Robert Half (RHI) reported earnings 30 days ago. What's next for the stock?
RHI is a cyclical business facing bearish sentiment, with concerns about economic uncertainty, AI disruption, and dividend sustainability. RHI's Price/Sales Ratio and 5% yield with zero debt make it a potential value investment. Historically low Price/Sales Ratio and significant stock decline suggest potential value, despite ongoing poor fundamentals and economic challenges.
RHI's first-quarter 2025 revenues and earnings decrease year over year.
Shares of Robert Half have plummeted, losing a third of their value, due to a weak labor market and poor Q1 results. Revenue and margins are under significant pressure, with broad-based declines across segments and a particularly sharp drop in overseas performance. Despite a strong balance sheet and secure dividend, the company faces ongoing challenges from macroeconomic factors and internal cost bloat.
Robert Half Inc. (NYSE:RHI ) Q1 2025 Earnings Conference Call April 23, 2025 5:00 PM ET Company Participants Keith Waddell - President and CEO Michael Buckley - CFO Conference Call Participants Mark Marcon - Baird Andrew Steinerman - JPMorgan Manav Patnaik - Barclays Stephanie Moore - Jefferies Kartik Mehta - Northcoast Research George Tong - Goldman Sachs Kevin McVeigh - UBS Trevor Romeo - William Blair Operator Please standby. Hello and welcome to the Robert Half First Quarter 2025 Conference Call.
Although the revenue and EPS for Robert Half (RHI) give a sense of how its business performed in the quarter ended March 2025, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
Robert Half (RHI) came out with quarterly earnings of $0.17 per share, missing the Zacks Consensus Estimate of $0.36 per share. This compares to earnings of $0.61 per share a year ago.
Evaluate the expected performance of Robert Half (RHI) for the quarter ended March 2025, looking beyond the conventional Wall Street top-and-bottom-line estimates and examining some of its key metrics for better insight.
Robert Half (RHI) reported earnings 30 days ago. What's next for the stock?
I reiterate my sell rating for Robert Half stock due to ongoing struggles and an unclear recovery timeline, with 4Q24 results reinforcing this view. RHI's revenue declined for the 8th consecutive quarter, with significant drops in contract staffing and permanent placement segments, despite a slight growth in Protiviti revenue. Margins continue to suffer, with a 260 bps y/y decline in EBIT margin and further downside expected in 1Q25, highlighting negative operating leverage.
Robert Half: Weak Margins Weigh On Results Even As Revenue Nears A Floor