Kelly Services, Inc. (KELYB) vs ManpowerGroup Inc. (MAN)

Kelly Services, Inc. and ManpowerGroup Inc. are both Staffing & Employment Services companies. ManpowerGroup Inc. is the larger, with a market value of $2.2B against $659.7M — 3.3× the size. Kelly Services, Inc. has negative trailing earnings, so its P/E is not meaningful; ManpowerGroup Inc. trades at 18.5×. ManpowerGroup Inc. grew revenue faster over the last twelve months: 7.25% against −9.63%. ManpowerGroup Inc. has the higher net margin (0.64% vs −6.73%) and the higher return on invested capital (7.67% vs −5.54%). Across the 20 metrics below, ManpowerGroup Inc. leads on 13 and Kelly Services, Inc. on 7.

Valuation

Metric KELYB MAN Staffing & Employment Services median
P/E n/m 18.52 24.18
P/S 0.23 0.12 0.29
P/B 0.94 1.04 1.11
Price to free cash flow 43.00 279.06 22.95
EV/EBITDA 15.91 6.89 12.06
EV/Sales 0.24 0.14 0.34
Earnings yield (29.32%) 5.40% 0.14%
Free cash flow yield 2.33% 0.36% 2.12%

Profitability

Metric KELYB MAN Staffing & Employment Services median
Gross margin 19.67% 16.05% 25.01%
Operating margin (2.26%) 1.60% 0.20%
Net margin (6.73%) 0.64% 0.04%
Free cash flow margin 0.53% 0.04% 0.58%
Return on equity (24.32%) 5.79% 3.45%
Return on assets (11.41%) 1.44% 0.07%
Return on invested capital (5.54%) 7.67% 0.00%

Growth

Metric KELYB MAN Staffing & Employment Services median
Revenue growth (TTM) (9.63%) 7.25% (3.96%)
EPS growth (last fiscal year) (36,100.00%) (109.63%) (21.61%)
Revenue growth, 5-year CAGR (1.20%) (0.05%) 1.03%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric KELYB MAN Staffing & Employment Services median
Debt to equity 0.08 0.26 0.04
Current ratio 1.50 1.05 1.72
Net debt to EBITDA 0.81 0.77 (0.08)

Dividend

Metric KELYB MAN Staffing & Employment Services median
Dividend yield — 3.03% 2.26%
Payout ratio — 0.57 0.50

Size

Metric KELYB MAN Staffing & Employment Services median
Market cap 659.70m 2.15b 453.82m

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