from the University of Mumbai and an MBA from the University of Texas, equipping him with a strong analytical and financial foundation.
In addition to leading Think Investments, Shah plays an active role in shaping the growth of innovative companies. He currently serves on the boards of Chaayos, a tea café chain, and Dream11, India’s leading fantasy sports platform. His leadership and strategic insights continue to drive Think’s success, solidifying its reputation as a premier investment firm in global markets.
As of its latest filing for the fourth quarter of 2024, Think Investments reported managing approximately $454.51 million in 13F securities, of which the firm’s top ten holdings account for 80.57%.
Our Methodology
The stocks discussed below were picked from Think Investments’ Q4 2024 13F filings. They are compiled in the ascending order of the hedge fund’s stake in them as of December 31, 2024. To assist readers with more context, we have included the hedge fund sentiment regarding each stock using data from 1009 hedge funds tracked by Insider Monkey in the fourth quarter of 2024.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
A data engineer working intently on a computer, processing complex algorithms.
TaskUs, Inc. (NASDAQ:TASK)
Number of Hedge Fund Holders as of Q4: 17
Think Investments’ Equity Stake: $48.81 Million
TaskUs, Inc. (NASDAQ:TASK) is a global digital services provider known for its work in content moderation, customer experience, artificial intelligence, operations, and risk and response services for clients like Facebook and DoorDash. With its presence in 12 countries and 49,000 employees worldwide as of December 2024, TaskUs is recognized as a digital outsourcing company with a market capitalization of $1.38 billion. The company blends cutting-edge technology, skilled talent, and innovative strategies to support enterprise growth, and its recent financial performance reflects that mission and is second on the list of top stocks to buy according to Think Investments.
In the fourth quarter of 2024, TaskUs, Inc. (NASDAQ:TASK) generated $274.2 million in revenue, exceeding analyst expectations of $268.65 million and marking a 17.1% year-over-year growth. This strong performance, reported on February 26, was driven by the company’s expansion in key markets such as Latin America and Europe and its strategic focus on AI-powered services. Despite the revenue beat, earnings per share (EPS) fell slightly below expectations at $0.31 compared to the $0.35 projected by analysts, missing by 11.4%.
For the full year, TaskUs, Inc. (NASDAQ:TASK) reported revenue of $995 million, a 7.6% increase from the previous year, and an adjusted EBITDA of $209.9 million, representing a solid 21.1% margin. In Q4 alone, adjusted EBITDA stood at $53.8 million with a 19.6% margin. The company ended the year with a strong liquidity position, holding $192.2 million in cash and cash equivalents.
Looking forward to 2025, TaskUs, Inc. (NASDAQ:TASK) projects revenue growth between 10% and 13%, with expected full-year revenue ranging from $1.095 billion to $1.125 billion. The company plans to maintain an adjusted EBITDA margin of around 21%, aiming for further margin expansion. For the first quarter of 2025, TaskUs anticipates revenue in the range of $270 million to $272 million, reflecting steady momentum in its operations.
Overall, TASK ranks 2nd on our list of top stocks to buy according to Think Investments. While we acknowledge the potential of TASK, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than TASK but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
Disclosure: None. This article is originally published at Insider Monkey.