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U.S. Professional Services Industry Analysis

UpdatedAug 18, 2026
DataAggregated Company Financials
Companies148
  • 7D-2.0%
  • 3M13.3%
  • 1Y-13.4%
  • YTD-3.4%

Last week, the Professional Services industry hasn't moved much but Planet Labs PBC is up 5.5% in that time. Unfortunately though, the industry is down 11% over the past 12 months. Looking forward, 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
Tue, 18 Aug 2026US$439.9bUS$259.2bUS$13.7b21.6x32.1x1.7x
Thu, 16 Jul 2026US$388.8bUS$249.6bUS$12.5b20.4x31.2x1.6x
Sat, 13 Jun 2026US$376.6bUS$247.6bUS$12.1b20x31.1x1.5x
Mon, 11 May 2026US$376.9bUS$249.1bUS$12.2b19.2x31x1.5x
Wed, 08 Apr 2026US$378.3bUS$245.7bUS$11.5b19.4x32.8x1.5x
Fri, 06 Mar 2026US$405.4bUS$245.9bUS$11.8b20.9x34.3x1.6x
Sun, 01 Feb 2026US$455.0bUS$263.2bUS$12.5b23.3x36.5x1.7x
Tue, 30 Dec 2025US$474.2bUS$251.6bUS$13.8b24.2x34.3x1.9x
Thu, 27 Nov 2025US$465.9bUS$251.9bUS$13.9b24.3x33.5x1.8x
Sat, 25 Oct 2025US$490.3bUS$250.6bUS$14.9b26.5x33x2x
Mon, 22 Sep 2025US$508.8bUS$251.1bUS$14.9b26.2x34.1x2x
Wed, 20 Aug 2025US$516.1bUS$253.9bUS$14.6b27.4x35.3x2x
Fri, 18 Jul 2025US$499.2bUS$245.0bUS$14.9b23.9x33.5x2x
Sun, 15 Jun 2025US$498.8bUS$244.8bUS$15.0b22.4x33.2x2x
Tue, 13 May 2025US$504.7bUS$244.4bUS$15.1b22.8x33.5x2.1x
Thu, 10 Apr 2025US$448.3bUS$241.7bUS$14.8b20.5x30.3x1.9x
Sat, 08 Mar 2025US$492.7bUS$241.7bUS$14.7b21.3x33.5x2x
Mon, 03 Feb 2025US$568.4bUS$247.0bUS$15.1b24.6x37.6x2.3x
Wed, 01 Jan 2025US$548.9bUS$246.2bUS$14.9b24x36.7x2.2x
Fri, 29 Nov 2024US$581.7bUS$242.2bUS$15.2b25.6x38.3x2.4x
Sun, 27 Oct 2024US$560.7bUS$247.2bUS$13.8b27.9x40.6x2.3x
Tue, 24 Sep 2024US$543.7bUS$234.8bUS$12.7b28.2x42.9x2.3x
Thu, 22 Aug 2024US$527.7bUS$234.8bUS$12.8b27.2x41.1x2.2x
Sat, 20 Jul 2024US$516.4bUS$237.6bUS$12.5b26.6x41.4x2.2x
Mon, 17 Jun 2024US$491.5bUS$238.2bUS$12.5b23.9x39.3x2.1x
Wed, 15 May 2024US$508.8bUS$238.5bUS$12.0b26x42.3x2.1x
Fri, 12 Apr 2024US$500.4bUS$236.4bUS$11.7b26.4x42.8x2.1x
Sun, 10 Mar 2024US$504.0bUS$233.2bUS$11.5b26.5x43.9x2.2x
Tue, 06 Feb 2024US$493.5bUS$230.9bUS$12.1b27x40.9x2.1x
Thu, 04 Jan 2024US$491.1bUS$237.0bUS$12.8b24.5x38.5x2.1x
Sat, 02 Dec 2023US$485.4bUS$237.0bUS$12.2b24.7x39.7x2x
Mon, 30 Oct 2023US$446.6bUS$234.9bUS$8.6b19.9x51.7x1.9x
Wed, 27 Sep 2023US$471.7bUS$234.3bUS$9.4b22.3x50x2x
Fri, 25 Aug 2023US$495.3bUS$234.3bUS$9.2b22.9x54x2.1x
Price to Earnings Ratio

54x


Total Market Cap: US$495.3bTotal Earnings: US$9.2bTotal Revenue: US$234.3bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Professional Services Industry Price to Earnings3Y Average 37.7x202420252026
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 32.1x which is lower than its 3-year average PE of 37.7x.
  • The 3-year average PS ratio of 2.0x is higher than the industry's current PS ratio of 1.7x.
Past Earnings Growth
  • The earnings for companies in the Professional Services industry have grown 14% per year over the last three years.
  • Revenues for these companies have grown 3.4% 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 Market0.11%
Industrials0.95%
Professional Services-1.97%
Research and Consulting Services-1.06%
HR Services-2.81%
Industry PE
  • Investors are most optimistic about the HR Services industry, which is trading close to its 3-year average PE ratio of 36.2x.
    • Analysts are expecting annual earnings growth of 11.4%, which is lower than the prior year's growth of 15.1% per year.
  • Investors are most pessimistic about the Research and Consulting Services industry, which is trading below its 3-year average of 84.9x.
Forecasted Growth
  • Analysts are most optimistic on the Research and Consulting Services industry, expecting annual earnings growth of 18% over the next 5 years.
  • This is better than its past earnings growth rate of 6.0% per year.
  • In contrast, the HR Services industry is expected to see its earnings grow by 11% 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
PL Planet Labs PBCUS$24.385.5%
+US$456.2m		256.4%PS25.9x
LDOS Leidos HoldingsUS$142.252.3%
+US$395.3m		-20.1%PE13x
MBGL Mobility GlobalUS$19.723.8%
+US$212.3m		n/aPE28.4x
BKSY BlackSky TechnologyUS$30.777.5%
+US$88.4m		76.6%PS11.6x
RCMT RCM TechnologiesUS$40.4339.8%
+US$82.5m		64.6%PE16.8x

Latest News

RCMT
US$40.43
RCM Technologies
7D
39.8%
1Y
64.6%
INOD
US$64.30
Innodata
7D
3.3%
1Y
62.5%
Seeking Alpha • Aug 17

Innodata: Priced For Perfection, Customer Concentration Raises The Risk

Summary Innodata earns a HOLD rating, with a speculative BUY tilt for risk-tolerant investors, due to strong fundamentals but demanding valuation and customer concentration. Revenue and profitability are accelerating, with 12 consecutive quarters of growth, robust operating leverage, and a net cash position supporting the bull case. Over 70% of INOD's revenue comes from two customers, posing significant risk; valuation at 52x 2026E EPS leaves little room for operational missteps. I await sustained revenue growth, margin stability, and reduced customer concentration before upgrading; current multiples price in near-perfect execution. Read the full article on Seeking Alpha
FA
US$20.30
First Advantage
7D
-13.9%
1Y
23.9%
Narrative Update • Aug 16

FA: Raised 2026 Guidance And Index Inclusions Will Support Future Cash Returns

Analysts now place First Advantage's fair value at $26.25, compared with the prior $18.86, reflecting updated assumptions on the discount rate, revenue growth, profit margins and future P/E multiples. What’s in the News for First Advantage First Advantage reported Q2 2026 revenue growth of 15% year over year, with adjusted diluted EPS of $0.35 and net profit of $16.9 million, driven by large contract wins and broader customer demand.
LDOS
US$142.25
Leidos Holdings
7D
2.3%
1Y
-20.1%
MBGL
US$19.72
Mobility Global
7D
3.8%
1Y
n/a
ADP
US$266.06
Automatic Data Processing
7D
-2.8%
1Y
-12.1%
Seeking Alpha • Aug 14

Automatic Data Processing: Scoop Up This Dividend Growth Gem Now

Summary Since May, Automatic Data Processing has outperformed the S&P 500 index by a wide margin. The integration of AI-powered tools like ADP Assist is reshaping client retention/operational efficiency, and the enterprise HCM offering called Lyric is gaining meaningful traction in the upmarket space. The company’s net debt to adjusted EBITDA ratio was roughly 0.1x in FY 2026, which supports its AA- S&P credit rating with a stable outlook. The stock is trading 14% below my fair value estimate. ADP could have a 17% upside ahead through FY 2027 and 13% annual total returns by the end of FY 2031. Read the full article on Seeking Alpha
BZ
US$15.55
Kanzhun
7D
-10.9%
1Y
-27.8%
AMTM
US$20.43
Amentum Holdings
7D
-16.4%
1Y
-18.7%
MG
US$18.14
Mistras Group
7D
14.9%
1Y
98.5%
BR
US$167.84
Broadridge Financial Solutions
7D
-3.2%
1Y
-35.5%
Seeking Alpha • Aug 12

Broadridge Financial: Monetizing Its Own Disruption

Summary Broadridge Financial Solutions, Inc. is rated Strong Buy, driven by its strategic transition into high-margin decentralized finance and AI-driven productivity gains. BR's single-seller edge as a super-validator on the Canton Network and its integration of tokenized governance solidify its position as a regulatory-compliant Web3 infrastructure toll-taker. Despite existential risks from native tokenization and atomic settlement eroding legacy revenues, regulatory inertia and hybrid TradFi-DeFi models provide a multi-decade monetization bridge. I monitor BR's Canton coin monetization, tokenization volume shifts, SEC regulatory changes, and institutional adoption of algorithmic voting as key forward catalysts and risks. Read the full article on Seeking Alpha
PL
US$24.38
Planet Labs PBC
7D
5.5%
1Y
256.4%
Seeking Alpha • Aug 12

Planet Labs: Long-Term Is Not Good, For Bears

Summary Planet Labs earns a Buy rating as it transitions into a sovereign intelligence infrastructure provider with a defensible 10-year temporal data archive and agentic AI capabilities. PL's sticky, high-margin software model, 99% recurring ACV, and 113% net dollar retention underpin a strong long-term moat versus aerospace peers. Short-term dilution risks stem from a $1.5B ATM facility and unhedged $460M 2030 convertible notes, but these are outweighed by long-term AI-led margin expansion. I am closely monitoring Pelican/Tanager utilization, ATM and convertible note activity, and agentic AI monetization for confirmation of the investment thesis. Read the full article on Seeking Alpha
VRSK
US$175.62
Verisk Analytics
7D
-3.1%
1Y
-33.9%
Analysis Article • Aug 11

Investors Can Find Comfort In Verisk Analytics' (NASDAQ:VRSK) Earnings Quality

Investors were disappointed with the weak earnings posted by Verisk Analytics, Inc. ( NASDAQ:VRSK ). Despite the soft...
BKSY
US$30.77
BlackSky Technology
7D
7.5%
1Y
76.6%
Seeking Alpha • Aug 09

BlackSky Technology Finally Delivers

Summary BlackSky Technology Inc. delivered strong 2Q26 results, with revenue up 50% YoY to $33.3 million, driven by Gen-3 subscription adoption. Gen-3 constellation is now a genuine revenue and earnings engine, producing a $100 million annualized run rate for high-margin imagery and AI services. Adjusted EBITDA reached $4.7 million (14.2% margin), with flat operating expenses despite higher revenue, signaling meaningful operating leverage as Gen-3 scales. I remain buy-rated on BKSY, seeing accelerating recurring revenue, expanding margins, and multiple growth vectors supporting significant upside as the business scales. Read the full article on Seeking Alpha
RHLD
US$136.86
Resolute Holdings Management
7D
4.0%
1Y
142.8%
PAYX
US$118.54
Paychex
7D
-2.2%
1Y
-13.8%
Narrative Update • Aug 05

PAYX: AI And Paycor Synergies Will Test Dividend Support And Execution

Paychex's fair value estimate has been raised by about $4 to $109.57 as analysts factor in a slightly lower discount rate, a modest adjustment to expected revenue growth, and a higher projected profit margin supported by recent price target increases across the Street. Analyst Commentary Recent Street research on Paychex shows a mix of optimism and caution around the stock's valuation, growth outlook, and execution following fiscal Q4 results and the Paycor acquisition.
EFX
US$176.80
Equifax
7D
-2.3%
1Y
-28.0%
Narrative Update • Aug 05

EFX: Data Assets And AI Efficiencies Will Support Post Guidance Earnings Power

Analysts have trimmed their average price target on Equifax to about $211 from roughly $218, reflecting slightly softer revenue growth assumptions and a modestly lower future P/E, partly offset by stable profit margin expectations and ongoing confidence in core demand. Analyst Commentary Recent analyst commentary on Equifax points to a mixed but generally constructive view.