Kelly Services (NASDAQ:KELYA) Downgraded by Zacks Research to “Strong Sell”

Zacks Research downgraded shares of Kelly Services (NASDAQ:KELYA) from a hold rating to a strong sell rating in a research note issued to investors on Monday,Zacks reports.

Several other analysts also recently issued reports on KELYA. Wall Street Zen raised shares of Kelly Services from a “hold” rating to a “buy” rating in a report on Saturday, October 10th. Barrington Research raised their price objective on shares of Kelly Services from $15.00 to $20.00 and gave the stock an “outperform” rating in a research note on Monday, August 10th. Finally, Weiss Ratings upgraded Kelly Services from a “sell (d)” rating to a “sell (d+)” rating in a research report on Wednesday, November 4th. One equities research analyst has rated the stock with a Buy rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Reduce” and an average target price of $20.00.

Kelly Services Trading Up 3.1%

NASDAQ:KELYA opened at $14.04 on Monday. The company has a market capitalization of $487.61 million, a PE ratio of -3.90, a price-to-earnings-growth ratio of 1.01 and a beta of 0.93. The company has a quick ratio of 1.55, a current ratio of 1.55 and a debt-to-equity ratio of 0.12. Kelly Services has a 52-week low of $7.98 and a 52-week high of $17.75. The stock has a fifty day simple moving average of $16.02 and a 200-day simple moving average of $12.68.

Kelly Services (NASDAQ:KELYA) last issued its quarterly earnings data on Thursday, November 5th. The business services provider reported $0.07 EPS for the quarter, meeting analysts’ consensus estimates of $0.07. Kelly Services had a negative net margin of 3.08% and a positive return on equity of 2.36%. The firm had revenue of $927.20 million for the quarter, compared to analysts’ expectations of $925.87 million. On average, equities research analysts expect that Kelly Services will post 1.04 earnings per share for the current fiscal year.

Kelly Services Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, December 2nd. Investors of record on Wednesday, November 18th will be given a dividend of $0.0750 per share. This represents a $0.30 dividend on an annualized basis and a yield of 2.1%. The ex-dividend date is Wednesday, November 18th. Kelly Services’s dividend payout ratio (DPR) is currently -8.33%.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the company. Signaturefd LLC lifted its holdings in Kelly Services by 165.4% in the 3rd quarter. Signaturefd LLC now owns 1,754 shares of the business services provider’s stock valued at $28,000 after purchasing an additional 1,093 shares in the last quarter. USA Financial Formulas purchased a new stake in shares of Kelly Services during the third quarter worth about $41,000. Integrated Wealth Concepts LLC purchased a new stake in shares of Kelly Services during the second quarter worth about $45,000. GAMMA Investing LLC raised its position in shares of Kelly Services by 19.9% in the second quarter. GAMMA Investing LLC now owns 6,153 shares of the business services provider’s stock valued at $76,000 after buying an additional 1,023 shares during the last quarter. Finally, Crescent Grove Advisors LLC acquired a new position in shares of Kelly Services in the first quarter valued at approximately $88,000. Institutional investors and hedge funds own 76.34% of the company’s stock.

Trending Headlines about Kelly Services

Here are the key news stories impacting Kelly Services this week:

• Negative Sentiment: Analysts cut forecasts: Noble Financial lowered its FY2026 EPS estimate to $1.08 from $1.21 and FY2027 to $1.72 from $2.07. Sidoti reduced FY2027 EPS to $1.56 from $1.87, and cut its Q3 2027 estimate to $0.29 from $0.45. Both firms also lowered Q4 2026 estimates: Sidoti to $0.42 from $0.63 and Noble to $0.59 from $0.65. These revisions signal softer profit expectations and are the clearest potential source of downward pressure on KELYA shares.
• Neutral Sentiment: Short-interest report is unclear: A report described a significant increase in short interest but listed total short interest as zero shares, making the data internally inconsistent and difficult to interpret.

About Kelly Services

Kelly Services is a workforce solutions and staffing company that connects employers with workers across a range of professional and industrial fields. Its services include temporary and contract staffing, direct-hire recruitment, workforce management and related consulting and outsourcing solutions. The company serves organizations in areas such as science and engineering, education, technology, finance, and office and industrial operations. Its offerings are designed to help employers recruit talent and manage workforce needs, while providing job seekers with access to temporary, contract and permanent opportunities.