Kelly Services (NASDAQ:KELYA) Sets New 52-Week High on Better-Than-Expected Earnings

Kelly Services, Inc. (NASDAQ:KELYA)’s share price hit a new 52-week high during trading on Thursday following a better than expected earnings announcement. The stock traded as high as $16.67 and last traded at $17.2630, with a volume of 2435 shares changing hands. The stock had previously closed at $15.22.

The business services provider reported $0.37 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.18 by $0.19. The company had revenue of $1.04 billion during the quarter, compared to analysts’ expectations of $1.01 billion. Kelly Services had a negative net margin of 6.73% and a positive return on equity of 2.69%. During the same quarter in the previous year, the company posted $0.52 earnings per share.

Kelly Services Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 2nd. Shareholders of record on Wednesday, August 19th will be given a $0.075 dividend. The ex-dividend date is Wednesday, August 19th. This represents a $0.30 annualized dividend and a yield of 2.0%. Kelly Services’s payout ratio is presently -3.95%.

Key Kelly Services News

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

• Positive Sentiment: Second-quarter results exceeded expectations. Kelly reported adjusted earnings of $0.37 per share, above analyst estimates ranging from $0.18 to $0.24, while revenue of $1.04 billion surpassed the $1.01 billion consensus. The earnings beat provides a positive catalyst for the stock. Kelly Services Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: Kelly maintained its quarterly dividend. Shareholders of record on August 19 will receive $0.075 per share on September 2, equivalent to $0.30 annually and a yield of approximately 1.9%. The dividend supports the stock’s income appeal.
• Neutral Sentiment: Management issued third-quarter revenue guidance of $916.3 million to $935.0 million. The midpoint of approximately $925.7 million is close to, but slightly below, the $929.3 million analyst consensus, suggesting broadly stable expectations but limited near-term upside from revenue growth.
• Negative Sentiment: Profitability weakened compared with last year. Second-quarter EPS declined from $0.52 in the prior-year period to $0.37, despite the estimate beat. Kelly also continued to report a negative net margin, which may be weighing on investor sentiment and offsetting the headline earnings surprise. Kelly Reports Second-Quarter 2026 Earnings

Analyst Ratings Changes

A number of brokerages have recently weighed in on KELYA. Zacks Research upgraded Kelly Services from a “strong sell” rating to a “hold” rating in a research note on Monday, April 20th. Barrington Research reiterated an “outperform” rating on shares of Kelly Services in a research report on Monday, June 29th. Finally, Weiss Ratings lowered shares of Kelly Services from a “sell (d)” rating to a “sell (d-)” rating in a report on Monday, May 11th. Two research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, Kelly Services has a consensus rating of “Hold” and an average price target of $15.00.

Insider Buying and Selling

In other Kelly Services news, EVP Vanessa Peterson Williams sold 29,999 shares of the company’s stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $9.78, for a total transaction of $293,390.22. Following the transaction, the executive vice president directly owned 82,355 shares in the company, valued at approximately $805,431.90. This represents a 26.70% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. 5.40% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in KELYA. Marquette Asset Management LLC bought a new stake in Kelly Services in the second quarter valued at about $318,000. GAMMA Investing LLC boosted its holdings in Kelly Services by 19.9% during the second quarter. GAMMA Investing LLC now owns 6,153 shares of the business services provider’s stock worth $76,000 after buying an additional 1,023 shares during the last quarter. Versant Capital Management Inc grew its position in shares of Kelly Services by 47.0% during the 2nd quarter. Versant Capital Management Inc now owns 7,351 shares of the business services provider’s stock worth $90,000 after buying an additional 2,351 shares during the period. Empowered Funds LLC raised its position in shares of Kelly Services by 20.8% in the 1st quarter. Empowered Funds LLC now owns 155,590 shares of the business services provider’s stock valued at $1,377,000 after acquiring an additional 26,832 shares during the period. Finally, Quantinno Capital Management LP boosted its stake in Kelly Services by 34.5% during the 1st quarter. Quantinno Capital Management LP now owns 189,010 shares of the business services provider’s stock worth $1,673,000 after acquiring an additional 48,431 shares during the last quarter. 76.34% of the stock is currently owned by institutional investors.

Kelly Services Price Performance

The company’s 50 day simple moving average is $13.37 and its 200 day simple moving average is $10.94. The company has a debt-to-equity ratio of 0.08, a current ratio of 1.50 and a quick ratio of 1.59. The stock has a market cap of $526.64 million, a P/E ratio of -1.94, a P/E/G ratio of 1.19 and a beta of 0.83.

About Kelly Services

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.