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U.S. Professional Services Industry Analysis

UpdatedJan 28, 2025
DataAggregated Company Financials
Companies139
  • 7D1.4%
  • 3M1.1%
  • 1Y13.1%
  • YTD4.9%

Over the last 7 days, the Professional Services industry has risen 1.4%, driven by gains in Automatic Data Processing and Equifax of 1.3% and 4.6%, respectively. In the same time, Parsons was down 11%. In the last 12 months, the industry was up 13%. Looking forward, earnings are forecast to grow by 17% annually.

Industry Valuation and Performance

Has the U.S. Professional Services Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 28 Jan 2025US$564.8bUS$246.5bUS$14.8b24.7x38x2.3x
Thu, 26 Dec 2024US$553.1bUS$245.1bUS$15.0b23.8x37x2.3x
Sat, 23 Nov 2024US$572.6bUS$242.2bUS$15.2b25.5x37.7x2.4x
Mon, 21 Oct 2024US$567.6bUS$241.2bUS$12.8b28.6x44.2x2.4x
Wed, 18 Sep 2024US$543.8bUS$234.8bUS$12.7b28.1x42.9x2.3x
Fri, 16 Aug 2024US$520.1bUS$234.8bUS$12.9b26.8x40.5x2.2x
Sun, 14 Jul 2024US$503.3bUS$237.9bUS$12.5b25.7x40.4x2.1x
Tue, 11 Jun 2024US$494.4bUS$238.6bUS$12.5b25.2x39.7x2.1x
Thu, 09 May 2024US$507.9bUS$238.6bUS$11.9b26.3x42.7x2.1x
Sat, 06 Apr 2024US$495.8bUS$233.7bUS$11.4b26.5x43.4x2.1x
Mon, 04 Mar 2024US$509.4bUS$232.9bUS$11.4b27x44.6x2.2x
Wed, 31 Jan 2024US$512.2bUS$237.2bUS$12.8b26.6x40x2.2x
Fri, 29 Dec 2023US$503.6bUS$237.0bUS$12.7b26.3x39.5x2.1x
Sun, 26 Nov 2023US$481.1bUS$237.0bUS$12.2b24.3x39.4x2x
Tue, 24 Oct 2023US$477.6bUS$239.1bUS$9.5b21.1x50.3x2x
Thu, 21 Sep 2023US$482.5bUS$230.9bUS$9.7b22.6x49.9x2.1x
Sat, 19 Aug 2023US$491.7bUS$234.3bUS$9.2b22.8x53.6x2.1x
Mon, 17 Jul 2023US$471.2bUS$230.3bUS$9.1b20.8x51.5x2x
Wed, 14 Jun 2023US$487.3bUS$231.9bUS$9.5b22.4x51.3x2.1x
Fri, 12 May 2023US$450.5bUS$231.7bUS$9.8b20.9x46x1.9x
Sun, 09 Apr 2023US$453.5bUS$228.5bUS$10.7b23.4x42.5x2x
Tue, 07 Mar 2023US$261.0bUS$163.4bUS$3.3b19.4x79x1.6x
Thu, 02 Feb 2023US$267.6bUS$161.7bUS$3.2b21.1x83.7x1.7x
Sat, 31 Dec 2022US$252.1bUS$161.1bUS$3.4b20.1x73.2x1.6x
Mon, 28 Nov 2022US$262.5bUS$160.8bUS$4.1b20.4x63.6x1.6x
Wed, 26 Oct 2022US$242.2bUS$152.0bUS$8.2b17.7x29.4x1.6x
Fri, 23 Sep 2022US$238.5bUS$153.4bUS$8.2b17.1x28.9x1.6x
Sun, 21 Aug 2022US$267.4bUS$153.2bUS$8.3b18.4x32.3x1.7x
Tue, 19 Jul 2022US$247.7bUS$151.2bUS$7.4b17.2x33.7x1.6x
Thu, 16 Jun 2022US$239.2bUS$151.4bUS$7.4b15.6x32.2x1.6x
Sat, 14 May 2022US$256.5bUS$152.6bUS$7.8b16.6x32.7x1.7x
Mon, 11 Apr 2022US$289.4bUS$148.3bUS$7.3b19.7x39.8x2x
Wed, 09 Mar 2022US$306.6bUS$150.6bUS$10.8b19.5x28.5x2x
Fri, 04 Feb 2022US$328.0bUS$155.7bUS$8.0b23x40.9x2.1x
Price to Earnings Ratio

40.9x


Total Market Cap: US$328.0bTotal Earnings: US$8.0bTotal Revenue: US$155.7bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Professional Services Industry Price to Earnings3Y Average 44.7x202320242025
Current Industry PE
  • Investors are pessimistic on the American Professional Services industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 38.0x which is lower than its 3-year average PE of 44.7x.
  • The 3-year average PS ratio of 2.0x is lower than the industry's current PS ratio of 2.3x.
Past Earnings Growth
  • The earnings for companies in the Professional Services industry have grown 23% per year over the last three years.
  • Revenues for these companies have grown 17% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the U.S. Industrials industry?

US Market-0.046%
Industrials-0.11%
Professional Services1.38%
HR Services1.59%
Research and Consulting Services0.18%
Industry PE
  • Investors are most optimistic about the Research and Consulting Services industry even though it's trading below its 3-year average PE ratio of 159x.
    • Analysts are expecting annual earnings growth of 22.1%, which is higher than its past year's earnings growth of 16.0% per year.
  • Investors are most pessimistic about the HR Services industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 29.8x.
Forecasted Growth
  • Analysts are most optimistic on the Research and Consulting Services industry, expecting annual earnings growth of 22% over the next 5 years.
  • This is better than its past earnings growth rate of 16% per year.
  • In contrast, the HR Services industry is expected to see its earnings grow by 14% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
ADP Automatic Data ProcessingUS$300.151.3%
+US$1.6b		26.3%PE31.8x
EFX EquifaxUS$274.944.6%
+US$1.5b		9.9%PE60.6x
BR Broadridge Financial SolutionsUS$239.544.0%
+US$1.1b		15.1%PE40.8x
VRSK Verisk AnalyticsUS$285.462.5%
+US$975.8m		16.7%PE43.3x
WNS WNS (Holdings)US$61.6032.2%
+US$655.0m		-12.9%PE20.8x
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