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Hays PLC (GB:HAS)
LSE:HAS

Hays plc (HAS) AI Stock Analysis

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GB

Hays plc

(LSE:HAS)

Rating:58Neutral
Price Target:
76.00p
▲(5.19%Upside)
The overall score reflects significant challenges in financial performance and valuation, indicating a need for caution. Although corporate events suggest internal confidence, technical analysis points to bearish momentum, and the negative P/E ratio highlights profitability concerns.

Hays plc (HAS) vs. iShares MSCI United Kingdom ETF (EWC)

Hays plc Business Overview & Revenue Model

Company DescriptionHays plc operates as a recruitment company in Australia, New Zealand, Germany, the United Kingdom, Ireland, and internationally. The company offers permanent, temporary, and contractor recruitment services, such as qualified, professional, and skilled recruitment to public and private sectors. It also specializes in offering recruitment services in the areas of accountancy and finance, construction and property, technology, life sciences, sales and marketing, banking and capital markets, contact centers, education, engineering and manufacturing, executive, financial services, health and social care, human resources, legal, office support, energy, oil and gas, procurement, retail, resources and mining, and telecoms. Hays plc was founded in 1968 and is headquartered in London, the United Kingdom.
How the Company Makes MoneyHays plc generates revenue primarily through the fees it earns from placing candidates in permanent and temporary job roles. For permanent placements, Hays typically charges a fee that is a percentage of the candidate's first-year salary. For temporary staffing, the company charges clients an hourly or daily rate for the duration of the contract, which includes a markup over the candidate's pay rate. Additionally, Hays earns income from its RPO and MSP services, which involve managing all or part of a client's recruitment process. The company's earnings are also influenced by economic conditions, labor market trends, and the demand for skilled professionals in various industries.

Hays plc Financial Statement Overview

Summary
Hays plc is experiencing a decline in revenue and profitability, with negative net profit and revenue growth rates. The balance sheet indicates moderate leverage but declining equity, and the cash flow statement shows decreased free cash flow. Overall, the financial position is stable but shows weakening signs, especially in profitability and cash flow generation.
Income Statement
58
Neutral
Hays plc has experienced a decline in revenue from 2023 to 2024, with a decrease from 7.58 billion to 6.95 billion, resulting in a negative revenue growth rate of -8.39%. The gross profit margin stands at 16.02%, while the net profit margin is negative at -0.07%, indicating challenges in profitability. Both EBIT and EBITDA margins have decreased significantly compared to the previous year, highlighting reduced operational efficiency.
Balance Sheet
65
Positive
The company's debt-to-equity ratio is 0.44, suggesting a moderate level of leverage. The return on equity is negative at -0.88%, reflecting a decline in profitability. The equity ratio is 31.36%, indicating a reasonable proportion of the company's assets are financed by equity. However, the decrease in stockholders' equity from the previous year is a concern.
Cash Flow
72
Positive
Free cash flow has decreased from 134.9 million to 72.4 million, resulting in a negative free cash flow growth rate of -46.33%. The operating cash flow to net income ratio is negative due to the negative net income, which raises concerns about cash generation relative to profitability. However, the company still maintains positive operating cash flow.
Breakdown
TTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income StatementTotal Revenue
6.78B6.95B7.58B6.59B5.65B5.93B
Gross Profit
205.30M292.60M426.80M421.40M292.30M346.30M
EBIT
8.50M25.10M197.00M210.10M95.10M95.10M
EBITDA
52.00M87.10M218.90M232.90M116.70M150.30M
Net Income Common Stockholders
-14.20M-4.90M138.30M154.20M61.50M47.50M
Balance SheetCash, Cash Equivalents and Short-Term Investments
154.00M121.80M145.60M296.20M410.60M484.50M
Total Assets
1.72B1.78B1.90B2.08B1.87B1.94B
Total Debt
291.00M244.30M199.80M185.10M201.10M228.70M
Net Debt
137.00M122.50M54.20M-111.10M-209.50M-255.80M
Total Liabilities
1.23B1.22B1.23B1.28B1.00B1.09B
Stockholders Equity
483.10M557.60M670.30M796.20M871.80M853.40M
Cash FlowFree Cash Flow
80.40M72.40M134.90M146.80M-13.70M327.00M
Operating Cash Flow
93.10M95.80M164.00M171.20M5.10M352.80M
Investing Cash Flow
-18.40M-20.20M-30.10M-24.40M-18.80M-25.80M
Financing Cash Flow
-64.10M-98.80M-280.70M-269.40M-56.40M28.30M

Hays plc Technical Analysis

Technical Analysis Sentiment
Positive
Last Price72.25
Price Trends
50DMA
71.52
Positive
100DMA
73.97
Negative
200DMA
77.28
Negative
Market Momentum
MACD
-0.06
Negative
RSI
51.48
Neutral
STOCH
74.14
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:HAS, the sentiment is Positive. The current price of 72.25 is above the 20-day moving average (MA) of 71.44, above the 50-day MA of 71.52, and below the 200-day MA of 77.28, indicating a neutral trend. The MACD of -0.06 indicates Negative momentum. The RSI at 51.48 is Neutral, neither overbought nor oversold. The STOCH value of 74.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:HAS.

Hays plc Peers Comparison

Overall Rating
UnderperformOutperform
Sector (66)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
72
Outperform
£302.46M6.2721.08%7.67%-10.24%-11.60%
71
Outperform
£51.33M8.52%5.83%19.29%
69
Neutral
£879.25M30.7310.00%8.48%-13.50%-62.86%
66
Neutral
$4.51B12.225.40%3.63%4.14%-12.01%
GBHAS
58
Neutral
£1.16B-2.60%0.03%-6.95%-117.14%
GBRWA
56
Neutral
£145.84M29.69-3.96%15.96%-16.16%-145.46%
56
Neutral
£25.53M40.533.66%2.47%4.14%-45.24%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:HAS
Hays plc
72.25
-25.23
-25.88%
GB:GATC
Gattaca
77.00
-9.38
-10.86%
GB:PAGE
PageGroup
272.60
-138.89
-33.75%
GB:RWA
Robert Walters
210.00
-181.36
-46.34%
GB:STAF
Staffline
47.00
9.40
25.00%
GB:STEM
SThree plc
234.50
-165.69
-41.40%

Hays plc Corporate Events

Other
Hays plc Executive Share Transaction Announcement
Neutral
Jun 3, 2025

Hays plc announced a transaction involving Deborah Dorman, a member of its Executive Leadership Team, who acquired 65,703 ordinary shares following the vesting of an award under the Restricted Share Plan. Subsequently, 30,958 of these shares were sold on the London Stock Exchange. This transaction reflects the company’s ongoing commitment to aligning executive incentives with shareholder interests, potentially impacting market perceptions and stakeholder confidence.

The most recent analyst rating on (GB:HAS) stock is a Hold with a £1.15 price target. To see the full list of analyst forecasts on Hays plc stock, see the GB:HAS Stock Forecast page.

Regulatory Filings and Compliance
Hays plc Updates on Share Capital and Voting Rights
Neutral
Jun 2, 2025

Hays plc announced that as of May 31, 2025, its issued share capital consisted of 1,600,433,092 ordinary shares, with 8,532,490 held in treasury, resulting in 1,591,900,602 total voting rights. This figure is crucial for shareholders to determine their notification obligations under the FCA’s Disclosure Guidance and Transparency Rules, impacting how they manage their shareholdings in the company.

The most recent analyst rating on (GB:HAS) stock is a Hold with a £1.15 price target. To see the full list of analyst forecasts on Hays plc stock, see the GB:HAS Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
BlackRock Adjusts Voting Rights in Hays plc
Neutral
May 29, 2025

Hays plc has announced that BlackRock, Inc., a major shareholder, has adjusted its voting rights holdings in the company, now holding below 5% of the total voting rights. This change in BlackRock’s stake could influence Hays’ shareholder dynamics and potentially impact its strategic decisions, given BlackRock’s significant role in global investment management.

The most recent analyst rating on (GB:HAS) stock is a Hold with a £1.15 price target. To see the full list of analyst forecasts on Hays plc stock, see the GB:HAS Stock Forecast page.

Shareholder Meetings
Hays plc Addresses Shareholder Concerns Post-AGM
Neutral
May 20, 2025

Hays plc provided an update on the voting results from its 2024 Annual General Meeting, where resolutions 13, 16, and 17 were passed despite receiving over 20% opposition from shareholders. The Board engaged with major shareholders to address concerns about share allotment and pre-emption rights, but no changes to the current approach are planned, although ongoing dialogue will continue.

The most recent analyst rating on (GB:HAS) stock is a Buy with a £125.00 price target. To see the full list of analyst forecasts on Hays plc stock, see the GB:HAS Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
Hays plc Re-appoints PwC as External Auditor Following Competitive Tender
Neutral
May 9, 2025

Hays plc has announced the re-appointment of PriceWaterhouseCoopers (PwC) as its external auditor following a competitive audit tender process. This decision, aligned with UK legislation requiring audit tenders every 10 years, will take effect from the financial year ending June 2027, pending shareholder approval at the 2026 Annual General Meeting. The re-appointment of PwC, initially appointed in 2016, reflects the company’s adherence to regulatory standards and aims to ensure continued financial transparency and accountability.

Regulatory Filings and Compliance
Hays plc Updates Share Capital and Voting Rights
Neutral
May 1, 2025

Hays plc has announced its issued share capital as of April 30, 2025, which consists of 1,600,433,092 ordinary shares, with 8,532,490 held in treasury, resulting in 1,591,900,602 total voting rights. This information is crucial for shareholders to determine their notification requirements under the FCA’s Disclosure Guidance and Transparency Rules, impacting how they manage their interests in the company.

DividendsBusiness Operations and Strategy
Hays plc Executives Acquire Shares Following Dividend Reinvestment
Positive
Apr 16, 2025

Hays plc announced the acquisition of ordinary shares by its CFO, James Hilton, and Ajanta Hilton, a person closely associated with him. The transactions were conducted following the re-investment of dividends paid to shareholders on April 9, 2025, and took place on the London Stock Exchange. This move reflects internal confidence in the company’s performance and could signal positive expectations for future growth, potentially impacting stakeholder perceptions.

Business Operations and StrategyFinancial Disclosures
Hays plc Reports Decline in Quarterly Net Fees Amid Challenging Market Conditions
Negative
Apr 16, 2025

Hays plc reported a 9% year-on-year decline in group net fees for the quarter ending March 31, 2025, with temporary and contracting fees down 6% and permanent fees down 14%. Despite challenging market conditions, particularly in Germany and EMEA, Hays is making strategic moves to improve profitability and resilience, including enhancing consultant productivity and implementing cost-saving initiatives. The company remains optimistic about future recovery, driven by strong net fee growth with large enterprise clients and ongoing structural improvements.

DividendsBusiness Operations and Strategy
Hays plc Director Acquires Shares Through Dividend Reinvestment
Neutral
Apr 15, 2025

Hays plc announced a transaction involving Joe Hurd, an Independent Non-Executive Director, who acquired ordinary shares through the reinvestment of dividends. This transaction, conducted on the London Stock Exchange, reflects the company’s ongoing engagement with its stakeholders and the reinvestment strategy that may impact shareholder value.

Business Operations and Strategy
Hays plc Announces Managerial Share Transactions
Neutral
Apr 10, 2025

Hays plc announced transactions involving managerial personnel, including the purchase of ordinary shares by Nicholas Ford and David Brown. These transactions, conducted on the London Stock Exchange, reflect strategic moves within the company, potentially impacting its stock value and stakeholder interests.

Regulatory Filings and Compliance
Hays plc Updates on Voting Rights and Share Capital
Neutral
Apr 1, 2025

Hays plc announced that as of March 31, 2025, its issued share capital consisted of 1,600,433,092 Ordinary shares, with 8,614,305 shares held in treasury, resulting in a total of 1,591,818,787 voting rights. This figure is significant for shareholders as it serves as the denominator for calculating their interest in the company’s share capital under the FCA’s Disclosure Guidance and Transparency Rules.

Executive/Board ChangesBusiness Operations and Strategy
Hays plc Grants Share Options to Executive Team Members
Neutral
Mar 27, 2025

Hays plc announced that two members of its Executive Leadership Team, Tim Fulton and Matthew Dickason, have been granted options over ordinary shares as part of the company’s International Sharesave Plan. This move reflects the company’s ongoing commitment to align the interests of its leadership with those of its shareholders, potentially impacting the company’s operational focus and stakeholder confidence.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.