Barrett Business Services, Inc. (BBSI) vs Insperity, Inc. (NSP)

Barrett Business Services, Inc. and Insperity, Inc. are both Staffing & Employment Services companies. Insperity, Inc. is the larger, with a market value of $1.9B against $783.8M — 2.5× the size. Insperity, Inc. has negative trailing earnings, so its P/E is not meaningful; Barrett Business Services, Inc. trades at 23.4×. Barrett Business Services, Inc. grew revenue faster over the last twelve months: 5.59% against 2.64%. Barrett Business Services, Inc. has the higher net margin (2.77% vs −0.23%) and the higher return on invested capital (24.0% vs 0.00%). Both pay a dividend; Insperity, Inc. yields more (4.67% vs 0.98%). Across the 22 metrics below, Barrett Business Services, Inc. leads on 14 and Insperity, Inc. on 8.

Valuation

Metric BBSI NSP Staffing & Employment Services median
P/E 23.42 n/m 23.42
P/S 0.63 0.28 0.36
P/B 3.89 32.01 1.01
Price to free cash flow 51.05 10.06 16.25
EV/EBITDA 13.43 40.77 9.41
EV/Sales 0.65 0.24 0.40
Earnings yield 4.27% (0.84%) 1.15%
Free cash flow yield 1.96% 9.94% 2.73%

Profitability

Metric BBSI NSP Staffing & Employment Services median
Gross margin 19.98% 12.89% 23.11%
Operating margin 4.13% (0.04%) 0.08%
Net margin 2.77% (0.23%) 0.27%
Free cash flow margin 1.23% 2.82% 1.23%
Return on equity 16.33% (18.50%) 2.31%
Return on assets 4.92% (0.75%) 0.00%
Return on invested capital 24.03% 0.00% 0.00%

Growth

Metric BBSI NSP Staffing & Employment Services median
Revenue growth (TTM) 5.59% 2.64% 0.69%
EPS growth (last fiscal year) 5.05% (107.85%) (27.86%)
Revenue growth, 5-year CAGR 7.08% 9.70% 2.59%
Net income growth, 5-year CAGR 10.03% 0.00% 0.00%

Health

Metric BBSI NSP Staffing & Employment Services median
Debt to equity 0.00 6.87 0.08
Current ratio 1.14 1.11 1.50
Net debt to EBITDA (2.23) (10.66) (0.22)

Dividend

Metric BBSI NSP Staffing & Employment Services median
Dividend yield 0.98% 4.67% 2.46%
Payout ratio 0.24 — 0.42

Size

Metric BBSI NSP Staffing & Employment Services median
Market cap 783.76m 1.94b 558.08m

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