ASGN & Microsoft Collaborate on Artificial Intelligence Tools
ASGN ASGN recently partnered with Microsoft MSFT to integrate Artificial Intelligence (AI) tools, including Copilot for Microsoft 365, aiming to enhance internal processes. The firm is leveraging Azure OpenAI and Azure Cognitive Services to build AI models.
ASGN's business comprises two segments, namely, Commercial and Federal Government. The Commercial segment primarily caters to Fortune 1000 companies, providing a range of services and solutions in information technology and creative digital marketing.
The Commercial segment also offers workforce mobilization services, including permanent placement services, to its clients in this segment. To better streamline these offerings, ASGN is actively deploying Azure OpenAI and Azure Cognitive Services to aid its development teams in building robust models for candidate search and matching.
ASGN Incorporated Price and Consensus
ASGN Incorporated price-consensus-chart | ASGN Incorporated Quote
ASGN also operates across cloud, data and analytics, cyber security, AI and machine learning, providing consulting services to enterprises’ needs. The company employs these services across both the Federal Government and Commercial Segments.
The recent collaboration with Microsoft will enable it to enhance its workforce's skills, strengthen internal expertise and assist clients in both segments in adopting AI and related innovations. This will allow its business to deploy AI-related services in the industry verticals in which it operates.
ASGN to Benefit From AI-related Services Across Clientele
ASGN operates across diverse industry verticals, including Consumer and Industrial, Healthcare, Technology, Media and Communication, Business and Government Services and Financial Services. This broad spectrum of businesses lends a diverse scope to deploy consulting and IT services, providing stability to the company.
It benefits significantly from a robust domestic enterprise, constituting a major section of its client base. This shields ASGN against currency fluctuations and global economic volatility.
Within the Commercial Segment, ASGN operates through consulting and assignment divisions. While the consulting division is currently enjoying renewals in its existing projects, the assignment division faces challenges due to softness in discretionary areas. The firm grapples with issues such as slow sales cycles, extended project durations and cautious spending by clients.
Despite these challenges, a new collaboration with MSFT presents an opportunity for ASGN to explore a fresh direction.
Zacks Rank and Stocks to Consider
Both ASGN and MSFT currently carry Zacks Rank #3 (Hold). Shares of ASGN gained 14.9%, and MSFT surged 54.5% year to date.
A couple of better-ranked stocks from the broader technology sector are AvidXchange AVDX and Pegasystems PEGA, each sporting Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for AvidXchange’s fourth-quarter 2023 earnings has been revised upward by 3 cents to 0 cents per share in the past 30 days. For fiscal 2023, earnings estimates have been revised by 4 cents northward to 2 cents per share in the past 30 days.
AVDX’s earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 95.56%. Shares of AVDX have rallied 20.6% year to date.
The Zacks Consensus Estimate for Pegasystems’ fourth-quarter 2023 earnings has been revised downward by 13 cents to $1.07 in the past 60 days. For fiscal 2023, PEGA’s earnings estimates have been revised 31 cents northward to $1.77 per share in the past 60 days.
PEGA’s earnings beat the Zacks Consensus Estimate in two of the trailing four quarters while missing on the other two occasions, the average surprise being 1250.20%. Shares of PEGA have soared 43.5% year to date.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2023. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>Microsoft Corporation (MSFT) : Free Stock Analysis Report
ASGN Incorporated (ASGN) : Free Stock Analysis Report
Pegasystems Inc. (PEGA) : Free Stock Analysis Report
AvidXchange Holdings, Inc. (AVDX) : Free Stock Analysis Report
