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U.S. Professional Services Industry Analysis

UpdatedMay 21, 2026
DataAggregated Company Financials
Companies149
  • 7D4.3%
  • 3M-3.8%
  • 1Y-24.3%
  • YTD-14.4%

The Professional Services industry is up 4.3% in the last week, with Automatic Data Processing up 5.8%. In the past year, the industry is down 24%. Earnings are forecast to grow by 15% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 21 May 2026US$372.1bUS$247.7bUS$12.1b18.9x30.8x1.5x
Sat, 18 Apr 2026US$382.4bUS$245.7bUS$11.5b19.6x33.1x1.6x
Mon, 16 Mar 2026US$382.4bUS$246.1bUS$11.7b18.9x32.8x1.6x
Wed, 11 Feb 2026US$422.5bUS$250.8bUS$12.7b21.2x33.2x1.7x
Fri, 09 Jan 2026US$477.1bUS$251.6bUS$13.9b25.5x34.4x1.9x
Sun, 07 Dec 2025US$467.6bUS$251.8bUS$13.9b25x33.7x1.9x
Tue, 04 Nov 2025US$466.6bUS$248.8bUS$15.0b25x31x1.9x
Thu, 02 Oct 2025US$505.6bUS$251.4bUS$14.9b26.7x33.8x2x
Sat, 30 Aug 2025US$516.1bUS$251.5bUS$14.7b26.4x35x2.1x
Mon, 28 Jul 2025US$517.1bUS$250.4bUS$14.9b23.7x34.7x2.1x
Wed, 25 Jun 2025US$502.5bUS$244.8bUS$15.0b22.9x33.5x2.1x
Fri, 23 May 2025US$513.5bUS$244.5bUS$15.0b23.6x34.3x2.1x
Sun, 20 Apr 2025US$471.8bUS$240.7bUS$15.0b20.2x31.4x2x
Tue, 18 Mar 2025US$482.3bUS$241.8bUS$14.8b21.6x32.6x2x
Thu, 13 Feb 2025US$562.9bUS$249.4bUS$15.0b24.2x37.6x2.3x
Sat, 11 Jan 2025US$547.6bUS$246.0bUS$14.8b23.9x36.9x2.2x
Mon, 09 Dec 2024US$575.8bUS$242.3bUS$15.3b24.9x37.7x2.4x
Wed, 06 Nov 2024US$569.4bUS$247.8bUS$14.9b27.4x38.2x2.3x
Fri, 04 Oct 2024US$556.5bUS$235.5bUS$12.6b27.6x44.1x2.4x
Sun, 01 Sep 2024US$546.0bUS$234.8bUS$12.8b28.1x42.5x2.3x
Tue, 30 Jul 2024US$518.8bUS$233.1bUS$12.7b27.7x40.9x2.2x
Thu, 27 Jun 2024US$500.0bUS$237.8bUS$12.4b24.8x40.2x2.1x
Sat, 25 May 2024US$501.8bUS$238.4bUS$12.3b24.8x40.9x2.1x
Mon, 22 Apr 2024US$485.4bUS$236.1bUS$11.5b26.2x42.3x2.1x
Wed, 20 Mar 2024US$500.5bUS$232.9bUS$11.4b26.7x43.8x2.1x
Fri, 16 Feb 2024US$503.3bUS$232.5bUS$12.8b27.4x39.3x2.2x
Sun, 14 Jan 2024US$501.0bUS$237.0bUS$12.8b26x39.1x2.1x
Tue, 12 Dec 2023US$494.4bUS$237.0bUS$12.7b25.2x38.9x2.1x
Thu, 09 Nov 2023US$461.0bUS$236.4bUS$12.1b23.2x38x1.9x
Sat, 07 Oct 2023US$491.1bUS$239.1bUS$9.6b23.1x51.4x2.1x
Mon, 04 Sep 2023US$506.8bUS$234.3bUS$9.2b23.7x55.2x2.2x
Wed, 02 Aug 2023US$477.2bUS$230.8bUS$8.5b20.7x56.2x2.1x
Fri, 30 Jun 2023US$487.2bUS$231.9bUS$9.4b22x51.6x2.1x
Sun, 28 May 2023US$459.1bUS$231.8bUS$9.5b20.7x48.4x2x
Price to Earnings Ratio

48.4x


Total Market Cap: US$459.1bTotal Earnings: US$9.5bTotal Revenue: US$231.8bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Professional Services Industry Price to Earnings3Y Average 39.3x202420252026
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 30.8x which is lower than its 3-year average PE of 39.3x.
  • The 3-year average PS ratio of 2.0x is higher than the industry's current PS ratio of 1.5x.
Past Earnings Growth
  • The earnings for companies in the Professional Services industry have grown 8.4% per year over the last three years.
  • Revenues for these companies have grown 2.2% 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-0.32%
Industrials-1.74%
Professional Services4.29%
HR Services5.18%
Research and Consulting Services3.43%
Industry PE
  • Investors are most optimistic about the HR Services industry, which is trading close to its 3-year average PE ratio of 36.0x.
    • Analysts are expecting annual earnings growth of 12.1%, which is higher than its past year's earnings growth of 8.8% per year.
  • Investors are most pessimistic about the Research and Consulting Services industry, which is trading below its 3-year average of 138x.
Forecasted Growth
  • Analysts are most optimistic on the Research and Consulting Services industry, expecting annual earnings growth of 19% over the next 5 years.
  • This is better than its past earnings growth rate of 6.1% per year.
  • In contrast, the HR Services industry is expected to see its earnings grow by 12% 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$220.695.8%
+US$4.8b		-31.6%PE20.3x
PAYX PaychexUS$94.926.9%
+US$2.2b		-39.2%PE20.8x
VRSK Verisk AnalyticsUS$170.665.7%
+US$1.2b		-45.4%PE24.6x
J Jacobs SolutionsUS$113.826.1%
+US$773.4m		-9.9%PE32.8x
BAH Booz Allen Hamilton HoldingUS$77.458.2%
+US$706.7m		-39.7%PE11.2x

Latest News

BZ
US$14.07
Kanzhun
7D
-4.5%
1Y
-21.4%
FA
US$15.28
First Advantage
7D
-2.6%
1Y
-11.7%
PAYX
US$94.92
Paychex
7D
6.9%
1Y
-39.2%
TIC
US$8.59
TIC Solutions
7D
-3.9%
1Y
-20.0%
BR
US$149.20
Broadridge Financial Solutions
7D
3.7%
1Y
-37.6%
Seeking Alpha • May 20

Broadridge Financial: The Unpriced AI And Tokenization Margin Revolution

Summary Broadridge Financial is rated Strong Buy, with Wall Street overlooking its transformation into a high-margin decentralized finance and AI infrastructure leader. BR’s upside is driven by exponential DLR scaling, Agentic AI productivity gains, and LTX’s centralization of corporate bond liquidity with top dealers. Despite topline compression risks from SEC digital-default mandates and slower closed sales, BR’s margin expansion and FCF yield create a compelling entry point. I target a mid-term price of $236.8 (62.6% upside), underpinned by strong recurring revenue, high client retention, and robust cash conversion. Read the full article on Seeking Alpha
ADP
US$220.69
Automatic Data Processing
7D
5.8%
1Y
-31.6%
AMTM
US$22.50
Amentum Holdings
7D
-2.8%
1Y
9.0%
BAH
US$77.45
Booz Allen Hamilton Holding
7D
8.2%
1Y
-39.7%
J
US$113.82
Jacobs Solutions
7D
6.1%
1Y
-9.9%
Narrative Update • May 19

J: AI Data Center EPCM Wins Will Drive Future Upside Potential

Analysts have nudged their price target for Jacobs Solutions slightly higher to about $158.27 from roughly $157.53, citing updated assumptions around revenue growth, margins, discount rate and future P/E that refine rather than overhaul their prior view on the stock. What's in the News Jacobs secured a sole-source EPCM contract from Hut 8 for a second U.S. AI data center campus in Texas, a multi phase site designed for up to 1 gigawatt of capacity.
VRSK
US$170.66
Verisk Analytics
7D
5.7%
1Y
-45.4%
Seeking Alpha • May 18

Verisk Q1: Getting A Lot More Interesting

Summary Verisk reported Q1 revenue of $783M (+4% y/y), with improved margins and strong adjusted EBITDA, but top-line growth remains modest. VRSK maintains a healthy balance sheet with 2.4x debt/EBITDA and 8x interest coverage; liquidity and solvency are not concerns. Management reaffirmed 2026 guidance, expects Q1 to be a trough, and anticipates federal contract resumption and normalized catastrophe activity to support growth. Despite recent share price decline and valuation reset, I remain on the sidelines, awaiting evidence of stronger profitability before considering a position. Read the full article on Seeking Alpha
RCMT
US$22.47
RCM Technologies
7D
-22.6%
1Y
0.02%
Narrative Update • May 17

RCMT: Refined Discount Rate And P/E Assumptions Will Support Stronger Future Upside

Analysts increased their price target on RCM Technologies by $4, citing updated assumptions for discount rates, revenue growth, profit margins and future P/E, which they believe better reflect the stock's current risk and earnings profile. Analyst Commentary Analysts updated their assumptions on discount rates, revenue growth, profit margins and future P/E for RCM Technologies, and see the revised price target as better aligned with the stock's current risk and earnings profile.
CACI
US$492.91
CACI International
7D
-2.2%
1Y
4.3%
Narrative Update • May 17

CACI: ARKA Deal And Defense Wins Will Support Future EPS

Analysts have trimmed their average price targets on CACI International by double digit dollar amounts, citing updated assumptions that reflect a higher discount rate, a higher forward P/E multiple near 30x, and revised expectations for revenue growth and profit margins. Analyst Commentary Recent Street research on CACI International points to a mix of recalibrated price targets and fresh coverage, with several bullish analysts still framing the stock as a quality contractor with identifiable growth projects and an active M&A track record.
ULS
US$101.98
UL Solutions
7D
3.2%
1Y
42.5%
PL
US$42.66
Planet Labs PBC
7D
4.7%
1Y
1,049.9%
Narrative Update • May 15

PL: Defense Contract Optionality Will Not Offset Thin Long-Term Profit Margins

Analysts have adjusted their fair value estimate for Planet Labs PBC to $36.33 from $34.44. This reflects updated assumptions around discount rate, revenue growth, profit margin, and future P/E levels.
VRRM
US$13.28
Verra Mobility
7D
-1.1%
1Y
-44.4%
LICN
US$1.09
Lichen International
7D
-86.9%
1Y
-82.4%