12.9999 USD
0 (0%)
Taking everything into account, KELYB scores 5 out of 10 in our fundamental rating. KELYB was compared to 87 industry peers in the Professional Services industry. No worries on liquidiy or solvency for KELYB as it has an excellent financial health rating, but there are worries on the profitability. KELYB is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year KELYB was profitable.
- In the past year KELYB had a positive cash flow from operations.
- In multiple years KELYB reported negative net income over the last 5 years.
- Of the past 5 years KELYB 4 years had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of -6.56%, KELYB is doing worse than 71.59% of the companies in the same industry.
- Looking at the Return On Equity, with a value of -14.09%, KELYB is doing worse than 69.32% of the companies in the same industry.
- KELYB has a Return On Invested Capital (3.62%) which is comparable to the rest of the industry.
- Measured over the past 3 years, the Average Return On Invested Capital for KELYB is significantly below the industry average of 11.85%.
- The last Return On Invested Capital (3.62%) for KELYB is above the 3 year average (3.33%), which is a sign of increasing profitability.
| Industry Rank | Sector 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%
1.3 Margins
- With a Operating Margin value of 1.65%, KELYB perfoms like the industry average, outperforming 43.18% of the companies in the same industry.
- In the last couple of years the Operating Margin of KELYB has remained more or less at the same level.
- KELYB's Gross Margin of 20.43% is on the low side compared to the rest of the industry. KELYB is outperformed by 71.59% of its industry peers.
- In the last couple of years the Gross Margin of KELYB has grown nicely.
| Industry Rank | Sector 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%
2. Health
2.1 Basic Checks
- KELYB has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- KELYB has less shares outstanding than it did 1 year ago.
- KELYB has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, KELYB has a worse debt to assets ratio.
2.2 Solvency
- KELYB has an Altman-Z score of 3.03. This indicates that KELYB is financially healthy and has little risk of bankruptcy at the moment.
- KELYB has a Altman-Z score of 3.03. This is in the better half of the industry: KELYB outperforms 60.23% of its industry peers.
- 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.
- The Debt to FCF ratio of KELYB (1.18) is better than 80.68% of its industry peers.
- KELYB has a Debt/Equity ratio of 0.11. This is a healthy value indicating a solid balance between debt and equity.
- The Debt to Equity ratio of KELYB (0.11) is better than 67.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 1.18 | ||
| Altman-Z | 3.03 |
ROIC/WACC0.43
WACC8.51%
2.3 Liquidity
- A Current Ratio of 1.59 indicates that KELYB should not have too much problems paying its short term obligations.
- KELYB's Current ratio of 1.59 is in line compared to the rest of the industry. KELYB outperforms 56.82% of its industry peers.
- 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 has a Quick ratio (1.59) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.59 | ||
| Quick Ratio | 1.59 |
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.
- KELYB shows a small growth in Revenue. In the last year, the Revenue has grown by 0.46%.
- Measured over the past years, KELYB shows a decrease in Revenue. The Revenue has been decreasing by -4.15% on average per year.
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
- The Earnings Per Share is expected to decrease by -0.50% on average over the next years.
- 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
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- KELYB is valuated cheaply with a Price/Earnings ratio of 6.74.
- Based on the Price/Earnings ratio, KELYB is valued cheaply inside the industry as 89.77% of the companies are valued more expensively.
- The average S&P500 Price/Earnings ratio is at 27.21. KELYB is valued rather cheaply when compared to this.
- The Price/Forward Earnings ratio is 7.24, which indicates a rather cheap valuation of KELYB.
- KELYB's Price/Forward Earnings ratio is rather cheap when compared to the industry. KELYB is cheaper than 90.91% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of KELYB to the average of the S&P500 Index (25.98), we can say KELYB is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.74 | ||
| Fwd PE | 7.24 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of KELYB indicates a rather cheap valuation: KELYB is cheaper than 92.05% of the companies listed in the same industry.
- Based on the Price/Free Cash Flow ratio, KELYB is valued cheaper than 95.45% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.59 | ||
| EV/EBITDA | 4.71 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)5.33
EPS Next 2Y-11.66%
EPS Next 3Y-0.5%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.89%, KELYB has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.44, KELYB pays a better dividend. On top of this KELYB pays more dividend than 89.77% of the companies listed in the same industry.
- KELYB's Dividend Yield is rather good when compared to the S&P500 average which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.89% |
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
5.3 Sustainability
- The earnings of KELYB are negative and hence is the payout ratio. KELYB will probably not be able to sustain this dividend level.
DP-7%
EPS Next 2Y-11.66%
EPS Next 3Y-0.5%
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 5 / 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 6.74 and the Price/Book (PB) ratio is 0.41.
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 7 / 10.