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Stock impact report

2 Reasons to Avoid PEN and 1 Stock to Buy Instead [Yahoo! Finance]

ExlService Holdings, Inc. (EXLS) 
Last exlservice holdings, inc. earnings: 2/27 06:00 am Check Earnings Report
US:NASDAQ Investor Relations: ir.exlservice.com
Company Research Source: Yahoo! Finance
This was partly due to its solid quarterly results, and the run-up might have investors contemplating their next move. Is now the time to buy Penumbra, or should you be careful about including it in your portfolio? Get the full breakdown from our expert analysts, it's free Why Is Penumbra Not Exciting? Despite the momentum, we're sitting this one out for now. Here are two reasons we avoid PEN and a stock we'd rather own. 1. Fewer Distribution Channels Limit its Ceiling Larger companies benefit from economies of scale, where fixed costs like infrastructure, technology, and administration are spread over a higher volume of goods or services, reducing the cost per unit. Scale can also lead to bargaining power with suppliers, greater brand recognition, and more investment firepower. A virtuous cycle can ensue if a scaled company plays its cards right. With just $1.40 billion in revenue over the past 12 months, Penumbra is a small company in an industry where scale matters. Thi Show less Read more
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