Kelly Services (NASDAQ:KELYA) Shares Gap Up Following Earnings Beat

Kelly Services, Inc. (NASDAQ:KELYA)’s share price gapped up before the market opened on Thursday after the company announced better than expected quarterly earnings. The stock had previously closed at $13.29, but opened at $15.02. Kelly Services shares last traded at $14.13, with a volume of 299,889 shares.

The business services provider reported $0.82 EPS for the quarter, topping analysts’ consensus estimates of $0.44 by $0.38. Kelly Services had a return on equity of 6.93% and a net margin of 0.97%.

Kelly Services Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, March 12th. Stockholders of record on Wednesday, February 26th will be given a dividend of $0.075 per share. This represents a $0.30 annualized dividend and a dividend yield of 2.12%. The ex-dividend date is Wednesday, February 26th. Kelly Services’s dividend payout ratio (DPR) is presently 26.09%.

Analyst Upgrades and Downgrades

Separately, Barrington Research reaffirmed an “outperform” rating and set a $25.00 price target on shares of Kelly Services in a research report on Wednesday.

Insiders Place Their Bets

In related news, SVP Daniel H. Malan acquired 3,500 shares of the company’s stock in a transaction dated Wednesday, November 20th. The shares were purchased at an average price of $13.88 per share, for a total transaction of $48,580.00. Following the completion of the acquisition, the senior vice president now owns 95,906 shares of the company’s stock, valued at approximately $1,331,175.28. This trade represents a 3.79 % increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. 3.90% of the stock is currently owned by corporate insiders.

Institutional Trading of Kelly Services

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Barclays PLC lifted its stake in shares of Kelly Services by 238.0% in the third quarter. Barclays PLC now owns 63,638 shares of the business services provider’s stock valued at $1,362,000 after buying an additional 44,811 shares in the last quarter. Geode Capital Management LLC lifted its position in Kelly Services by 1.2% in the 3rd quarter. Geode Capital Management LLC now owns 781,661 shares of the business services provider’s stock valued at $16,739,000 after acquiring an additional 9,635 shares in the last quarter. Allspring Global Investments Holdings LLC boosted its stake in Kelly Services by 1,730.6% during the 3rd quarter. Allspring Global Investments Holdings LLC now owns 234,057 shares of the business services provider’s stock valued at $5,011,000 after purchasing an additional 221,271 shares during the last quarter. Segall Bryant & Hamill LLC bought a new stake in Kelly Services during the 3rd quarter worth approximately $2,122,000. Finally, Franklin Resources Inc. lifted its holdings in shares of Kelly Services by 9.3% in the third quarter. Franklin Resources Inc. now owns 22,362 shares of the business services provider’s stock valued at $456,000 after purchasing an additional 1,905 shares in the last quarter. 76.34% of the stock is owned by institutional investors.

Kelly Services Stock Performance

The company has a 50-day moving average of $13.81 and a 200-day moving average of $17.41. The company has a market cap of $503.53 million, a PE ratio of 12.30, a PEG ratio of 0.40 and a beta of 1.11. The company has a quick ratio of 1.61, a current ratio of 1.61 and a debt-to-equity ratio of 0.18.

Kelly Services Company Profile

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.