Barrett Business Services, Inc. (BBSI) vs Robert Half Inc. (RHI)

Barrett Business Services, Inc. and Robert Half Inc. are both Staffing & Employment Services companies. Robert Half Inc. is the larger, with a market value of $3.5B against $779.9M — 4.5× the size. Barrett Business Services, Inc. trades at the lower P/E: 22.8× against 29.5×. Barrett Business Services, Inc. grew revenue faster over the last twelve months: 5.59% against −4.95%. Barrett Business Services, Inc. has the higher net margin (2.77% vs 2.17%) and the higher return on invested capital (24.0% vs 0.75%). Both pay a dividend; Robert Half Inc. yields more (6.96% vs 1.01%). Across the 22 metrics below, Barrett Business Services, Inc. leads on 13 and Robert Half Inc. on 9.

Valuation

Metric BBSI RHI Staffing & Employment Services median
P/E 22.82 29.50 23.75
P/S 0.61 0.64 0.36
P/B 3.79 2.81 1.18
Price to free cash flow 49.75 15.77 16.25
EV/EBITDA 13.10 35.42 9.68
EV/Sales 0.63 0.58 0.42
Earnings yield 4.38% 3.39% 1.12%
Free cash flow yield 2.01% 6.34% 2.79%

Profitability

Metric BBSI RHI Staffing & Employment Services median
Gross margin 19.98% 36.80% 23.11%
Operating margin 4.13% 0.20% 0.08%
Net margin 2.77% 2.17% 0.23%
Free cash flow margin 1.23% 4.06% 1.23%
Return on equity 16.33% 9.11% 2.31%
Return on assets 4.92% 4.03% 0.00%
Return on invested capital 24.03% 0.75% 0.00%

Growth

Metric BBSI RHI Staffing & Employment Services median
Revenue growth (TTM) 5.59% (4.95%) 0.69%
EPS growth (last fiscal year) 5.05% (45.49%) (27.86%)
Revenue growth, 5-year CAGR 7.08% 1.03% 2.59%
Net income growth, 5-year CAGR 10.03% (15.37%) 0.00%

Health

Metric BBSI RHI Staffing & Employment Services median
Debt to equity 0.00 0.00 0.08
Current ratio 1.14 1.47 1.50
Net debt to EBITDA (2.23) (2.94) (0.22)

Dividend

Metric BBSI RHI Staffing & Employment Services median
Dividend yield 1.01% 6.96% 2.32%
Payout ratio 0.24 2.05 0.42

Size

Metric BBSI RHI Staffing & Employment Services median
Market cap 779.89m 3.49b 582.70m

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