WNS Holdings price target lowered to $51 from $55 at Deutsche Bank

Deutsche Bank lowered the firm’s price target on WNS Holdings to $51 from $55 and keeps a Hold rating on the shares. The firm is forecasting revenue less repair payments of about $315M and EPS of $1.00 when WNS reports Q2 earnings later this month, likely in the third week of October, telling investors in its preview that the firm believes guidance was “set prudently” and the company should benefit from favorable foreign exchange movements. However, the “more pressing question” is will WNS have to lower FY25 guidance, adds the firm, which expects WNS is likely to reiterate the midpoint of its constant currency FY25 guide, while narrowing the range. Still, the firm’s channel checks and broader readthroughs from the rest of the IT Services industry have “lowered our confidence” in the company’s ability to sign the requisite new deals in order to hit the midpoint of guidance, the analyst added.