Reviewing Kelly Services (NASDAQ:KELYA) and Caldwell Partners International (OTCMKTS:CWLPF)

Caldwell Partners International (OTCMKTS:CWLPF) and Kelly Services (NASDAQ:KELYA) are both industrials companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, earnings, risk, profitability, analyst recommendations, institutional ownership and valuation.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Caldwell Partners International and Kelly Services, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Caldwell Partners International	0	0	0	0	N/A
Kelly Services	0	0	1	0	3.00

Kelly Services has a consensus price target of $29.00, suggesting a potential upside of 37.18%. Given Kelly Services’ higher possible upside, analysts plainly believe Kelly Services is more favorable than Caldwell Partners International.

Dividends

Caldwell Partners International pays an annual dividend of $0.07 per share and has a dividend yield of 9.4%. Kelly Services pays an annual dividend of $0.30 per share and has a dividend yield of 1.4%. Caldwell Partners International pays out 80.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Kelly Services pays out 21.6% of its earnings in the form of a dividend.

Profitability

This table compares Caldwell Partners International and Kelly Services’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Caldwell Partners International	N/A	N/A	N/A
Kelly Services	1.09%	7.82%	3.88%

Institutional & Insider Ownership

8.7% of Caldwell Partners International shares are owned by institutional investors. Comparatively, 76.3% of Kelly Services shares are owned by institutional investors. 3.9% of Kelly Services shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Caldwell Partners International and Kelly Services”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Caldwell Partners International	N/A	N/A	N/A	$0.09	8.58
Kelly Services	$4.84 billion	0.16	$36.40 million	$1.39	15.21

Kelly Services has higher revenue and earnings than Caldwell Partners International. Caldwell Partners International is trading at a lower price-to-earnings ratio than Kelly Services, indicating that it is currently the more affordable of the two stocks.

Summary

Kelly Services beats Caldwell Partners International on 11 of the 12 factors compared between the two stocks.

About Caldwell Partners International

The Caldwell Partners International Inc., together with its subsidiaries, provides candidate research and sourcing services in Canada, the United States, the United Kingdom, and other European countries. The company offers retained executive and board search solutions; professional search; on-demand talent acquisition augmentation solutions; and talent strategy and assessment tools. The company offers its services under the Caldwell and IQTalent brand names. It serves real estate, consumer and commercial banking, academic, non-profit, social enterprise, culture, retail, financial services, industrial, insurance, life science, healthcare, private equity and venture capital, professional services, and technology sectors. The Caldwell Partners International Inc. was founded in 1970 and is headquartered in Toronto, Canada.

About Kelly Services

Kelly Services, Inc., together with its subsidiaries, provides workforce solutions to various industries. The company operates through five segments: Professional & Industrial; Science, Engineering & Technology; Education; Outsourcing & Consulting; and International. The Professional & Industrial segment delivers staffing, outcome-based, and permanent placement services providing administrative, accounting, and finance; light industrial; contact center staffing; and other workforce solutions. The Science, Engineering & Technology segment offers staffing, outcome-based, and permanent placement services in the areas of science and clinical research, engineering, technology, and telecommunications specialties. The Education segment provides staffing, permanent placement, and executive search services to pre-K-12 school districts and education organizations. The Outsourcing & Consulting segment offers managed service provider, recruitment process outsourcing, payroll process outsourcing, and executive coaching programs to customers on a global basis that includes its RocketPower brand. The International segment provides staffing, recruitment process outsourcing, and permanent placement services. The company serves customers in the United States, Canada, Mexico, Puerto Rico, France, Switzerland, Portugal, Russia, Italy, rest of Europe, and the Asia-Pacific region. Kelly Services, Inc. was founded in 1946 and is headquartered in Troy, Michigan.