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Hudson Global Inc (HSON)
NASDAQ:HSON
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Hudson Global
(NASDAQ:HSON)
Rating:55Neutral
Price Target:
$9.50
▲(4.97% Upside)
Hudson Global (HSON) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$25.31M
Dividend YieldN/A
Average Volume (3M)8.84K
Price to Earnings (P/E)―
Beta (1Y)0.78
Revenue Growth-3.58%
EPS Growth-89.07%
CountryUS
Employees980
SectorIndustrials
Sector Strength78
IndustryStaffing & Employment Services
Share Statistics
EPS (TTM)0.12
Shares Outstanding2,755,335
10 Day Avg. Volume5,801
30 Day Avg. Volume8,844
Financial Highlights & Ratios
PEG Ratio0.03
Price to Book (P/B)0.97
Price to Sales (P/S)0.28
P/FCF Ratio-13.96
Enterprise Value/Market Cap0.36
Enterprise Value/Revenue0.07
Enterprise Value/Gross Profit0.13
Enterprise Value/Ebitda-7.32
Forecast
1Y Price Target
$9.50Price Target Upside4.97% Upside
Rating ConsensusHold
Number of Analyst Covering1
Hudson Global Business Overview & Revenue Model
Company DescriptionHudson Global, Inc. provides talent solutions for mid-to-large-cap multinational companies and government agencies under the Hudson RPO brand in the Americas, the Asia Pacific, and Europe. It offers recruitment process outsourcing (RPO) services, such as complete recruitment outsourcing, project-based outsourcing, contingent workforce solutions, and recruitment consulting for clients' permanent staff hires; and RPO contracting services, including outsourced professional contract staffing and managed services. The company was formerly known as Hudson Highland Group, Inc. and changed its name to Hudson Global, Inc. in April 2012. Hudson Global, Inc. was founded in 1999 and is headquartered in Old Greenwich, Connecticut.
How the Company Makes MoneyHudson Global generates revenue primarily through its recruitment services, which include permanent placement, temporary staffing, and contractor services. The company charges clients a fee for successfully placing candidates in roles, which can be a percentage of the candidate's first-year salary for permanent placements or a markup on hourly wages for temporary staffing. Additionally, Hudson offers consulting services in talent management and workforce planning, contributing to its revenue streams. Strategic partnerships with businesses and organizations in various sectors enhance its client base and service offerings, further supporting its earnings potential.
Hudson Global Earnings Call Summary
Earnings Call Date:Aug 08, 2025
(Q2-2025)
| % Change Since: -0.77%|
Next Earnings Date:Nov 06, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mix of positive and negative metrics. While there was growth in adjusted net revenue, improvements in adjusted EBITDA, and strategic acquisitions indicating a positive outlook, the company faced challenges with an overall revenue decline, increased net loss, and an EBITDA loss in the EMEA region.Q2-2025 Updates
Positive Updates
Adjusted Net Revenue Growth
Adjusted net revenue increased by 5.1% year-over-year in constant currency, marking the third consecutive quarter of growth in this metric.
Improvement in Adjusted EBITDA
Adjusted EBITDA for the second quarter was $1.3 million, up from $0.7 million a year ago.
Strategic Investments and Acquisitions
Investments of $1.4 million in sales, marketing, and technology were made to enhance future growth. Acquisitions of Alpha Consulting Group and McKinsey CMO Group expand geographic and service offerings.
Cash Flow and Financial Position
The company generated a cash inflow of $0.1 million from operations during Q2 2025, compared to an outflow of $4.3 million in Q2 2024. Cash reserves stood at $17.5 million.
New Business Wins and Sales Pipeline
Secured approximately $31.1 million in adjusted net revenue from renewals and expansions and $11.4 million from new logo wins over the prior 4 quarters.
Negative Updates
Overall Revenue Decline
Revenue for the second quarter of 2025 was $35.5 million, slightly down year-over-year in constant currency.
Net Loss Increase
The company reported a net loss of $0.7 million or $0.23 per diluted share, compared to a net loss of $0.4 million or $0.15 per share in the same period last year.
EMEA Business EBITDA Loss
EMEA business reported an adjusted EBITDA loss of $0.4 million compared to an adjusted EBITDA of $0.3 million in Q2 2024.
Company Guidance
During the Hudson Global Conference Call for the second quarter of 2025, the company provided guidance indicating a positive trajectory in its financial performance. The call revealed that Hudson Global reported revenue of $35.5 million, slightly down year-over-year in constant currency, but adjusted net revenue increased by 5.1% to $18.6 million. Adjusted EBITDA improved to $1.3 million from $0.7 million the previous year. The company experienced a net loss of $0.7 million or $0.23 per diluted share, compared to a net loss of $0.4 million or $0.15 per diluted share in the same period last year. However, on an adjusted basis, net income per share rose to $0.12 from $0.04. Hudson's growth strategy, which emphasizes organic expansion, targeted acquisitions, and cross-regional integration, appears to be yielding results, as evidenced by three consecutive quarters of year-over-year growth in adjusted net revenue and EBITDA. Moreover, Hudson invested approximately $1.4 million in sales, marketing, and technology in the first half of 2025 to bolster future growth. The company also highlighted strategic acquisitions and integrations, such as the addition of the Alpha Consulting Group and McKinsey CMO Group, to enhance its service offerings and geographic reach. Hudson expects continued growth through 2025 and into 2026, despite mixed macroeconomic conditions in the talent market.Hudson Global Financial Statement Overview
Summary
Hudson Global faces significant profitability and liquidity challenges, with declining revenues and negative cash flows. Despite a strong balance sheet with low leverage, the negative trends in income and cash flow metrics pose long-term risks.Income Statement
Hudson Global's income statement shows declining revenue over the past years, with a significant drop from 2022 to 2025. The TTM data reveals negative EBIT and EBITDA margins, indicating operational challenges. Gross Profit Margin remains relatively stable, but the company struggles with profitability as seen in the negative Net Profit Margin.45
Neutral
Balance Sheet
The balance sheet reflects a strong equity position with a low Debt-to-Equity Ratio, suggesting financial stability. However, the decline in Total Assets and Stockholders' Equity over time is a concern. Despite this, the company maintains a healthy Equity Ratio, showing a strong financial structure.65
Positive
Cash Flow
The cash flow statement indicates negative operating cash flow and free cash flow in the TTM period, highlighting liquidity issues. The Operating Cash Flow to Net Income Ratio is concerning due to negative cash flows. There is also a significant decline in Free Cash Flow compared to previous years, pointing to potential cash management challenges.40
Negative
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 138.03M | 140.06M | 161.34M | 200.92M | 169.21M | 101.45M |
| Gross Profit | 69.90M | 70.15M | 78.80M | 24.84M | 15.12M | 38.90M |
| EBITDA | -1.25M | -2.45M | 2.85M | 10.71M | 4.99M | -2.47M |
| Net Income | -3.63M | -4.77M | 2.20M | 7.13M | 3.23M | -1.24M |
Balance Sheet | ||||||
| Total Assets | 53.19M | 52.58M | 60.96M | 67.94M | 61.24M | 45.39M |
| Cash, Cash Equivalents and Short-Term Investments | 16.55M | 17.01M | 22.61M | 27.12M | 21.71M | 25.81M |
| Total Debt | 872.00K | 1.06M | 1.43M | 1.94M | 2.48M | 214.00K |
| Total Liabilities | 13.71M | 12.15M | 12.40M | 22.15M | 21.93M | 11.11M |
| Stockholders Equity | 39.47M | 40.43M | 48.55M | 45.79M | 39.32M | 34.28M |
Cash Flow | ||||||
| Free Cash Flow | -1.82M | -2.81M | 216.00K | 8.95M | 2.22M | -1.45M |
| Operating Cash Flow | -1.80M | -2.79M | 315.00K | 9.45M | 2.51M | -1.43M |
| Investing Cash Flow | -15.00K | 1.06M | -2.15M | -1.33M | -6.30M | -4.02M |
| Financing Cash Flow | -2.02M | -3.10M | -2.45M | -2.04M | -4.00K | -927.00K |
Hudson Global Technical Analysis
Negative
9.05
Price Trends
8.76
Positive
9.23
Negative
11.11
Negative
Market Momentum
0.07
Positive
51.52
Neutral
58.53
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HSON, the sentiment is Negative. The current price of 9.05 is below the 20-day moving average (MA) of 9.08, above the 50-day MA of 8.76, and below the 200-day MA of 11.11, indicating a neutral trend. The MACD of 0.07 indicates Positive momentum. The RSI at 51.52 is Neutral, neither overbought nor oversold. The STOCH value of 58.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HSON.
Hudson Global Risk Analysis
Hudson Global disclosed 26 risk factors in its most recent earnings report. Hudson Global reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Hudson Global Peers Comparison
Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
63 Neutral | $10.71B | 16.25 | 6.57% | 2.09% | 2.65% | -16.21% | |
55 Neutral | $25.31M | ― | -9.37% | ― | -3.58% | -89.07% | |
49 Neutral | $105.14M | 268.89 | -8.83% | ― | -8.31% | -445.30% | |
48 Neutral | $64.50M | ― | -9.13% | 4.69% | -24.36% | -393.95% | |
47 Neutral | $21.85M | ― | -53.10% | ― | -15.53% | -67.84% | |
46 Neutral | $5.60M | ― | -68.25% | ― | -11.76% | 48.03% | |
34 Underperform | $34.37M | ― | -643.77% | ― | 2009.96% | -74.25% |
* Industrials Sector Average
Performance Comparison
HSON
Hudson Global
9.05
-8.79
-49.27%
DHX
DHI Group
2.30
0.73
46.50%
JOB
GEE Group
0.20
-0.08
-28.57%
IPDN
Professional Diversity
2.25
-2.38
-51.40%
BGSF
BGSF
5.61
-2.44
-30.31%
NIXX
Nixxy
1.58
-0.52
-24.76%
Hudson Global Corporate Events
Executive/Board ChangesM&A TransactionsRegulatory Filings and Compliance
Hudson Global CEO Compensation Structure Revised
Neutral
Aug 18, 2025
Hudson Global, Inc. announced a change in the compensation structure for its CEO, Jeffrey Eberwein, where his base salary will now be paid half in cash and half in equity grants of the company’s common stock, with the total annual compensation remaining unchanged. Additionally, Hudson is involved in a proposed merger transaction with Star Equity Holdings, Inc., and both companies’ directors and officers may participate in proxy solicitations related to this merger, which is under review by the SEC.
M&A Transactions
Hudson Global Appoints Exchange Agent Post-Merger
Neutral
Aug 14, 2025
On May 21, 2025, Hudson Global, Inc. entered into a Merger Agreement with Star Equity Holdings, Inc., where Hudson’s subsidiary will merge with Star, making Star a wholly owned subsidiary of Hudson. On August 14, 2025, Hudson appointed Computershare Trust Company as the Exchange Agent to manage the distribution of shares and cash payments for fractional shares to Star stockholders, following the merger’s approval by the stockholders of both companies.
M&A TransactionsShareholder Meetings
Hudson Global Announces Merger with Star Equity Holdings
Neutral
Jul 22, 2025
On May 21, 2025, Hudson Global, Inc. entered into a merger agreement with Star Equity Holdings, Inc., where Star will merge into a wholly owned subsidiary of Hudson. As part of the merger, Star’s common and preferred stock will be converted into Hudson’s stock, and Hudson will hold a meeting on August 21, 2025, to seek stockholder approval for the issuance of new shares. The merger will result in taxable transactions for U.S. federal income tax purposes.
M&A TransactionsBusiness Operations and Strategy
Hudson Global Announces Merger with Star Equity Holdings
Positive
May 22, 2025
On May 21, 2025, Hudson Global, Inc. and Star Equity Holdings, Inc. announced a definitive merger agreement where Star will merge into a wholly owned subsidiary of Hudson, forming NewCo. This merger aims to create a larger multi-sector holding company with pro-forma annualized revenues of $210 million and projected cost savings of $2 million within 12 months. The merger is expected to close in the second half of 2025, pending regulatory and shareholder approvals. The combined company will have four reporting segments and aims to utilize Hudson’s $240 million in net operating losses to maximize shareholder value.
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.