Robert Half Valuation

Q: What is the Fair Price of RHI * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

RHI * (MX$1315) is trading below our estimate of [[fair value]] (MX$2205.05)

Is RHI * undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of RHI * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: RHI * (MX$1315) is trading below our estimate of fair value (MX$2205.05)

Significantly Below Fair Value: RHI * is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for RHI *?

Key metric: As RHI * is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for RHI *. This is calculated by dividing RHI *'s market cap by their current earnings.
What is RHI *'s PE Ratio?
PE Ratio	20.1x
Earnings	US$411.15m
Market Cap	US$8.28b

RHI * key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	1.2x
Enterprise Value/EBITDA	15x
PEG Ratio	3x

Price to Earnings Ratio vs Peers

How does RHI *'s PE Ratio compare to its peers?

The above table shows the PE ratio for RHI * vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	28.3x
RAND Randstad	16.7x	18.6%	€7.1b
PCTY Paylocity Holding	51.6x	14.9%	US$11.4b
PAYC Paycom Software	27.4x	2.4%	US$12.9b
TNET TriNet Group	17.5x	2.8%	US$4.6b
RHI * Robert Half	20.1x	6.8%	Mex$8.3b

Price-To-Earnings vs Peers: RHI * is expensive based on its Price-To-Earnings Ratio (20.1x) compared to the peer average (18x).

Price to Earnings Ratio vs Industry

How does RHI *'s PE Ratio compare vs other companies in the Global Professional Services Industry?

20 Companies	Price / Earnings	Estimated Growth	Market Cap

20 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: RHI * is good value based on its Price-To-Earnings Ratio (20.1x) compared to the Global Professional Services industry average (22x).

Price to Earnings Ratio vs Fair Ratio

What is RHI *'s PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

RHI * PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	20.1x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate RHI *'s Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.