Kelly Services (NASDAQ:KELYA) Rating Lowered to Strong Sell at Zacks Research

Kelly Services (NASDAQ:KELYA) was downgraded by research analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a report released on Wednesday,Zacks.com reports.

A number of other research analysts also recently issued reports on KELYA. Barrington Research dropped their price target on Kelly Services from $16.00 to $15.00 and set an “outperform” rating on the stock in a research note on Friday, February 13th. Wall Street Zen lowered shares of Kelly Services from a “hold” rating to a “sell” rating in a research report on Saturday, February 14th. Finally, Weiss Ratings reaffirmed a “sell (d)” rating on shares of Kelly Services in a report on Thursday, January 22nd. Two research analysts have rated the stock with a Buy rating and two have issued a Sell rating to the company. According to data from MarketBeat, the company presently has an average rating of “Hold” and an average price target of $15.00.

Kelly Services Stock Down 0.4%

Shares of KELYA traded down $0.04 during midday trading on Wednesday, hitting $9.61. The company had a trading volume of 79,755 shares, compared to its average volume of 559,990. Kelly Services has a 1 year low of $7.98 and a 1 year high of $14.94. The firm has a market capitalization of $339.61 million, a P/E ratio of -1.32, a P/E/G ratio of 0.72 and a beta of 0.79. The company has a debt-to-equity ratio of 0.10, a quick ratio of 1.54 and a current ratio of 1.54. The company’s 50-day simple moving average is $9.63 and its 200-day simple moving average is $11.13.

Kelly Services (NASDAQ:KELYA) last announced its quarterly earnings results on Thursday, February 12th. The business services provider reported $0.16 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.45 by ($0.29). The business had revenue of $1.05 billion for the quarter, compared to analysts’ expectations of $1.03 billion. Kelly Services had a positive return on equity of 4.05% and a negative net margin of 5.98%. As a group, sell-side analysts expect that Kelly Services will post 2.45 EPS for the current year.

Hedge Funds Weigh In On Kelly Services

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Quarry LP increased its stake in shares of Kelly Services by 173.2% during the 3rd quarter. Quarry LP now owns 1,970 shares of the business services provider’s stock worth $26,000 after purchasing an additional 1,249 shares during the last quarter. Versant Capital Management Inc increased its position in Kelly Services by 52.0% during the third quarter. Versant Capital Management Inc now owns 3,006 shares of the business services provider’s stock worth $39,000 after buying an additional 1,028 shares during the last quarter. GAMMA Investing LLC raised its holdings in Kelly Services by 175.4% during the third quarter. GAMMA Investing LLC now owns 3,385 shares of the business services provider’s stock valued at $44,000 after buying an additional 2,156 shares in the last quarter. CANADA LIFE ASSURANCE Co acquired a new stake in shares of Kelly Services in the fourth quarter worth about $30,000. Finally, Tower Research Capital LLC TRC boosted its stake in shares of Kelly Services by 83.5% during the 2nd quarter. Tower Research Capital LLC TRC now owns 4,324 shares of the business services provider’s stock worth $51,000 after acquiring an additional 1,967 shares in the last quarter. Institutional investors own 76.34% of the company’s stock.

More Kelly Services News

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

• Positive Sentiment: Director insider purchase — Director James Christopher Hunt bought 1,000 shares at ~$9.58, increasing his stake ~20%. Insider buying often signals confidence from management and can provide short-term support for the share price. SEC Form 4
• Neutral Sentiment: Noble Financial published updated quarterly and multi‑year EPS forecasts (Q2–Q4 2026, FY2026, FY2027). These give investors updated modeling assumptions but are mixed in implication (near‑term weakness vs. stronger FY2027). Noble estimates (MarketBeat)
• Neutral Sentiment: Media commentary on the company’s Q1/Q4 results was circulated (analyst notes/coverage). These pieces provide context but do not change fundamentals by themselves. AmericanBankingNews: Noble comments
• Neutral Sentiment: Short‑interest report appears unreliable/zero in the posted feed (shows 0 shares and NaN). With that data ambiguous, it’s not a clear near‑term driver. (Treat short‑interest signal with caution.)
• Negative Sentiment: Zacks Research downgraded KELYA from “Hold” to “Strong Sell.” A downgrade from a recognized research house can weigh on sentiment and trigger selling by funds that follow Zacks screens. Zacks downgrade
• Negative Sentiment: Noble Financial cut FY2026 EPS estimates sharply (from $1.83 to $1.36), signaling weaker near‑term profitability versus prior expectations — a material negative for valuation and investor confidence. Noble estimate cut (MarketBeat)

Kelly Services Company Profile

Kelly Services, Inc is a global workforce solutions provider specializing in talent acquisition and staffing services across a wide range of industries. The company offers temporary staffing, permanent placement, outsourcing solutions, and consulting services to help organizations address their workforce needs. Its service offerings are designed to support clients in areas such as administrative support, information technology, engineering, science, education, healthcare, and industrial sectors.

Founded in 1946 by William Russell Kelly, Kelly Services has grown from a small local staffing firm into an international organization.