KELLY SERVICES INC -CL B (KELYB) Stock Fundamental Analysis

USA • Nasdaq • NASDAQ:KELYB • US4881523074

13.76 USD
+0.76 (+5.85%)
Last: Jan 27, 2026, 08:00 PM
Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to KELYB. KELYB was compared to 89 industry peers in the Professional Services industry. While KELYB seems to be doing ok healthwise, there are quite some concerns on its profitability. KELYB is cheap, but on the other hand it scores bad on growth.


Dividend Valuation Growth Profitability Health

3

1. Profitability

1.1 Basic Checks

  • KELYB had positive earnings in the past year.
  • KELYB had a positive operating cash flow in the past year.
  • The reported net income has been mixed in the past 5 years: KELYB reported negative net income in multiple years.
  • Of the past 5 years KELYB 4 years had a positive operating cash flow.
KELYB Yearly Net Income VS EBIT VS OCF VS FCFKELYB Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50M -50M 100M 150M

1.2 Ratios

  • KELYB has a Return On Assets of -6.56%. This is in the lower half of the industry: KELYB underperforms 70.79% of its industry peers.
  • KELYB has a Return On Equity of -14.09%. This is in the lower half of the industry: KELYB underperforms 68.54% of its industry peers.
  • With a Return On Invested Capital value of 3.62%, KELYB perfoms like the industry average, outperforming 43.82% of the companies in the same industry.
  • Measured over the past 3 years, the Average Return On Invested Capital for KELYB is significantly below the industry average of 12.02%.
  • The 3 year average ROIC (3.33%) for KELYB is below the current ROIC(3.62%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA -6.56%
ROE -14.09%
ROIC 3.62%
ROA(3y)-0.33%
ROA(5y)0.31%
ROE(3y)-0.73%
ROE(5y)0.68%
ROIC(3y)3.33%
ROIC(5y)2.79%
KELYB Yearly ROA, ROE, ROICKELYB Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5 -5 10

1.3 Margins

  • KELYB has a Operating Margin (1.65%) which is in line with its industry peers.
  • In the last couple of years the Operating Margin of KELYB has remained more or less at the same level.
  • Looking at the Gross Margin, with a value of 20.43%, KELYB is doing worse than 71.91% of the companies in the same industry.
  • In the last couple of years the Gross Margin of KELYB has grown nicely.
Industry RankSector Rank
OM 1.65%
PM (TTM) N/A
GM 20.43%
OM growth 3Y14.85%
OM growth 5Y-0.87%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.86%
GM growth 5Y2.42%
KELYB Yearly Profit, Operating, Gross MarginsKELYB Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5 10 15 20

6

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), KELYB is destroying value.
  • The number of shares outstanding for KELYB has been reduced compared to 1 year ago.
  • Compared to 5 years ago, KELYB has less shares outstanding
  • The debt/assets ratio for KELYB is higher compared to a year ago.
KELYB Yearly Shares OutstandingKELYB Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 10M 20M 30M
KELYB Yearly Total Debt VS Total AssetsKELYB Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B 2.5B

2.2 Solvency

  • An Altman-Z score of 3.04 indicates that KELYB is not in any danger for bankruptcy at the moment.
  • With a decent Altman-Z score value of 3.04, KELYB is doing good in the industry, outperforming 60.67% of the companies in the same industry.
  • KELYB has a debt to FCF ratio of 1.18. This is a very positive value and a sign of high solvency as it would only need 1.18 years to pay back of all of its debts.
  • KELYB has a Debt to FCF ratio of 1.18. This is in the better half of the industry: KELYB outperforms 79.78% of its industry peers.
  • A Debt/Equity ratio of 0.11 indicates that KELYB is not too dependend on debt financing.
  • With a decent Debt to Equity ratio value of 0.11, KELYB is doing good in the industry, outperforming 67.42% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.11
Debt/FCF 1.18
Altman-Z 3.04
ROIC/WACC0.43
WACC8.44%
KELYB Yearly LT Debt VS Equity VS FCFKELYB Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M 1B

2.3 Liquidity

  • A Current Ratio of 1.59 indicates that KELYB should not have too much problems paying its short term obligations.
  • The Current ratio of KELYB (1.59) is comparable to the rest of the industry.
  • KELYB has a Quick Ratio of 1.59. This is a normal value and indicates that KELYB is financially healthy and should not expect problems in meeting its short term obligations.
  • KELYB's Quick ratio of 1.59 is in line compared to the rest of the industry. KELYB outperforms 57.30% of its industry peers.
Industry RankSector Rank
Current Ratio 1.59
Quick Ratio 1.59
KELYB Yearly Current Assets VS Current LiabilitesKELYB Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B

2

3. Growth

3.1 Past

  • KELYB shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -19.92%.
  • KELYB shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 1.26% yearly.
  • The Revenue has been growing slightly by 0.46% in the past year.
  • The Revenue has been decreasing by -4.15% on average over the past years.
EPS 1Y (TTM)-19.92%
EPS 3Y15.06%
EPS 5Y1.26%
EPS Q2Q%-14.29%
Revenue 1Y (TTM)0.46%
Revenue growth 3Y-4.09%
Revenue growth 5Y-4.15%
Sales Q2Q%-9.93%

3.2 Future

  • KELYB is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -0.50% yearly.
  • Based on estimates for the next years, KELYB will show a small growth in Revenue. The Revenue will grow by 1.04% on average per year.
EPS Next Y-29.8%
EPS Next 2Y-11.66%
EPS Next 3Y-0.5%
EPS Next 5YN/A
Revenue Next Year-1.27%
Revenue Next 2Y-1.23%
Revenue Next 3Y1.04%
Revenue Next 5YN/A

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
KELYB Yearly Revenue VS EstimatesKELYB Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 1B 2B 3B 4B 5B
KELYB Yearly EPS VS EstimatesKELYB Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 0.5 1 1.5 2

7

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 7.13, which indicates a rather cheap valuation of KELYB.
  • KELYB's Price/Earnings ratio is rather cheap when compared to the industry. KELYB is cheaper than 89.89% of the companies in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 28.32, KELYB is valued rather cheaply.
  • Based on the Price/Forward Earnings ratio of 7.67, the valuation of KELYB can be described as very cheap.
  • Based on the Price/Forward Earnings ratio, KELYB is valued cheaper than 91.01% of the companies in the same industry.
  • When comparing the Price/Forward Earnings ratio of KELYB to the average of the S&P500 Index (25.57), we can say KELYB is valued rather cheaply.
Industry RankSector Rank
PE 7.13
Fwd PE 7.67
KELYB Price Earnings VS Forward Price EarningsKELYB Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, KELYB is valued cheaply inside the industry as 92.13% of the companies are valued more expensively.
  • Based on the Price/Free Cash Flow ratio, KELYB is valued cheaper than 95.51% of the companies in the same industry.
Industry RankSector Rank
P/FCF 4.85
EV/EBITDA 4.94
KELYB Per share dataKELYB EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80 100

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)5.64
EPS Next 2Y-11.66%
EPS Next 3Y-0.5%

5

5. Dividend

5.1 Amount

  • KELYB has a Yearly Dividend Yield of 2.91%. Purely for dividend investing, there may be better candidates out there.
  • KELYB's Dividend Yield is rather good when compared to the industry average which is at 1.47. KELYB pays more dividend than 88.76% of the companies in the same industry.
  • KELYB's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.
Industry RankSector Rank
Dividend Yield 2.91%

5.2 History

  • The dividend of KELYB has a limited annual growth rate of 2.03%.
  • KELYB has paid a dividend for at least 10 years, which is a reliable track record.
  • KELYB has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)2.03%
Div Incr Years0
Div Non Decr Years4
KELYB Yearly Dividends per shareKELYB Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.1 0.2 0.3

5.3 Sustainability

  • KELYB has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-7%
EPS Next 2Y-11.66%
EPS Next 3Y-0.5%
KELYB Yearly Income VS Free CF VS DividendKELYB Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50M -50M 100M 150M

KELLY SERVICES INC -CL B / KELYB FAQ

Can you provide the ChartMill fundamental rating for KELLY SERVICES INC -CL B?

ChartMill assigns a fundamental rating of 4 / 10 to KELYB.


Can you provide the valuation status for KELLY SERVICES INC -CL B?

ChartMill assigns a valuation rating of 7 / 10 to KELLY SERVICES INC -CL B (KELYB). This can be considered as Undervalued.


What is the profitability of KELYB stock?

KELLY SERVICES INC -CL B (KELYB) has a profitability rating of 3 / 10.


What are the PE and PB ratios of KELLY SERVICES INC -CL B (KELYB) stock?

The Price/Earnings (PE) ratio for KELLY SERVICES INC -CL B (KELYB) is 7.13 and the Price/Book (PB) ratio is 0.44.


What is the financial health of KELLY SERVICES INC -CL B (KELYB) stock?

The financial health rating of KELLY SERVICES INC -CL B (KELYB) is 6 / 10.