We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Zacks Industry Outlook Highlights Kforce, Robert Half International, and Korn Ferry
Read MoreHide Full Article
For Immediate Release
Chicago, IL – March 15, 2022 – Today, Zacks Equity Research discusses Kforce, Inc.(KFRC - Free Report) , Robert Half International Inc. (RHI - Free Report) and Korn Ferry (KFY - Free Report)
The Zacks Staffing industry has gained 7% over the past year, outperforming the S&P 500 Index's 6.1% appreciation. The broader Zacks Business Services sector has however declined 52.6% in the said time frame.
The staffing industry stands to benefit from the gradual resumption of business activities, which were postponed or restricted due to the coronavirus-induced strict lockdowns across the globe.
The industry is a major beneficiary of manufacturing and service activities, which, in turn, are dependent on economic health. Notably, the Institute for Supply Management measured that both Manufacturing PMI and Services PMI clocked the 21st consecutive month of expansion in February. Meanwhile, a steady economic recovery is evident from the fourth-quarter 2021 GDP number, which, according to the "second" estimate released by the Bureau of Economic Analysis, increased at an annual rate of 7%, higher than the 2.3% growth witnessed in third-quarter 2021.
This gradually recovering U.S. economy, backed by upbeat manufacturing and service activities, has led to additional hiring and wage increase.
Notably, the U.S. economy added 678,000 jobs in February, higher than 481,000 in January and 588,000 in December. The unemployment rate also came down to 3.8% from 4% in January and 3.9% in December. Substantial job gains have been witnessed in leisure and hospitality, professional and business services, health care, and construction.
Average hourly earnings in February increased 1 cent to $31.58, registering a 5.1% year-over-year increase. The average workweek rose by 0.1 hour to 34.7 hours. Average weekly earnings grew 0.3% to $1,095.83, registering a 5.4% year-over-year increase.
Kforce, Inc., Robert Half International Inc., and Korn Ferry are some of the stocks that are likely to gain from the abovementioned favorable industry trends.
3 Staffing Stocks to Bet On
Adding stocks from the industry looks like a smart move to enhance your portfolio. The buoyancy in the industry is further confirmed by its Zacks Industry Rank #47, which places it in the top 19% of more than 250 Zacks industries.
Here we present three promising top-ranked staffing stocks, which have a solid expected earnings growth rate for the current year, witnessed upward estimate revisions in the past 90 days and have a strong trailing four-quarter average earnings surprise history. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Kforce: This Zacks Rank #1 Florida-based company provides professional staffing services and solutions in the United States and internationally.
Kforce's technology staffing and solutions business has helped it stay competitive amid these challenging times. The rising demand for technology solutions has enabled Kforce to increase investments in the cloud-based, technology-enabled operating model. This is expected to supplement the company's growth amid coronavirus-induced dependency on technology. Apart from this, the company is anticipated to benefit from modifications in its business model and reduction of operating costs.
The Zacks Consensus Estimate for Kforce's 2022 EPS has moved up 9.9% in the past 90 days. Its expected earnings growth rate for the current year is 19.5%. Kforce has a trailing four-quarter earnings surprise of 4.7%, on average.
Robert Half: This Zacks Rank #2 (Buy) California-based company provides staffing and risk consulting services in North America, South America, Europe, Asia, and Australia.
Robert Half is witnessing demand for its staffing and business consulting services, amid the economic crisis resulting from the COVID-19 pandemic. The company's wholly-owned subsidiary, Protiviti continues to benefit from solid solutions offerings and pipeline. Robert Half has been utilizing a major share of its capital expenditures on investments in software initiatives and technology infrastructure.
This should aid the company's growth prospects amid coronavirus-induced dependency on technology. Robert Half's solid balance sheet is a major positive. Consistency in rewarding shareholders through share repurchases boost investor confidence and positively impact earnings per share.
The Zacks Consensus Estimate for RHI's 2022 EPS has improved 8.6% in the past 90 days. Its expected earnings growth rate for the current year is 15.7%. Robert Half has a trailing four-quarter earnings surprise of 19.5%, on average.
Robert Half stock has gained 40.3% over the past year.
Korn Ferry: This Zacks Rank #2 California-based company provides organizational consulting services worldwide.
Korn Ferry continues to benefit from its business model, which is highly diversified in terms of geography, segment and industry. Revenue growth, operational efficiencies and reduction in expenses have been aiding the bottom line. The company's solid cash position allows it to pursue strategic acquisitions, invest in growth initiatives and return cash through regular quarterly dividend payments and share repurchases.
The Zacks Consensus Estimate for Korn Ferry's 2022 EPS has moved up 5.5% in the past 90 days. Its expected earnings growth rate for the current year is more than 100%. Korn Ferry has a trailing four-quarter earnings surprise of 17.7%, on average.
In addition to the investment ideas discussed above, would you like to know about our 10 top buy-and-hold tickers for the entirety of 2022?
Last year's 2021Zacks Top 10 Stocks portfolio returned gains as high as +147.7%. Now a brand-new portfolio has been handpicked from over 4,000 companies covered by the Zacks Rank. Don't miss your chance to get in on these long-term buys
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Zacks Industry Outlook Highlights Kforce, Robert Half International, and Korn Ferry
For Immediate Release
Chicago, IL – March 15, 2022 – Today, Zacks Equity Research discusses Kforce, Inc.(KFRC - Free Report) , Robert Half International Inc. (RHI - Free Report) and Korn Ferry (KFY - Free Report)
Industry: Staffing
Link: https://www.zacks.com/stock/news/1881587/3-staffing-stocks-to-buy-on-improving-employment-trends
The Zacks Staffing industry has gained 7% over the past year, outperforming the S&P 500 Index's 6.1% appreciation. The broader Zacks Business Services sector has however declined 52.6% in the said time frame.
The staffing industry stands to benefit from the gradual resumption of business activities, which were postponed or restricted due to the coronavirus-induced strict lockdowns across the globe.
The industry is a major beneficiary of manufacturing and service activities, which, in turn, are dependent on economic health. Notably, the Institute for Supply Management measured that both Manufacturing PMI and Services PMI clocked the 21st consecutive month of expansion in February. Meanwhile, a steady economic recovery is evident from the fourth-quarter 2021 GDP number, which, according to the "second" estimate released by the Bureau of Economic Analysis, increased at an annual rate of 7%, higher than the 2.3% growth witnessed in third-quarter 2021.
This gradually recovering U.S. economy, backed by upbeat manufacturing and service activities, has led to additional hiring and wage increase.
Notably, the U.S. economy added 678,000 jobs in February, higher than 481,000 in January and 588,000 in December. The unemployment rate also came down to 3.8% from 4% in January and 3.9% in December. Substantial job gains have been witnessed in leisure and hospitality, professional and business services, health care, and construction.
Average hourly earnings in February increased 1 cent to $31.58, registering a 5.1% year-over-year increase. The average workweek rose by 0.1 hour to 34.7 hours. Average weekly earnings grew 0.3% to $1,095.83, registering a 5.4% year-over-year increase.
Kforce, Inc., Robert Half International Inc., and Korn Ferry are some of the stocks that are likely to gain from the abovementioned favorable industry trends.
3 Staffing Stocks to Bet On
Adding stocks from the industry looks like a smart move to enhance your portfolio. The buoyancy in the industry is further confirmed by its Zacks Industry Rank #47, which places it in the top 19% of more than 250 Zacks industries.
Here we present three promising top-ranked staffing stocks, which have a solid expected earnings growth rate for the current year, witnessed upward estimate revisions in the past 90 days and have a strong trailing four-quarter average earnings surprise history. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Kforce: This Zacks Rank #1 Florida-based company provides professional staffing services and solutions in the United States and internationally.
Kforce's technology staffing and solutions business has helped it stay competitive amid these challenging times. The rising demand for technology solutions has enabled Kforce to increase investments in the cloud-based, technology-enabled operating model. This is expected to supplement the company's growth amid coronavirus-induced dependency on technology. Apart from this, the company is anticipated to benefit from modifications in its business model and reduction of operating costs.
The Zacks Consensus Estimate for Kforce's 2022 EPS has moved up 9.9% in the past 90 days. Its expected earnings growth rate for the current year is 19.5%. Kforce has a trailing four-quarter earnings surprise of 4.7%, on average.
Kforce stock has gained 24.8% over the past year.
Kforce, Inc. price-consensus-eps-surprise-chart | Kforce, Inc. Quote
Robert Half: This Zacks Rank #2 (Buy) California-based company provides staffing and risk consulting services in North America, South America, Europe, Asia, and Australia.
Robert Half is witnessing demand for its staffing and business consulting services, amid the economic crisis resulting from the COVID-19 pandemic. The company's wholly-owned subsidiary, Protiviti continues to benefit from solid solutions offerings and pipeline. Robert Half has been utilizing a major share of its capital expenditures on investments in software initiatives and technology infrastructure.
This should aid the company's growth prospects amid coronavirus-induced dependency on technology. Robert Half's solid balance sheet is a major positive. Consistency in rewarding shareholders through share repurchases boost investor confidence and positively impact earnings per share.
The Zacks Consensus Estimate for RHI's 2022 EPS has improved 8.6% in the past 90 days. Its expected earnings growth rate for the current year is 15.7%. Robert Half has a trailing four-quarter earnings surprise of 19.5%, on average.
Robert Half stock has gained 40.3% over the past year.
Robert Half International Inc. price-consensus-eps-surprise-chart | Robert Half International Inc. Quote
Korn Ferry: This Zacks Rank #2 California-based company provides organizational consulting services worldwide.
Korn Ferry continues to benefit from its business model, which is highly diversified in terms of geography, segment and industry. Revenue growth, operational efficiencies and reduction in expenses have been aiding the bottom line. The company's solid cash position allows it to pursue strategic acquisitions, invest in growth initiatives and return cash through regular quarterly dividend payments and share repurchases.
The Zacks Consensus Estimate for Korn Ferry's 2022 EPS has moved up 5.5% in the past 90 days. Its expected earnings growth rate for the current year is more than 100%. Korn Ferry has a trailing four-quarter earnings surprise of 17.7%, on average.
KornFerry International price-consensus-eps-surprise-chart | KornFerry International Quote
Just Released: Zacks Top 10 Stocks for 2022
In addition to the investment ideas discussed above, would you like to know about our 10 top buy-and-hold tickers for the entirety of 2022?
Last year's 2021Zacks Top 10 Stocks portfolio returned gains as high as +147.7%. Now a brand-new portfolio has been handpicked from over 4,000 companies covered by the Zacks Rank. Don't miss your chance to get in on these long-term buys
Access Zacks Top 10 Stocks for 2022 today >>
Join us on Facebook: https://www.facebook.com/ZacksInvestmentResearch/
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
support@zacks.com
https://www.zacks.com
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.