Kforce, Inc. (KFRC) vs ManpowerGroup Inc. (MAN)

Kforce, Inc. and ManpowerGroup Inc. are both Staffing & Employment Services companies. ManpowerGroup Inc. is the larger, with a market value of $2.7B against $919.6M — 2.9× the size. Kforce, Inc. trades at the lower P/E: 24.3× against 25.7×. ManpowerGroup Inc. grew revenue faster over the last twelve months: 6.72% against −1.26%. Kforce, Inc. has the higher net margin (2.71% vs 0.56%) and the higher return on invested capital (14.7% vs 7.21%). Both pay a dividend; ManpowerGroup Inc. yields more (3.96% vs 2.23%). Across the 23 metrics below, Kforce, Inc. leads on 13 and ManpowerGroup Inc. on 10.

Valuation

Metric KFRC MAN Staffing & Employment Services median
P/E 24.32 25.74 24.32
P/S 0.64 0.14 0.41
P/B 6.99 1.28 1.28
Price to free cash flow 38.31 38.91 18.57
EV/EBITDA 16.36 8.28 10.55
EV/Sales 0.73 0.16 0.40
Earnings yield 4.11% 3.88% 0.99%
Free cash flow yield 2.61% 2.57% 2.79%

Profitability

Metric KFRC MAN Staffing & Employment Services median
Gross margin 27.67% 16.24% 23.11%
Operating margin 4.04% 1.54% 0.08%
Net margin 2.71% 0.56% 0.23%
Free cash flow margin 1.68% 0.37% 1.23%
Return on equity 28.27% 5.08% 2.31%
Return on assets 9.31% 1.23% 0.00%
Return on invested capital 14.73% 7.21% 0.00%

Growth

Metric KFRC MAN Staffing & Employment Services median
Revenue growth (TTM) (1.26%) 6.72% 0.69%
EPS growth (last fiscal year) (26.87%) (109.63%) —
Revenue growth, 5-year CAGR (1.00%) (0.05%) 1.23%
Net income growth, 5-year CAGR (9.08%) 0.00% 0.00%

Health

Metric KFRC MAN Staffing & Employment Services median
Debt to equity 0.87 0.27 0.08
Current ratio 1.93 1.04 1.50
Net debt to EBITDA 1.16 0.77 (0.22)

Dividend

Metric KFRC MAN Staffing & Employment Services median
Dividend yield 2.23% 3.96% 2.16%
Payout ratio 0.41 0.48 0.30

Size

Metric KFRC MAN Staffing & Employment Services median
Market cap 919.63m 2.65b 590.17m

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