WNS Holdings price target lowered to $72 from $80 at Barrington

Barrington analyst Vincent Colicchio lowered the firm’s price target on WNS Holdings to $72 from $80 and keeps an Outperform rating on the shares after the company disclosed on Friday that one of its top five clients in its healthcare/life sciences strategic business unit provided a termination notice on January 31, 2024. The client that provided the notice accounted for 7.9%, 6.8%, and 4.3% of net revenue in fiscal 2022, fiscal 2023, and fiscal 2024, respectively, notes the analyst, who also points out that the company is currently in discussions with the client about the support required for the transition of services. The firm is reducing its fiscal 2025 adjusted EPS forecast to $4.63 from $4.74 as it is assuming that the client loss will negatively impact annualized net revenue by 4% and annualized adjusted EPS by 15c.