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U.S. Professional Services Industry Analysis

UpdatedDec 20, 2024
DataAggregated Company Financials
Companies136
  • 7D-4.0%
  • 3M-1.5%
  • 1Y11.4%
  • YTD10.6%

Over the last 7 days, the Professional Services industry has dropped 4.0%, driven by Automatic Data Processing declining 2.5%. In contrast, Innodata has gained 14%. This takes the industry's 12 month performance to a gain of 11%. 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
Fri, 20 Dec 2024US$542.9bUS$245.0bUS$14.9b24x36.3x2.2x
Sun, 17 Nov 2024US$561.9bUS$247.7bUS$15.2b24.5x37x2.3x
Tue, 15 Oct 2024US$560.3bUS$241.2bUS$12.9b27.8x43.5x2.3x
Thu, 12 Sep 2024US$534.9bUS$234.8bUS$12.7b27.4x42.2x2.3x
Sat, 10 Aug 2024US$514.7bUS$234.8bUS$12.8b26.2x40.1x2.2x
Mon, 08 Jul 2024US$489.9bUS$237.9bUS$12.5b24.4x39.3x2.1x
Wed, 05 Jun 2024US$492.0bUS$238.6bUS$12.4b25.5x39.6x2.1x
Fri, 03 May 2024US$498.7bUS$238.3bUS$12.0b25.3x41.5x2.1x
Sun, 31 Mar 2024US$511.0bUS$233.7bUS$11.4b27.1x44.9x2.2x
Tue, 27 Feb 2024US$511.0bUS$232.8bUS$12.7b27.5x40.2x2.2x
Thu, 25 Jan 2024US$511.6bUS$237.0bUS$12.9b26.6x39.7x2.2x
Sat, 23 Dec 2023US$500.5bUS$237.0bUS$12.8b26.1x39.3x2.1x
Mon, 20 Nov 2023US$477.6bUS$236.5bUS$12.3b25.1x38.9x2x
Wed, 18 Oct 2023US$499.3bUS$239.1bUS$9.6b23.3x52.2x2.1x
Fri, 15 Sep 2023US$488.3bUS$230.9bUS$9.7b23.4x50.5x2.1x
Sun, 13 Aug 2023US$503.9bUS$234.2bUS$9.2b23.2x54.9x2.2x
Tue, 11 Jul 2023US$460.5bUS$230.3bUS$9.1b21.3x50.4x2x
Thu, 08 Jun 2023US$477.9bUS$231.9bUS$9.5b22.7x50.4x2.1x
Sat, 06 May 2023US$454.8bUS$231.3bUS$9.7b21.5x46.7x2x
Mon, 03 Apr 2023US$464.2bUS$228.3bUS$10.6b23.3x43.6x2x
Wed, 01 Mar 2023US$255.8bUS$163.7bUS$2.9b20.4x88.5x1.6x
Fri, 27 Jan 2023US$262.9bUS$162.1bUS$3.4b21x77.8x1.6x
Sun, 25 Dec 2022US$250.2bUS$161.1bUS$3.4b20.2x72.7x1.6x
Tue, 22 Nov 2022US$259.6bUS$160.5bUS$4.0b20.5x65.6x1.6x
Thu, 20 Oct 2022US$237.4bUS$153.4bUS$8.3b17.6x28.7x1.5x
Sat, 17 Sep 2022US$244.9bUS$153.4bUS$8.2b17.6x29.7x1.6x
Mon, 15 Aug 2022US$272.0bUS$153.1bUS$8.2b18.8x33x1.8x
Wed, 13 Jul 2022US$245.9bUS$151.2bUS$7.4b17.2x33.4x1.6x
Fri, 10 Jun 2022US$256.8bUS$152.1bUS$7.6b17.8x34x1.7x
Sun, 08 May 2022US$265.1bUS$151.2bUS$7.6b17.5x34.8x1.8x
Tue, 05 Apr 2022US$295.8bUS$147.5bUS$7.3b20.1x40.6x2x
Thu, 03 Mar 2022US$315.8bUS$150.5bUS$10.7b21.4x29.4x2.1x
Sat, 29 Jan 2022US$323.5bUS$155.1bUS$8.0b21.6x40.5x2.1x
Mon, 27 Dec 2021US$370.3bUS$154.5bUS$7.3b24.1x50.6x2.4x
Price to Earnings Ratio

50.6x


Total Market Cap: US$370.3bTotal Earnings: US$7.3bTotal Revenue: US$154.5bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Professional Services Industry Price to Earnings3Y Average 45.1x202220232024
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 36.3x which is lower than its 3-year average PE of 45.1x.
  • The 3-year average PS ratio of 2.0x is lower than the industry's current PS ratio of 2.2x.
Past Earnings Growth
  • The earnings for companies in the Professional Services industry have grown 27% 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-3.53%
Industrials-4.92%
Professional Services-3.99%
HR Services-3.77%
Research and Consulting Services-4.23%
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 160x.
    • Analysts are expecting annual earnings growth of 21.6%, which is higher than its past year's earnings growth of 17.5% 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 29.7x.
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 18% 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
MMS MaximusUS$72.944.5%
+US$188.7m		-13.7%PE14.3x
INOD InnodataUS$39.7613.5%
+US$137.2m		365.0%PE57.6x
CBZ CBIZUS$81.252.1%
+US$82.5m		29.7%PE34.1x
CNDT ConduentUS$4.414.8%
+US$32.0m		22.5%PE1.6x
DNB Dun & Bradstreet HoldingsUS$12.360.5%
+US$26.5m		4.5%PS2.3x
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