Last Updated: 13 Sep 2024
Executive Summary
Kelly Services A Inc. (KELYA) is a workforce solutions provider with a market capitalization of $729 million. The company has a trailing PE ratio of 15.88 and a forward PE ratio of 7.68. Analysts have a consensus rating of "Buy" for the stock, with a target price of $28.33. The latest stock price is $20.65.
Company Overview
Kelly Services provides workforce solutions to various industries, including professional, technical, and industrial staffing, as well as outsourcing and consulting services. The company has operations in over 30 countries and employs approximately 30,000 people.
Fundamental Analysis
Kelly Services has a strong financial position, with revenue of $4.45 billion and EBITDA of $112 million in the past twelve months. The company's profit margin is 1.09%, and its operating margin is 2.51%. Kelly Services has a return on assets of 1.86% and a return on equity of 3.84%.
The company's financial performance has been relatively stable in recent years. Revenue has grown at a compound annual growth rate of 2.5% over the past five years, and EBITDA has grown at a compound annual growth rate of 3.1% over the same period.
Technical Analysis
The stock price of Kelly Services has been in a downtrend since early 2023. The stock is currently trading below its 50-day and 200-day moving averages. The relative strength index (RSI) is below 30, indicating that the stock is oversold.
Short Term Outlook
The technical analysis suggests that the stock price of Kelly Services is likely to continue to decline in the short term. The stock is oversold, and there is no evidence of a reversal in the downtrend.
Long Term Outlook
The long-term outlook for Kelly Services is more positive. The company has a strong financial position and a history of steady growth. The company is also well-positioned to benefit from the growing demand for workforce solutions.
Analyst Recommendations
Analysts have a consensus rating of "Buy" for the stock of Kelly Services. The average target price is $28.33, which represents a potential upside of 37% from the current price.
