Robert Half (RHI) AI Stock Analysis

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Robert Half

(NYSE:RHI)

Select Model

Neutral 64 (OpenAI - 4o)

Rating:64Neutral

Price Target:

$40.00

▲(19.44% Upside)

Robert Half's overall stock score reflects stable financials and an attractive dividend yield, but is weighed down by bearish technical indicators and a mixed earnings outlook. The company's ability to navigate economic challenges and leverage strategic opportunities will be key to future performance.

Positive Factors

Strong Balance Sheet

A low debt-to-equity ratio indicates prudent financial leverage, providing stability and flexibility to navigate economic challenges.

Dividend Growth

Consistent dividend growth demonstrates financial health and commitment to returning value to shareholders, enhancing investor confidence.

Recognition and Awards

Recognition as a top firm enhances brand reputation and competitive positioning, potentially attracting more clients and skilled professionals.

Negative Factors

Revenue Decline

A decline in revenues reflects challenges in market demand and client engagement, potentially impacting long-term growth prospects.

Decreased Profitability

Reduced net income indicates pressure on profitability, which can affect reinvestment capabilities and shareholder returns.

Increased SG&A Costs

Rising SG&A costs can erode margins and profitability, necessitating efficiency improvements to maintain financial health.

Robert Half (RHI) vs. SPDR S&P 500 ETF (SPY)

Market Cap

$3.52B

Dividend Yield6.64%

Average Volume (3M)1.74M

Price to Earnings (P/E)19.8

Beta (1Y)1.08

Revenue Growth-6.95%

EPS Growth-41.84%

CountryUS

Employees14,700

SectorIndustrials

Sector Strength72

IndustryStaffing & Employment Services

Share Statistics

EPS (TTM)0.41

Shares Outstanding101,738,660

10 Day Avg. Volume1,839,610

30 Day Avg. Volume1,742,119

Financial Highlights & Ratios

PEG Ratio-0.77

Price to Book (P/B)5.25

Price to Sales (P/S)1.25

P/FCF Ratio20.42

Enterprise Value/Market Cap1.13

Enterprise Value/Revenue0.72

Enterprise Value/Gross Profit1.89

Enterprise Value/Ebitda14.32

Forecast

1Y Price Target

$45.67

Price Target Upside36.37% Upside

Rating ConsensusHold

Number of Analyst Covering5

Robert Half Business Overview & Revenue Model

Company DescriptionRobert Half International Inc. provides staffing and risk consulting services in North America, South America, Europe, Asia, and Australia. The company operates through three segments: Temporary and Consultant Staffing, Permanent Placement Staffing, and Risk Consulting and Internal Audit Services. It places temporary services for accounting, finance, and bookkeeping; temporary and full-time office and administrative personnel consisting of executive and administrative assistants, receptionists, and customer service representatives; full-time accounting, financial, tax, and accounting operations personnel; and information technology contract professionals and full-time employees in the areas of platform systems integration to end-user technical and desktop support, including specialists in application development, networking and cloud, systems integration and deployment, database design and administration, and security and business continuity. The company also offers temporary and full-time employees in attorney, paralegal, legal administrative, and legal secretarial positions; and senior-level project professionals in the accounting and finance fields for financial systems conversions, expansion into new markets, business process re-engineering, business systems performance improvement, and post-merger financial consolidation. It is involved in serving professionals in the areas of creative, design, marketing, advertising, and public relations; and placing various positions, such as creative directors, graphics designers, web designers, media buyers, front end developers, copywriters, digital marketing managers, marketing analytics specialists, brand managers, and public relations specialists. The company provides internal audit, technology consulting, risk and compliance consulting, and business performance services. It serves clients and employment candidates. Robert Half International Inc. was founded in 1948 and is headquartered in Menlo Park, California.

How the Company Makes MoneyRobert 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 Key Performance Indicators (KPIs)

Any

Income by Segment

Income by Segment
Details the net income generated by each segment, providing insight into which parts of the business are most profitable and sustainable.

Chart InsightsRobert Half's Contract Talent and Permanent Placement segments are experiencing significant declines, with Contract Talent income plummeting since 2022 and Permanent Placement facing a sharp drop in recent months. Protiviti shows some resilience, especially outside the U.S., driven by strong European performance. The earnings call highlights ongoing challenges, including declining global revenues and increased costs, but also notes growth in non-U.S. Protiviti revenues and technology solutions. Investors should be cautious, as the company anticipates further revenue declines and economic pressures.

Data provided by:

Main Street Data

Robert Half Earnings Call Summary

Earnings Call Date:Jul 23, 2025

(Q2-2025)

% Change Since: |

Next Earnings Date:Oct 28, 2025

Earnings Call Sentiment Neutral

The earnings call presented a mixed outlook. While there were positive developments such as dividend growth, share repurchase, and recognition in the industry, significant revenue declines, increased costs, and a higher tax rate overshadowed these achievements. Protiviti showed some growth, particularly outside the U.S., but the overall decline in global revenues and net income suggests ongoing challenges.

Q2-2025 Updates

Positive Updates

Dividend Growth

In June, a $0.59 per share cash dividend was distributed, marking an 11.3% increase from the prior year. The dividend has grown an average of 11.5% annually since inception in 2004.

Share Repurchase

Robert Half acquired approximately 450,000 shares for $20 million during the quarter, with 6.2 million shares available for repurchase under the stock repurchase plan.

Protiviti Revenue Growth

Global second-quarter Protiviti revenues were up 2% year-over-year, with non-U.S. revenues up 11% compared to the previous year.

Positive New Opportunity Trends at Protiviti

Protiviti saw a substantial increase in new opportunities in the last 30 days, indicating strong future potential.

Recognition and Awards

Robert Half ranked #1 on Forbes' list of America's Best Professional Recruiting Firms and received recognition as one of America's Best Temporary Staffing Firms and Executive Recruiting Firms.

Negative Updates

Decline in Global Revenues

Global enterprise revenues were $1.37 billion, down 7% from last year's second quarter on both a reported and adjusted basis.

Decrease in Net Income

Net income per share was $0.41, compared to $0.66 in the second quarter of the previous year.

Talent Solutions Revenue Decline

Second-quarter talent solutions revenues were down 11% year-over-year, with U.S. revenues down 11% and non-U.S. revenues down 13%.

Protiviti U.S. Revenue Decline

U.S. Protiviti revenues were down 1% year-over-year.

Gross Margin Decline in Protiviti

Protiviti's gross margin was 19.7% of revenues, down from 22.5% in the same quarter a year ago.

Increased SG&A Costs

Enterprise SG&A costs were 37.1% of global revenues, up from 34% in the same quarter a year ago.

Higher Tax Rate

The second-quarter tax rate was 33%, up from 29% in the previous year, due to the increased impact of non-deductible expenses relative to lower pre-tax income.

Company Guidance

During the Robert Half Second Quarter 2025 Conference Call, the company provided detailed guidance and insights into its financial performance. The global enterprise revenues for the second quarter were reported at $1.37 billion, reflecting a 7% decrease from the previous year on both a reported and adjusted basis. Net income per share was $0.41, down from $0.66 a year ago, aligning with the midpoint of prior guidance. The company noted persistent global economic uncertainty impacting client and job seeker behavior, which elongated decision cycles and subdued hiring activities. Despite these challenges, Robert Half remains strategically positioned to leverage emerging opportunities through its professional staffing and business consulting services. The company reported operational cash flow of $119 million and distributed a $0.59 per share dividend, marking an 11.3% increase from the previous year. Additionally, Robert Half repurchased approximately 450,000 shares for $20 million. The third-quarter guidance projects revenues between $1.31 billion and $1.41 billion, with an income per share range of $0.37 to $0.47, considering a midpoint revenue decline of 8% year-over-year on an adjusted basis. Key financial assumptions include adjusted revenue growth declines for talent solutions and Protiviti, with expected operating income improvements and capital expenditure plans. The company remains optimistic about its position to meet future talent and consulting needs, supported by its robust brand, technological capabilities, and unique business model.

Robert Half Financial Statement Overview

Summary

Robert Half demonstrates solid financial management with a strong balance sheet and effective cash flow generation. However, declining revenue and profit margins pose challenges to growth. The company remains financially stable, but strategic actions may be needed to reinvigorate growth and profitability.

Income Statement

Positive

The company shows a declining revenue trend, with total revenue dropping from previous periods. Gross profit margin remains healthy at 38.3% for TTM, yet the net profit margin has decreased to 3.6% from higher levels in prior years. The EBIT and EBITDA margins are also lower, reflecting reduced operational efficiency. These factors suggest moderate performance in profitability and growth.

Balance Sheet

Positive

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.18, indicating low leverage. The equity ratio is strong at 48.7%, showcasing a robust equity base relative to total assets. However, the return on equity (ROE) has decreased to 15.6% in the TTM, suggesting reduced profitability on equity.

Cash Flow

Positive

The cash flow statement highlights a strong operating cash flow to net income ratio of 1.79, indicating efficient cash generation from operations. Free cash flow remains positive, although the free cash flow growth rate is negative due to lower profitability. The company maintains a solid cash flow position despite some fluctuations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.57B	5.80B	6.39B	7.24B	6.46B	5.11B
Gross Profit	2.12B	2.25B	2.58B	3.09B	2.70B	2.01B
EBITDA	278.56M	330.79M	563.56M	1.02B	796.96M	408.85M
Net Income	178.06M	251.60M	411.15M	657.92M	598.63M	306.28M
Balance Sheet
Total Assets	2.83B	2.85B	3.01B	2.96B	2.95B	2.56B
Cash, Cash Equivalents and Short-Term Investments	380.55M	537.58M	731.74M	658.63M	619.00M	574.43M
Total Debt	243.65M	233.52M	241.90M	237.85M	265.08M	302.71M
Total Liabilities	1.52B	1.48B	1.42B	1.40B	1.57B	1.35B
Stockholders Equity	1.31B	1.38B	1.59B	1.57B	1.38B	1.21B
Cash Flow
Free Cash Flow	284.75M	354.15M	591.01M	622.63M	566.52M	563.15M
Operating Cash Flow	344.46M	410.47M	636.88M	683.75M	603.14M	596.53M
Investing Cash Flow	-98.40M	-87.12M	-112.25M	-116.62M	-87.61M	9.46M
Financing Cash Flow	-429.66M	-496.44M	-460.54M	-509.18M	-458.59M	-315.32M

Robert Half Technical Analysis

Technical Analysis Sentiment

Negative

Last Price33.49

Price Trends

50DMA

36.56

Negative

100DMA

39.84

Negative

200DMA

48.99

Negative

Market Momentum

MACD

-0.64

Positive

RSI

43.53

Neutral

STOCH

22.48

Neutral

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 33.49 is below the 20-day moving average (MA) of 35.81, below the 50-day MA of 36.56, and below the 200-day MA of 48.99, indicating a bearish trend. The MACD of -0.64 indicates Positive momentum. The RSI at 43.53 is Neutral, neither overbought nor oversold. The STOCH value of 22.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RHI.

Robert Half Risk Analysis

Robert Half disclosed 29 risk factors in its most recent earnings report. Robert Half reported the most risks in the "Legal & Regulatory" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added 0 New Risks

Robert Half Peers Comparison

Overall Rating

UnderperformOutperform

Sector (63)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HSII	74 Outperform	1.03B	31.20	6.95%	1.22%	8.89%	-13.57%
KFY	68 Neutral	3.76B	15.24	13.22%	2.57%	0.79%	34.85%
RHI	64 Neutral	$3.52B	19.78	12.75%	6.64%	-6.95%	-41.84%
MAN	54 Neutral	1.81B	-99.71	-0.81%	5.98%	-3.79%	-138.56%
KELYA	51 Neutral	460.82M	-71.26	-0.49%	2.33%	0.97%	-112.75%
NSP	49 Neutral	1.92B	48.56	35.71%	4.87%	2.40%	-75.66%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

* Industrials Sector Average

Performance Comparison

RHI

Robert Half

33.49

-30.88

-47.97%

HSII

Heidrick & Struggles

49.18

12.05

32.45%

NSP

Insperity

49.31

-34.71

-41.31%

KELYA

Kelly Services

12.87

-7.79

-37.71%

KFY

Korn Ferry

70.53

-1.48

-2.06%

MAN

ManpowerGroup

37.78

-32.52

-46.26%

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: Sep 09, 2025