TTEC Holdings (TTEC, Financial) has broadened its strategic alliance with Zendesk, aiming to strengthen its service offerings. Under this enhanced collaboration, TTEC will now act as a comprehensive delivery and implementation partner across the Zendesk platform. This move is designed to help clients accelerate their transformation initiatives and achieve measurable outcomes.
An integral part of this partnership is the integration of TTEC's renowned Amazon Connect capabilities with Zendesk, which will unify voice and customer data for seamless omnichannel experiences. Moreover, the synergy will leverage Zendesk’s AI and workflow tools in conjunction with TTEC’s customer experience (CX) transformation expertise. This combined approach aims to bolster automation, enhance agent augmentation, and boost operational efficiency for both current and prospective clients.
Additionally, TTEC plans to develop a range of vertical solutions targeting sectors such as healthcare, banking, financial services, and the public sector. This will be achieved by utilizing proprietary software built on the Zendesk platform to cater to specific industry requirements.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 3 analysts, the average target price for TTEC Holdings Inc (TTEC, Financial) is $6.23 with a high estimate of $6.85 and a low estimate of $5.00. The average target implies an upside of 16.79% from the current price of $5.34. More detailed estimate data can be found on the TTEC Holdings Inc (TTEC) Forecast page.
Based on the consensus recommendation from 5 brokerage firms, TTEC Holdings Inc's (TTEC, Financial) average brokerage recommendation is currently 2.2, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for TTEC Holdings Inc (TTEC, Financial) in one year is $17.23, suggesting a upside of 222.84% from the current price of $5.337. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the TTEC Holdings Inc (TTEC) Summary page.
TTEC Key Business Developments
Release Date: May 09, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- TTEC Holdings Inc (TTEC, Financial) reported first-quarter revenue of $534 million, exceeding their forecasted plan.
- The company's EBITDA increased to $56 million, up from $55 million in the prior year, driven by improved margins.
- TTEC Holdings Inc (TTEC) is expanding its market reach with complex AI-enabled solutions and strengthening partnerships with hyperscalers.
- The company has made significant progress in signing new large enterprise clients and expanding its share of wallet with existing clients.
- TTEC Holdings Inc (TTEC) has been recognized with multiple Stevie Awards for excellence in sales and service, highlighting their innovation in AI solutions.
Negative Points
- Revenue declined by 7.4% compared to the prior year, primarily due to a decrease in lower-margin one-time on-premise product sales.
- The company faces challenges due to clients' cautious approach in the current economic environment, impacting their investment decisions.
- Foreign exchange had a negative impact on revenue, although it positively impacted operating income.
- The digital segment's backlog is slightly down from the previous year, indicating potential challenges in future revenue growth.
- There is uncertainty about the global economic environment, which may affect the company's performance in the second half of the year.
