Robert Half International (RHI) has reached a new 52-week low, with shares trading at $57.57. This marks a significant downturn for the company, which has seen its stock price steadily decline over the past year. The 52-week low of $57.57 is a stark contrast to previous performance, indicating a challenging period for the firm. Over the past year, Robert Half International has experienced a negative change of -14.07% in its stock value. This downward trend reflects the struggles the company has faced in a volatile market, and it remains to be seen how it will navigate the coming months.
In other recent news, Robert Half International Inc (NYSE:RHI). reported a 10% decline in revenues to $1.473 billion and a drop in net income per share from $1 to $0.66 for the second quarter of 2024. BMO Capital Markets, Truist Securities, and Jefferies have all adjusted their outlooks on Robert Half in response to these results. BMO Capital Markets lowered the price target from $72.00 to $64.00, Truist Securities reduced its price target from $72.00 to $62.00, and Jefferies cut its shares target to $56 from $60.
The revisions followed Robert Half's report of a quarter that did not meet consensus expectations, with a steeper decline in Talent Solutions revenue than anticipated. Despite a challenging quarter, Robert Half's Protiviti division showed marked sequential improvement across all its major business lines.
Looking forward, the third-quarter outlook for 2024 provided by Robert Half was also below consensus estimates, which includes an anticipated $0.08 restructuring charge due to transitioning Protiviti's Mainland China operations to an independently owned Member Firm. Despite the downturn, Robert Half's management remains optimistic about Protiviti's strong prospects in the internal audit for large financial institutions. These are the recent developments for Robert Half International Inc.
InvestingPro Insights
Amidst the backdrop of Robert Half International (RHI) reaching a new 52-week low, certain metrics and expert insights can provide a broader context for investors considering the company's prospects. The company's market capitalization stands at $6.69 billion, with a Price to Earnings (P/E) ratio of 21.52, which adjusts to 18.95 when looking at the last twelve months as of Q1 2024. This suggests a valuation that takes into account the earnings power of the company relative to its share price. Additionally, RHI's Price to Book ratio during the same period is 4.4, which could indicate that the market is assigning a higher value to the company than what is represented by the book value of its assets.
Investors may also find encouragement in some of the InvestingPro Tips for RHI. The company holds more cash than debt on its balance sheet and has impressively raised its dividend for 20 consecutive years. These factors may signal financial stability and a shareholder-friendly approach. Moreover, RHI's management has been actively buying back shares, a move often interpreted as confidence in the company's value. For those looking to delve deeper into the company's performance and future, there are an additional 10 InvestingPro Tips available, providing a comprehensive analysis for informed decision-making. Use coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription, where these insights can be further explored.
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