Robert Half (RHI) AI Stock Analysis

• Market Cap: $2.63B
• Dividend Yield: 8.66%
• Average Volume (3M): 2.30M
• Price to Earnings (P/E): 16.9
• Beta (1Y): 1.10
• Revenue Growth: -7.27%
• EPS Growth: -43.88%
• Country: US
• Employees: 14,700
• Sector: Industrials
• Sector Strength: 72
• Industry: Staffing & Employment Services
• EPS (TTM): 0.43
• Shares Outstanding: 101,186,390
• 10 Day Avg. Volume: 2,983,514
• 30 Day Avg. Volume: 2,303,917
• PEG Ratio: -0.77
• Price to Book (P/B): 5.25
• Price to Sales (P/S): 1.25
• P/FCF Ratio: 20.42
• Enterprise Value/Market Cap: 1.24
• Enterprise Value/Revenue: 0.60
• Enterprise Value/Gross Profit: 1.60
• Enterprise Value/Ebitda: 13.07
• 1Y Price Target: $33.33
• Price Target Upside: 26.35% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 7
• EPS Forecast (FY): 1.34
• Revenue Forecast (FY): $5.36B

• Rating: 60 Neutral
• Price Target: $27.00 ▲(2.35% Upside)

Robert Half's overall stock score is primarily impacted by its financial performance and technical analysis. The company faces challenges with declining revenue and profit margins, and technical indicators suggest bearish momentum. However, the stock's valuation is relatively attractive with a reasonable P/E ratio and high dividend yield, providing some support to the score.

Positive Factors

Strong Brand and Industry Recognition

Recognition as a top employer enhances Robert Half's brand reputation, aiding in talent acquisition and retention, crucial for long-term growth in staffing services.

Sequential Growth in Contract Revenues

Sequential growth in contract revenues indicates a rebound in demand for staffing services, suggesting potential for revenue stabilization and future growth.

Positive Trends in Protiviti's Pipeline

A growing pipeline for Protiviti suggests strong demand for consulting services, which can drive future revenue growth and diversification of income streams.

Negative Factors

Decline in Global Enterprise Revenues

A significant decline in global revenues reflects challenges in maintaining market share and competitive positioning, potentially impacting long-term financial performance.

Decreased Net Income Per Share

A decrease in net income per share indicates declining profitability, which could affect the company's ability to reinvest in growth and maintain shareholder returns.

Increased SG&A Costs

Rising SG&A costs as a percentage of revenue suggest inefficiencies or increased spending, which could pressure margins and reduce overall profitability.

Robert Half Business Overview & Revenue Model

Company Description

Robert Half International Inc. (RHI) is a global staffing firm specializing in placing professionals in various sectors, including accounting, finance, IT, legal, and administrative roles. Founded in 1948, RHI operates through several divisions, including Robert Half Finance & Accounting, Robert Half Technology, OfficeTeam, and The Creative Group, providing both temporary and permanent staffing solutions. The company is known for its commitment to matching skilled professionals with leading organizations, leveraging its extensive network and industry expertise to deliver tailored staffing services.

How the Company Makes Money

Robert Half generates revenue primarily through its staffing services, which involve placing candidates in temporary, project-based, and permanent positions. The company earns fees from clients based on a percentage of the employee's salary or a markup on the hourly wage for temporary positions. Key revenue streams include placement fees from permanent hires and billable hours from temporary staffing. Additionally, RHI offers consulting services, particularly in finance and IT, which also contribute to its revenue. The company benefits from strong relationships with various industries, including healthcare, technology, and finance, and it has established partnerships that enhance its service offerings and market reach.

Robert Half Financial Statement Overview

Summary

Robert Half's financial performance shows signs of pressure with declining revenue and profit margins. The balance sheet remains strong with low leverage, but profitability metrics like ROE have weakened. Cash flow generation has also faced challenges, though cash management remains efficient. Overall, the company exhibits stability but faces headwinds in growth and profitability.

Income Statement

The income statement shows a declining trend in revenue and profit margins over the recent periods. The TTM data indicates a negative revenue growth rate of -1.99%, and the net profit margin has decreased to 2.85% from 4.34% in the previous year. Gross profit margin has also slightly decreased to 37.54%. Despite these declines, the company maintains a positive EBIT margin of 4.19%, suggesting some operational efficiency.

Balance Sheet

The balance sheet reflects a stable financial position with a low debt-to-equity ratio of 0.19, indicating conservative leverage. The return on equity has decreased to 11.76% in the TTM, down from 18.26% in the previous year, reflecting reduced profitability. However, the equity ratio remains strong, suggesting a solid capital structure.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth by -16.93% in the TTM, indicating potential cash generation challenges. The operating cash flow to net income ratio is 0.25, showing a moderate conversion of income to cash. The free cash flow to net income ratio remains robust at 82.66%, highlighting efficient cash management despite recent declines.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.46B	5.80B	6.39B	7.24B	6.46B	5.11B
Gross Profit	2.05B	2.25B	2.58B	3.09B	2.70B	2.01B
EBITDA	250.65M	330.79M	563.56M	1.02B	796.96M	408.85M
Net Income	155.52M	251.60M	411.15M	657.92M	598.63M	306.28M
Balance Sheet
Total Assets	2.85B	2.85B	3.01B	2.96B	2.95B	2.56B
Cash, Cash Equivalents and Short-Term Investments	365.29M	537.58M	731.74M	658.63M	619.00M	574.43M
Total Debt	240.78M	233.52M	241.90M	237.85M	265.08M	302.71M
Total Liabilities	1.56B	1.48B	1.42B	1.40B	1.57B	1.35B
Stockholders Equity	1.29B	1.38B	1.59B	1.57B	1.38B	1.21B
Cash Flow
Free Cash Flow	236.55M	354.15M	591.01M	622.63M	566.52M	563.15M
Operating Cash Flow	292.26M	410.47M	636.88M	683.75M	603.14M	596.53M
Investing Cash Flow	-91.64M	-87.12M	-112.25M	-116.62M	-87.61M	9.46M
Financing Cash Flow	-406.24M	-496.44M	-460.54M	-509.18M	-458.59M	-315.32M

Robert Half Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 26.38
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RHI, the sentiment is Negative. The current price of 26.38 is below the 20-day moving average (MA) of 28.90, below the 50-day MA of 32.50, and below the 200-day MA of 42.92, indicating a bearish trend. The MACD of -2.04 indicates Positive momentum. The RSI at 27.44 is Positive, neither overbought nor oversold. The STOCH value of 19.34 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RHI.

Robert Half Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HSII	75 Outperform	$1.22B	34.32	7.47%	1.02%	11.53%	-6.32%
KFY	71 Outperform	$3.40B	13.81	13.55%	2.81%	0.79%	34.85%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
RHI	60 Neutral	$2.63B	16.89	11.27%	8.66%	-7.27%	-43.88%
NSP	47 Neutral	$1.28B	77.05	16.04%	7.04%	3.19%	-86.21%
KELYA	47 Neutral	$402.45M	―	-13.11%	3.12%	0.46%	-477.90%
MAN	46 Neutral	$1.38B	―	-1.00%	7.87%	-2.44%	-156.01%

Robert Half Corporate Events

Robert Half’s Earnings Call: Mixed Signals Amid Revenue Decline

The recent earnings call for Robert Half International painted a mixed picture of the company’s financial health. While there were positive developments such as sequential growth in contract revenues and a growing pipeline for Protiviti, these were counterbalanced by significant declines in global revenues and net income, as well as increased SG&A costs. The positive aspects, including cash flow and industry recognition, do not fully offset the substantial revenue and income declines, leading to a balanced view of the company’s current standing.

Robert Half International Reports Q3 2025 Earnings Decline

Robert Half International is a leading global talent solutions and business consulting firm, specializing in connecting skilled professionals with opportunities in finance, accounting, technology, marketing, legal, and administrative sectors. The company also owns Protiviti, a consulting firm offering internal audit, risk, and business consulting services.