Analyst action and rating
Truist Securities raised its price target on Robert Half (NYSE: RHI) to $40.00 from $35.00 and held its Buy rating on the staffing company's shares. The move accompanies lowered near-term earnings projections even as the brokerage expressed continued confidence in the company's longer-term prospects.
Earnings estimate revisions
The firm reduced its earnings per share estimate for fiscal 2026 to $1.40, down from a prior projection of $1.71. Truist characterized this as an 18 percent reduction in expected EPS for that year. The brokerage also cut its 2027 EPS estimate to $2.50 from $2.88. Those downward revisions are attributed to assumptions of higher selling, general and administrative expenses in both 2026 and 2027.
Context from recent results
Robert Half reported fourth-quarter 2025 results that exceeded analysts' consensus. The company posted earnings per share of $0.32 versus a forecast of $0.30, a 6.67 percent surprise. Revenue for the quarter totaled $1.3 billion, narrowly topping an expected $1.29 billion. The announcement was followed by analyst evaluations, though no specific upgrades or downgrades were cited in connection with the quarter's release. The company did not report any recent mergers or acquisitions.
Stock performance and valuation
The shares have experienced significant decline, falling by more than 55 percent over the prior year. InvestingPro data referenced by the reporting indicates Robert Half is trading near its Fair Value at present.
Implications and takeaway
Truist's decision to raise the price target while lowering near-term EPS estimates reflects a separation between an expectation of higher short-term costs and a more positive view of Robert Half's medium to long-term business fundamentals. The combination of a maintained Buy rating and an elevated target suggests the analyst sees upside potential despite recent weakness in the share price and tighter near-term profitability assumptions.
Summary box
- Truist raised its price target on Robert Half to $40 from $35 and kept a Buy rating.
- Truist trimmed 2026 EPS to $1.40 from $1.71 and 2027 EPS to $2.50 from $2.88 due to higher projected SG&A.
- Robert Half beat Q4 2025 expectations with EPS of $0.32 and revenue of $1.3 billion.