Head to Head Analysis: Hays (OTCMKTS:HAYPF) and Robert Half (NYSE:RHI)

Robert Half (NYSE:RHI) and Hays (OTCMKTS:HAYPF) are both industrials companies, but which is the superior stock? We will compare the two companies based on the strength of their risk, valuation, analyst recommendations, earnings, profitability, institutional ownership and dividends.

Dividends

Robert Half pays an annual dividend of $2.12 per share and has a dividend yield of 3.2%. Hays pays an annual dividend of $0.03 per share and has a dividend yield of 1.9%. Robert Half pays out 63.5% of its earnings in the form of a dividend. Hays pays out 39.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Robert Half has raised its dividend for 21 consecutive years. Robert Half is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Analyst Recommendations

This is a summary of recent ratings and price targets for Robert Half and Hays, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Robert Half	2	3	2	0	2.00
Hays	0	0	0	0	N/A

Robert Half presently has a consensus price target of $67.86, indicating a potential upside of 2.33%. Given Robert Half’s higher possible upside, equities research analysts clearly believe Robert Half is more favorable than Hays.

Insider and Institutional Ownership

92.4% of Robert Half shares are owned by institutional investors. Comparatively, 36.8% of Hays shares are owned by institutional investors. 3.0% of Robert Half shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Robert Half and Hays’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Robert Half	5.26%	20.41%	10.61%
Hays	N/A	N/A	N/A

Earnings & Valuation

This table compares Robert Half and Hays”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Robert Half	$5.99 billion	1.16	$411.15 million	$3.34	19.85
Hays	N/A	N/A	N/A	$0.06	21.29

Robert Half has higher revenue and earnings than Hays. Robert Half is trading at a lower price-to-earnings ratio than Hays, indicating that it is currently the more affordable of the two stocks.

Summary

Robert Half beats Hays on 11 of the 13 factors compared between the two stocks.

About Robert Half

Robert Half Inc. provides talent solutions and business consulting services in North America, South America, Europe, Asia, and Australia. The company operates through Contract Talent Solutions, Permanent Placement Talent Solutions, and Protiviti segments. The Contract Talent Solutions segment provides contract engagement professionals in the fields of finance and accounting, technology, marketing and creative, legal and administrative, and customer support. This segment markets its services to clients and employment candidates through both national and local advertising activities, including radio, digital advertising, job boards, alliance partners, and events. The Permanent Placement Talent Solutions segment engages in the placement of full-time accounting, finance, and tax and accounting operations personnel. The Protiviti segment offers consulting services in the areas of internal audit, technology consulting, risk, and compliance consulting. It offers it services under the Robert Half brand name. The company was formerly known as Robert Half International Inc. and changed its name to Robert Half Inc. in July 2023. Robert Half Inc. was founded in 1948 and is headquartered in Menlo Park, California.

About Hays

Hays plc engages in the provision of recruitment services in Australia, New Zealand, Germany, the United Kingdom, Ireland, and internationally. The company provides qualified, professional, and skilled recruitment in permanent, temporary, and contractor formats to public and private sectors. It offers its recruitment services in the specialisms, such as accountancy and finance, banking and capital markets, construction and property, contact centers, education, energy, oil and gas, engineering and manufacturing, executive, financial services, health and social care, human resources, legal, life sciences, office support, procurement, resources and mining, retail, sales and marketing, sustainability, technology, and telecoms. Hays plc was founded in 1968 and is based in London, the United Kingdom.