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U.S. Professional Services Industry Analysis

UpdatedOct 16, 2025
DataAggregated Company Financials
Companies144
  • 7D-2.8%
  • 3M-3.8%
  • 1Y-7.0%
  • YTD-1.8%

Over the last 7 days, the Professional Services industry has dropped 2.8%, driven by a pullback from Automatic Data Processing of 2.2%. The industry has fallen 7.0% in the last year. 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, 16 Oct 2025US$494.7bUS$251.4bUS$14.9b25.4x33.1x2x
Sat, 13 Sep 2025US$516.7bUS$251.0bUS$14.9b27x34.6x2.1x
Mon, 11 Aug 2025US$514.3bUS$253.8bUS$14.6b26.3x35.1x2x
Wed, 09 Jul 2025US$510.0bUS$245.0bUS$14.9b25.3x34.2x2.1x
Fri, 06 Jun 2025US$512.9bUS$244.8bUS$15.0b21.3x34.1x2.1x
Sun, 04 May 2025US$494.5bUS$241.9bUS$15.3b21.4x32.4x2x
Tue, 01 Apr 2025US$491.2bUS$241.9bUS$14.8b20.9x33.2x2x
Thu, 27 Feb 2025US$509.3bUS$241.6bUS$14.9b21.7x34.2x2.1x
Sat, 25 Jan 2025US$564.8bUS$246.5bUS$14.8b24.5x38x2.3x
Mon, 23 Dec 2024US$549.4bUS$245.1bUS$15.0b23.8x36.7x2.2x
Wed, 20 Nov 2024US$558.4bUS$247.7bUS$15.2b23.7x36.7x2.3x
Fri, 18 Oct 2024US$568.8bUS$241.2bUS$12.8b28.6x44.3x2.4x
Sun, 15 Sep 2024US$542.8bUS$234.8bUS$12.7b28x42.8x2.3x
Tue, 13 Aug 2024US$514.6bUS$234.8bUS$12.8b25.5x40.1x2.2x
Thu, 11 Jul 2024US$487.8bUS$237.9bUS$12.5b24.9x39.2x2.1x
Sat, 08 Jun 2024US$496.5bUS$238.6bUS$12.5b25.4x39.7x2.1x
Mon, 06 May 2024US$499.6bUS$238.4bUS$12.1b25.5x41.4x2.1x
Wed, 03 Apr 2024US$504.3bUS$233.7bUS$11.4b26.4x44.2x2.2x
Fri, 01 Mar 2024US$507.2bUS$232.9bUS$11.5b26.7x44x2.2x
Sun, 28 Jan 2024US$509.4bUS$238.1bUS$13.0b26.4x39.3x2.1x
Tue, 26 Dec 2023US$500.5bUS$237.0bUS$12.8b26.1x39.3x2.1x
Thu, 23 Nov 2023US$481.5bUS$237.0bUS$12.2b25.1x39.5x2x
Sat, 21 Oct 2023US$480.2bUS$239.1bUS$9.5b21.2x50.6x2x
Mon, 18 Sep 2023US$485.9bUS$230.9bUS$9.7b22.6x50.3x2.1x
Wed, 16 Aug 2023US$500.5bUS$234.3bUS$9.2b23.4x54.5x2.1x
Fri, 14 Jul 2023US$470.8bUS$230.3bUS$9.1b21.4x51.5x2x
Sun, 11 Jun 2023US$475.8bUS$231.9bUS$9.5b22.6x50.1x2.1x
Tue, 09 May 2023US$453.6bUS$231.3bUS$9.7b21.8x46.6x2x
Thu, 06 Apr 2023US$451.3bUS$228.3bUS$10.6b23.1x42.4x2x
Sat, 04 Mar 2023US$262.4bUS$163.4bUS$3.3b19.5x79.4x1.6x
Mon, 30 Jan 2023US$262.2bUS$162.3bUS$3.3b20.7x80.5x1.6x
Wed, 28 Dec 2022US$249.8bUS$161.1bUS$3.4b19.9x72.6x1.6x
Fri, 25 Nov 2022US$260.7bUS$160.8bUS$4.1b20.5x63.2x1.6x
Sun, 23 Oct 2022US$236.7bUS$153.2bUS$8.2b17.6x28.7x1.5x
Price to Earnings Ratio

28.7x


Total Market Cap: US$236.7bTotal Earnings: US$8.2bTotal Revenue: US$153.2bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Professional Services Industry Price to Earnings3Y Average 44.9x202320242025
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 33.1x which is lower than its 3-year average PE of 44.9x.
  • The industry is trading close to its 3-year average PS ratio of 2.0x.
Past Earnings Growth
  • The earnings for companies in the Professional Services industry have grown 22% per year over the last three years.
  • Revenues for these companies have grown 18% 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-1.18%
Industrials-1.39%
Professional Services-2.76%
HR Services-2.14%
Research and Consulting Services-2.94%
Industry PE
  • Investors are most optimistic about the HR Services industry, which is trading close to its 3-year average PE ratio of 33.5x.
    • Analysts are expecting annual earnings growth of 13.7%, which is higher than its past year's earnings growth of 8.7% per year.
  • Investors are most pessimistic about the Research and Consulting Services industry, which is trading below its 3-year average of 159x.
Forecasted Growth
  • Analysts are most optimistic on the Research and Consulting Services industry, expecting annual earnings growth of 17% over the next 5 years.
  • However this is lower than its past earnings growth rate of 32% 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
ULS UL SolutionsUS$77.353.0%
+US$450.0m		42.5%PE47.5x
J Jacobs SolutionsUS$160.632.1%
+US$390.9m		13.7%PE39.6x
PAYX PaychexUS$127.520.7%
+US$334.7m		-10.4%PE28.4x
VRSK Verisk AnalyticsUS$243.980.2%
+US$69.9m		-9.8%PE37.5x
BKSY BlackSky TechnologyUS$31.635.2%
+US$54.8m		416.0%PS10.6x

Latest News

VRRM
US$24.25
Verra Mobility
7D
1.1%
1Y
-12.2%
LZ
US$10.27
LegalZoom.com
7D
3.0%
1Y
49.7%
BKSY
US$31.63
BlackSky Technology
7D
5.2%
1Y
416.0%
VRSK
US$243.98
Verisk Analytics
7D
0.2%
1Y
-9.8%
ADP
US$284.21
Automatic Data Processing
7D
-2.2%
1Y
-2.2%

Cloud Based HR Solutions Will Transform Global Workforce Management

The consensus analyst price target for Automatic Data Processing has decreased by $4 to $314. This change reflects adjustments for changing macroeconomic expectations and updated sector outlooks.
SSNC
US$80.80
SS&C Technologies Holdings
7D
-6.9%
1Y
5.4%
PAYX
US$127.52
Paychex
7D
0.7%
1Y
-10.4%
EFX
US$229.64
Equifax
7D
-4.2%
1Y
-20.8%

Government Verification And Cloud Migration Will Secure Future Advantage

Equifax's analyst price target has decreased from $280.50 to $277.70, as analysts note heightened industry headwinds and ongoing uncertainty following recent market and regulatory developments. Analyst Commentary Recent research reports highlight both opportunities and challenges for Equifax, as analysts adjust price targets and revisit expectations in light of evolving industry conditions and company-specific developments.
J
US$160.63
Jacobs Solutions
7D
2.1%
1Y
13.7%
PSN
US$84.11
Parsons
7D
-5.8%
1Y
-22.2%

Expanding US And Middle East Infrastructure Will Fuel Global Success

Analysts have raised their price target for Parsons from $86.67 to $89.00, citing updated models that reflect stronger projected valuation even though estimates for profit margin have eased modestly. What's in the News MPA Delivery Partners, including Parsons, secured a $665 million contract extension to manage the Hudson Tunnel Project.
TRU
US$79.45
TransUnion
7D
0.3%
1Y
-25.4%

Digital Transformation And India Expansion Will Drive Future Opportunities

Analysts have slightly reduced their price target for TransUnion to $111.80 from $113.15, citing modest adjustments to long-term growth and risk assumptions in their updated outlook. What's in the News TransUnion (NYSE:TRU) added to S&P 1000 (Key Developments) Joined S&P 400, S&P 400 Industrials (Sector), and S&P 400 Professional Services (Industry) (Key Developments) Included in S&P Composite 1500 (Key Developments) Company repurchased 494,500 shares between April 1, 2025 and July 15, 2025, completing a buyback of 557,853 shares for $47 million (Key Developments) Issued new financial guidance for Q3 and full year 2025, projecting revenues between $1,115 million and $1,135 million for Q3, and $4,432 million to $4,472 million for the year (Key Developments) Valuation Changes The consensus analyst price target has decreased modestly from $113.15 to $111.80.
LDOS
US$186.57
Leidos Holdings
7D
-5.9%
1Y
11.0%

Government Funding And Digital Transformation Will Create Future Value

The analyst price target for Leidos Holdings has been increased by approximately $2 to $194.71, as analysts cite ongoing strength in healthcare margins, opportunities in defense solutions, and improved business execution as key factors supporting the higher valuation. Analyst Commentary Recent Street research updates reflect a generally positive outlook on Leidos Holdings, with multiple analysts raising their price targets and upgrading the stock in response to improved business execution and strong performance in key sectors.
BR
US$231.49
Broadridge Financial Solutions
7D
-2.2%
1Y
5.6%
BZ
US$22.00
Kanzhun
7D
-9.8%
1Y
43.1%

AI Advances And Digital Expansion Will Unlock Enduring Value

Analysts have raised their price target for Kanzhun from $24.40 to $24.96. This reflects optimism about slightly improved revenue growth expectations and stable profit margins.
BAH
US$96.35
Booz Allen Hamilton Holding
7D
-6.4%
1Y
-41.3%
ULS
US$77.35
UL Solutions
7D
3.0%
1Y
42.5%

UL Solutions' (NYSE:ULS) Dividend Will Be $0.13

Aug 23
UL Solutions' (NYSE:ULS) Dividend Will Be $0.13