Kelly Services (NASDAQ:KELYA) Posts Quarterly Earnings Results, Misses Estimates By $0.24 EPS

Kelly Services (NASDAQ:KELYA) posted its earnings results on Thursday. The business services provider reported $0.18 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.42 by ($0.24), Zacks reports. Kelly Services had a negative net margin of 0.14% and a positive return on equity of 5.65%. The business had revenue of $935.00 million for the quarter, compared to analysts’ expectations of $972.80 million. Kelly Services updated its Q4 2025 guidance to EPS and its Q4 2025 guidance to EPS.

Kelly Services Stock Up 2.9%

Shares of NASDAQ KELYA traded up $0.27 on Friday, reaching $9.63. 484,046 shares of the company’s stock traded hands, compared to its average volume of 307,598. The business’s 50 day simple moving average is $12.77 and its two-hundred day simple moving average is $12.56. Kelly Services has a 12 month low of $9.17 and a 12 month high of $18.26. The company has a market cap of $339.48 million, a price-to-earnings ratio of -48.15, a price-to-earnings-growth ratio of 0.41 and a beta of 0.86. The company has a quick ratio of 1.52, a current ratio of 1.52 and a debt-to-equity ratio of 0.06.

Kelly Services Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, December 3rd. Shareholders of record on Wednesday, November 19th will be paid a dividend of $0.075 per share. The ex-dividend date of this dividend is Wednesday, November 19th. This represents a $0.30 dividend on an annualized basis and a dividend yield of 3.1%. Kelly Services’s dividend payout ratio (DPR) is currently -6.70%.

Insider Activity at Kelly Services

In other Kelly Services news, SVP Daniel H. Malan sold 7,840 shares of the business’s stock in a transaction on Thursday, September 25th. The stock was sold at an average price of $12.86, for a total value of $100,822.40. Following the sale, the senior vice president directly owned 79,791 shares of the company’s stock, valued at approximately $1,026,112.26. The trade was a 8.95% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, SVP Nicola M. Soares sold 27,412 shares of the firm’s stock in a transaction on Tuesday, September 23rd. The shares were sold at an average price of $13.43, for a total value of $368,143.16. Following the transaction, the senior vice president owned 40,134 shares of the company’s stock, valued at $538,999.62. The trade was a 40.58% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 52,902 shares of company stock worth $721,526 in the last 90 days. 48.09% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Kelly Services

Hedge funds have recently bought and sold shares of the company. AQR Capital Management LLC increased its stake in Kelly Services by 24.3% during the 1st quarter. AQR Capital Management LLC now owns 373,269 shares of the business services provider’s stock valued at $4,916,000 after purchasing an additional 73,040 shares in the last quarter. Millennium Management LLC grew its holdings in shares of Kelly Services by 8.5% during the first quarter. Millennium Management LLC now owns 1,188,264 shares of the business services provider’s stock valued at $15,649,000 after buying an additional 93,026 shares during the last quarter. Empowered Funds LLC increased its position in shares of Kelly Services by 4.2% during the first quarter. Empowered Funds LLC now owns 214,829 shares of the business services provider’s stock valued at $2,829,000 after acquiring an additional 8,562 shares in the last quarter. Quantbot Technologies LP raised its holdings in Kelly Services by 16.0% in the 2nd quarter. Quantbot Technologies LP now owns 29,357 shares of the business services provider’s stock worth $344,000 after acquiring an additional 4,043 shares during the last quarter. Finally, Invesco Ltd. lifted its position in Kelly Services by 1.5% in the 2nd quarter. Invesco Ltd. now owns 472,191 shares of the business services provider’s stock valued at $5,529,000 after acquiring an additional 6,876 shares in the last quarter. Institutional investors own 76.34% of the company’s stock.

Analyst Upgrades and Downgrades

KELYA has been the topic of several recent analyst reports. UBS Group reiterated an “outperform” rating on shares of Kelly Services in a report on Friday, September 12th. Barrington Research reaffirmed an “outperform” rating and set a $25.00 target price on shares of Kelly Services in a research note on Tuesday, September 23rd. Wall Street Zen downgraded shares of Kelly Services from a “strong-buy” rating to a “buy” rating in a research note on Saturday, October 25th. Finally, Weiss Ratings restated a “sell (d)” rating on shares of Kelly Services in a report on Wednesday, October 8th. Two analysts have rated the stock with a Buy rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus target price of $25.00.

About Kelly Services

Kelly Services, Inc, together with its subsidiaries, provides workforce solutions to various industries. The company operates through five segments: Professional & Industrial; Science, Engineering & Technology; Education; Outsourcing & Consulting; and International. The Professional & Industrial segment delivers staffing, outcome-based, and permanent placement services providing administrative, accounting, and finance; light industrial; contact center staffing; and other workforce solutions.