Why Robert Half International Stock Soared Today

What happened

Some investors may think Robert Half International (NYSE: RHI) is in a boring business. But the stock of the staff consulting firm has been far from boring today, jumping more than 13% Friday morning. Shares pared some of those gains but remained higher by about 8% as of 1:50 p.m. EDT.

So what

Robert Half reported record quarterly sales and earnings yesterday, which president and CEO M. Keith Waddell attributed to "a broad-based, global acceleration in demand for our staffing and business consulting services." The company's Protiviti subsidiary marked its 15th consecutive quarter of increasing revenue with what the company called "very strong growth" in all of its focus areas.

Consultant making a presentation to a group of employees.

Image source: Getty Images.

Now what

Robert Half reported earnings of $1.33 per share on revenue of $1.581 billion. The earnings compare to analyst expectations of $1.05 per share, and revenue also bested analyst estimates by 6.5%. With today's move, Robert Half stock is up about 50% year to date and almost 75% over the last 12 months.

The company's staffing business excelled domestically as well as globally. In its second-quarter earnings conference call, Robert Half CFO Michael Buckley reported that U.S. staffing revenue jumped 34%, and international staffing revenue grew 31% compared to the prior-year period.

Investors bidding up shares today likely also focused on management's guidance going forward. The company expects third-quarter results to be new quarterly records based on the midpoint of its revenue and earnings-per-share ranges. Shareholders probably find that anything but boring.

10 stocks we like better than Robert Half International
When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*

They just revealed what they believe are the ten best stocks for investors to buy right now... and Robert Half International wasn't one of them! That's right -- they think these 10 stocks are even better buys.

See the 10 stocks

*Stock Advisor returns as of June 7, 2021

Howard Smith has no position in any of the stocks mentioned. The Motley Fool recommends Robert Half International. The Motley Fool has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

In This Story


Latest Markets Videos

    The Motley Fool

    Founded in 1993 in Alexandria, VA., by brothers David and Tom Gardner, The Motley Fool is a multimedia financial-services company dedicated to building the world's greatest investment community. Reaching millions of people each month through its website, books, newspaper column, radio show, television appearances, and subscription newsletter services, The Motley Fool champions shareholder values and advocates tirelessly for the individual investor. The company's name was taken from Shakespeare, whose wise fools both instructed and amused, and could speak the truth to the king -- without getting their heads lopped off.

    Learn More