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Randstad Holding NV (NL:RAND)
:RAND
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Randstad Holding NV (RAND) AI Stock Analysis

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NL:RAND

Randstad Holding NV

(LSE:RAND)

Rating:58Neutral
Price Target:
€42.00
▲(9.09% Upside)
Randstad Holding NV's overall stock score reflects its strong cash flow and operational efficiency, offset by challenges in revenue growth and profitability. The high P/E ratio suggests overvaluation, but the attractive dividend yield provides some balance. Technical indicators show limited momentum, contributing to a moderate overall score.
Positive Factors
Earnings Projections
Randstad's 2025 consensus EPS looks increasingly feasible, supported by stabilizing trends in the temporary-job markets and continued cost discipline.
Management Outlook
Management is optimistic about the US and they consider the new administration plan as positive for economy and the staffing industry.
Valuation
Randstad offers attractive risk / reward with the share price trading below franchise valuations and towards the low end of long run EV/GP valuations.
Negative Factors
Cash Flow
The weaker cash generation in 4Q24 was noted, affecting investor feedback on lower earning quality.
Gross Margin
Randstad is still facing some gross margin headwinds, but SG&A provides the offset.
Market Environment
The environment is more challenging in North Western Europe with PMIs stable but still below 50.

Randstad Holding NV (RAND) vs. iShares MSCI Netherlands ETF (EWN)

Randstad Holding NV Business Overview & Revenue Model

Company DescriptionRandstad N.V. provides solutions in the field of work and human resources (HR) services. It offers temporary staffing and permanent placement services for the light industrial, office and administrative, manufacturing and logistics, and other specialty areas, as well as payroll services. The company also offers on-site solutions for managing a client's workforce with specific skill sets and a fluctuating level of demand for the fast-moving consumer goods, automotive, life sciences, contact centers, manufacturing, and logistics, as well as the administrative and professional segments. In addition, it recruits experienced staff for managerial and professional roles in a range of sectors and disciplines, including IT, engineering, finance, healthcare, HR, education, legal affairs, sales and marketing and communications. Further, the company provides managed services programs, recruitment process outsourcing, outplacement and career development, and online talent acquisition. It has operations in North America, France, the Netherlands, Germany, Belgium, Luxembourg, Italy, Iberia, other European countries, and internationally. The company was formerly known as Randstad Holding NV and changed its name to Randstad N.V. in April 2018. Randstad N.V. was founded in 1960 and is headquartered in Diemen, the Netherlands.
How the Company Makes MoneyRandstad generates revenue primarily through its staffing and recruitment services, which involve charging clients a fee for placing temporary or permanent employees. The company earns money by marking up the hourly wage of temporary staff, which includes the worker's salary and additional costs such as payroll taxes and benefits. Additionally, Randstad offers specialized services, such as managed services provider (MSP) solutions and recruitment process outsourcing (RPO), which contribute to its revenue streams. Significant partnerships with various organizations and a strong global presence enhance its earnings potential, allowing Randstad to scale its operations effectively and respond to labor market demands.

Randstad Holding NV Financial Statement Overview

Summary
Randstad Holding NV shows operational efficiency and strong cash flow generation, but faces challenges with declining revenue and profitability. The company maintains a stable financial position with moderate leverage.
Income Statement
65
Positive
Randstad Holding NV's income statement shows a declining revenue trend with a negative growth rate in the TTM period. The gross profit margin has slightly decreased over the years, indicating pressure on profitability. The net profit margin is low, reflecting challenges in converting revenue into profit. However, the company maintains a stable EBIT and EBITDA margin, suggesting operational efficiency.
Balance Sheet
70
Positive
The balance sheet reveals a moderate debt-to-equity ratio, which has increased slightly in the TTM period, indicating a rise in leverage. The return on equity has decreased, reflecting lower profitability. The equity ratio remains stable, suggesting a balanced capital structure with a reasonable level of equity financing.
Cash Flow
75
Positive
Randstad's cash flow statement shows a positive free cash flow growth rate in the TTM period, indicating improved cash generation. The operating cash flow to net income ratio is stable, suggesting efficient cash conversion. The free cash flow to net income ratio is high, reflecting strong cash flow relative to net income.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue23.55B24.12B25.43B27.57B24.64B20.72B
Gross Profit4.49B4.70B5.28B5.75B4.90B3.95B
EBITDA714.00M633.00M1.17B1.47B1.38B798.00M
Net Income83.00M123.00M624.00M929.00M768.00M304.00M
Balance Sheet
Total Assets10.79B11.19B10.69B11.11B11.04B9.59B
Cash, Cash Equivalents and Short-Term Investments278.00M357.00M261.00M274.00M859.00M474.00M
Total Debt2.29B2.22B1.18B1.14B1.27B729.00M
Total Liabilities6.97B7.06B5.99B6.19B6.14B4.92B
Stockholders Equity3.81B4.13B4.70B4.91B4.90B4.67B
Cash Flow
Free Cash Flow719.00M565.00M1.10B951.00M786.00M1.36B
Operating Cash Flow797.00M649.00M1.19B1.07B914.00M1.46B
Investing Cash Flow-460.00M-518.00M-147.00M-290.00M-207.00M-112.00M
Financing Cash Flow-299.00M-21.00M-1.03B-1.37B-322.00M-1.09B

Randstad Holding NV Technical Analysis

Technical Analysis Sentiment
Negative
Last Price38.50
Price Trends
50DMA
41.06
Negative
100DMA
38.95
Negative
200DMA
38.80
Negative
Market Momentum
MACD
-0.56
Positive
RSI
36.09
Neutral
STOCH
17.10
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NL:RAND, the sentiment is Negative. The current price of 38.5 is below the 20-day moving average (MA) of 40.41, below the 50-day MA of 41.06, and below the 200-day MA of 38.80, indicating a bearish trend. The MACD of -0.56 indicates Positive momentum. The RSI at 36.09 is Neutral, neither overbought nor oversold. The STOCH value of 17.10 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NL:RAND.

Randstad Holding NV Peers Comparison

Overall Rating
UnderperformOutperform
Sector (56)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
58
Neutral
€7.07B92.372.09%7.51%-3.75%-84.64%
56
Neutral
$13.75B13.2410.03%0.92%7.13%-12.93%
€418.83M27.345.36%
€46.19M19.87
* Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
NL:RAND
Randstad Holding NV
38.50
-0.67
-1.72%
GB:0QUM
Brunel International N.V.
8.24
0.00
0.00%
NL:MORE
Morefield Group N.V.
0.74
0.22
42.31%
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.Date of analysis: Aug 27, 2025