HireQuest (NASDAQ:HQI) Releases Quarterly Earnings Results, Beats Expectations By $0.10 EPS

HireQuest (NASDAQ:HQI) announced its earnings results on Monday. The company reported $0.23 EPS for the quarter, beating the consensus estimate of $0.13 by $0.10, FiscalAI reports. The business had revenue of $8.10 million for the quarter, compared to the consensus estimate of $7.10 million. HireQuest had a return on equity of 16.41% and a net margin of 27.06%.

Here are the key takeaways from HireQuest’s conference call:

• Revenue and profitability improved: Q2 revenue rose 6% year over year to $8.1 million, or 16.6% on a pro forma basis excluding divested MRINetwork assets. Net income increased to $2.7 million, while adjusted EBITDA grew to $4.6 million from $3.3 million.
• Management said demand strengthened through the quarter, with ongoing operations running 12%–13% above prior-year levels in some late-Q2 weeks. The company said this growth has held through the first six weeks of Q3, although it does not provide formal guidance.
• Growth is being supported by manufacturing activity, labor-supply changes tied to immigration policy, and renewed investment in national accounts. HireQuest highlighted strong Snelling performance, opportunities from reshoring projects, and a recruiting app that enables it to pursue accounts outside its branch footprint.
• Operating leverage is returning as revenue scales, with core SG&A declining to $3.8 million from $4.7 million a year earlier. Management also emphasized its debt-free balance sheet, $41 million of credit-facility availability, and expectation of continuing its quarterly dividend.
• Executives remain cautious about the longer-term outlook, noting that staffing demand is still below prior levels and remains dependent on the broader economy, immigration trends, interest rates, and political conditions. They said visibility is favorable for the balance of 2026 but declined to forecast Q4 or 2027.

HireQuest Trading Up 26.7%

HireQuest stock opened at $17.19 on Wednesday. The stock has a market cap of $238.94 million, a P/E ratio of 30.16 and a beta of 1.11. The stock has a 50 day moving average of $12.99 and a 200-day moving average of $11.82. HireQuest has a 52 week low of $7.38 and a 52 week high of $19.00.

Institutional Trading of HireQuest

Several institutional investors have recently added to or reduced their stakes in the stock. Wells Fargo & Company MN grew its holdings in HireQuest by 47.2% during the 4th quarter. Wells Fargo & Company MN now owns 6,333 shares of the company’s stock worth $67,000 after acquiring an additional 2,031 shares in the last quarter. Renaissance Technologies LLC bought a new position in shares of HireQuest during the fourth quarter worth about $112,000. Deutsche Bank AG grew its stake in HireQuest by 158.0% in the fourth quarter. Deutsche Bank AG now owns 10,945 shares of the company’s stock worth $115,000 after purchasing an additional 6,702 shares in the last quarter. Russell Investments Group Ltd. increased its holdings in HireQuest by 67.8% in the second quarter. Russell Investments Group Ltd. now owns 26,303 shares of the company’s stock valued at $263,000 after buying an additional 10,627 shares during the last quarter. Finally, State Street Corp raised its stake in HireQuest by 1.9% during the fourth quarter. State Street Corp now owns 76,866 shares of the company’s stock valued at $808,000 after buying an additional 1,451 shares in the last quarter. 12.00% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of research analysts have recently commented on HQI shares. Barrington Research boosted their target price on shares of HireQuest from $13.00 to $15.00 and gave the stock an “outperform” rating in a research report on Monday, May 18th. Weiss Ratings upgraded shares of HireQuest from a “hold (c-)” rating to a “hold (c)” rating in a report on Monday, July 13th. Finally, DA Davidson upped their price objective on shares of HireQuest from $15.00 to $19.00 and gave the company a “buy” rating in a research report on Tuesday. Two analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $17.00.

HireQuest Company Profile

HireQuest, Inc is a publicly traded holding company that provides equipment rental and workforce solutions across North America through two primary operating subsidiaries. Its Coast Equipment Rentals division offers a broad range of support equipment—such as pumps, trench safety systems, power and HVAC units, air compressors, light towers and generators—to the construction, industrial, municipal and environmental markets. Coast Equipment Rentals operates more than 135 branch locations in 36 U.S.