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RAND

Randstad ENXTAM:RAND Stock Report

Last Price

€48.77

Market Cap

€8.9b

7D

-1.0%

1Y

-21.5%

Updated

07 Aug, 2022

Data

Company Financials +
RAND fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance5/6
Financial Health6/6
Dividends4/6

RAND Stock Overview

Randstad N.V. provides solutions in the field of work and human resources (HR) services.

Randstad Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Randstad
Historical stock prices
Current Share Price€48.77
52 Week High€67.50
52 Week Low€44.86
Beta1.45
1 Month Change0.31%
3 Month Change2.14%
1 Year Change-21.47%
3 Year Change14.43%
5 Year Change-0.10%
Change since IPO1,332.77%

Recent News & Updates

Jul 31
The Trend Of High Returns At Randstad (AMS:RAND) Has Us Very Interested

The Trend Of High Returns At Randstad (AMS:RAND) Has Us Very Interested

Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key...

Jul 20
Randstad's (AMS:RAND) Dividend Will Be Increased To €2.81

Randstad's (AMS:RAND) Dividend Will Be Increased To €2.81

The board of Randstad N.V. ( AMS:RAND ) has announced that it will be paying its dividend of €2.81 on the 4th of...

Jul 07
What Does Randstad N.V.'s (AMS:RAND) Share Price Indicate?

What Does Randstad N.V.'s (AMS:RAND) Share Price Indicate?

Randstad N.V. ( AMS:RAND ), is not the largest company out there, but it saw significant share price movement during...

Jun 12
We Think Randstad (AMS:RAND) Can Manage Its Debt With Ease

We Think Randstad (AMS:RAND) Can Manage Its Debt With Ease

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' When we think about how risky a company...

Shareholder Returns

RANDNL Professional ServicesNL Market
7D-1.0%-1.0%-0.6%
1Y-21.5%1.6%-14.5%

Return vs Industry: RAND underperformed the Dutch Professional Services industry which returned 1.6% over the past year.

Return vs Market: RAND underperformed the Dutch Market which returned -14.5% over the past year.

Price Volatility

Is RAND's price volatile compared to industry and market?
RAND volatility
RAND Average Weekly Movement4.6%
Professional Services Industry Average Movement3.9%
Market Average Movement5.1%
10% most volatile stocks in NL Market8.1%
10% least volatile stocks in NL Market3.1%

Stable Share Price: RAND is not significantly more volatile than the rest of Dutch stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: RAND's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
196046,230Sander van't Noordendehttps://www.randstad.com

Randstad N.V. provides solutions in the field of work and human resources (HR) services. It offers temporary staffing and permanent placement services for the light industrial, office and administrative, manufacturing and logistics, and other specialty areas, as well as payroll services. The company also offers on-site solutions for managing a client's workforce with specific skill sets and a fluctuating level of demand for the fast-moving consumer goods, automotive, life sciences, contact centers, manufacturing, and logistics, as well as the administrative and professional segments.

Randstad Fundamentals Summary

How do Randstad's earnings and revenue compare to its market cap?
RAND fundamental statistics
Market Cap€8.92b
Earnings (TTM)€836.00m
Revenue (TTM)€26.54b

10.7x

P/E Ratio

0.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
RAND income statement (TTM)
Revenue€26.54b
Cost of Revenue€21.07b
Gross Profit€5.47b
Other Expenses€4.64b
Earnings€836.00m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Oct 25, 2022

Earnings per share (EPS)4.57
Gross Margin20.62%
Net Profit Margin3.15%
Debt/Equity Ratio12.7%

How did RAND perform over the long term?

See historical performance and comparison

Dividends

10.3%

Current Dividend Yield

48%

Payout Ratio

Does RAND pay a reliable dividends?

See RAND dividend history and benchmarks
When do you need to buy RAND by to receive an upcoming dividend?
Randstad dividend dates
Ex Dividend DateSep 29 2022
Dividend Pay DateOct 04 2022
Days until Ex dividend52 days
Days until Dividend pay date57 days

Does RAND pay a reliable dividends?

See RAND dividend history and benchmarks
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

RAND 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/Revenue0.4x
Enterprise Value/EBITDA8x
PEG Ratio-4.6x

Price to Earnings Ratio vs Peers

How does RAND's PE Ratio compare to its peers?

RAND PE Ratio vs Peers
The above table shows the PE ratio for RAND vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average31x
BRNL Brunel International
19.7x24.2%€512.1m
WKL Wolters Kluwer
32.5x4.7%€26.7b
INTER Intertrust
59.5x26.5%€1.7b
RHI Robert Half International
12.5x-10.5%US$8.5b
RAND Randstad
10.7x-2.3%€8.9b

Price-To-Earnings vs Peers: RAND is good value based on its Price-To-Earnings Ratio (10.7x) compared to the peer average (31x).


Price to Earnings Ratio vs Industry

How does RAND's PE Ratio compare vs other companies in the European Professional Services Industry?

Price-To-Earnings vs Industry: RAND is good value based on its Price-To-Earnings Ratio (10.7x) compared to the Dutch Professional Services industry average (19.7x)


Price to Earnings Ratio vs Fair Ratio

What is RAND'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.

RAND PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio10.7x
Fair PE Ratio18.3x

Price-To-Earnings vs Fair Ratio: RAND is good value based on its Price-To-Earnings Ratio (10.7x) compared to the estimated Fair Price-To-Earnings Ratio (18.3x).


Share Price vs Fair Value

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

Below Fair Value: RAND (€48.77) is trading below our estimate of fair value (€70.8)

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


Analyst Price Targets

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

Analyst Forecast: Target price is less than 20% higher than the current share price.


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Future Growth

How is Randstad forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-2.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RAND's earnings are forecast to decline over the next 3 years (-2.3% per year).

Earnings vs Market: RAND's earnings are forecast to decline over the next 3 years (-2.3% per year).

High Growth Earnings: RAND's earnings are forecast to decline over the next 3 years.

Revenue vs Market: RAND's revenue (0.3% per year) is forecast to grow slower than the Dutch market (7.2% per year).

High Growth Revenue: RAND's revenue (0.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: RAND's Return on Equity is forecast to be low in 3 years time (12.2%).


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Past Performance

How has Randstad performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


0.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: RAND has high quality earnings.

Growing Profit Margin: RAND's current net profit margins (3.2%) are higher than last year (2.8%).


Past Earnings Growth Analysis

Earnings Trend: RAND's earnings have grown by 0.8% per year over the past 5 years.

Accelerating Growth: RAND's earnings growth over the past year (32.1%) exceeds its 5-year average (0.8% per year).

Earnings vs Industry: RAND earnings growth over the past year (32.1%) exceeded the Professional Services industry 16.4%.


Return on Equity

High ROE: RAND's Return on Equity (19.2%) is considered low.


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Financial Health

How is Randstad's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: RAND's short term assets (€6.3B) exceed its short term liabilities (€5.4B).

Long Term Liabilities: RAND's short term assets (€6.3B) exceed its long term liabilities (€1.2B).


Debt to Equity History and Analysis

Debt Level: RAND's net debt to equity ratio (3.3%) is considered satisfactory.

Reducing Debt: RAND's debt to equity ratio has reduced from 47.7% to 12.7% over the past 5 years.

Debt Coverage: RAND's debt is well covered by operating cash flow (178.7%).

Interest Coverage: RAND's interest payments on its debt are well covered by EBIT (53.3x coverage).


Balance Sheet


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Dividend

What is Randstad current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


10.25%

Current Dividend Yield

Upcoming Dividend Payment

TodayAug 08 2022Ex Dividend DateSep 29 2022Dividend Pay DateOct 04 20225 days from Ex DividendBuy in the next 52 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: RAND's dividend (10.25%) is higher than the bottom 25% of dividend payers in the Dutch market (2.21%).

High Dividend: RAND's dividend (10.25%) is in the top 25% of dividend payers in the Dutch market (5.96%)


Stability and Growth of Payments

Stable Dividend: RAND's dividend payments have been volatile in the past 10 years.

Growing Dividend: RAND's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (48%), RAND's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (102.4%), RAND's dividend payments are not well covered by cash flows.


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Management

How experienced are the management team and are they aligned to shareholders interests?

3.4yrs

Average management tenure


CEO

Sander van't Noordende (59 yo)

0.58

Tenure

€64,500

Compensation

Mr. Alexander M. Van't Noordende, also known as Sander, was Chairman of the Board at Virtusa Corporation since 2021 until January 2022 and served as its Independent Director since May 15, 2021 until Januar...


Leadership Team

Experienced Management: RAND's management team is considered experienced (3.4 years average tenure).


Board Members

Experienced Board: RAND's board of directors are considered experienced (7.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Randstad N.V.'s employee growth, exchange listings and data sources


Key Information

  • Name: Randstad N.V.
  • Ticker: RAND
  • Exchange: ENXTAM
  • Founded: 1960
  • Industry: Human Resource and Employment Services
  • Sector: Commercial Services
  • Implied Market Cap: €8.917b
  • Shares outstanding: 182.84m
  • Website: https://www.randstad.com

Number of Employees


Location

  • Randstad N.V.
  • Diemermere 25
  • Diemen
  • Noord-Holland
  • 1112 TC
  • Netherlands

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/07 00:00
End of Day Share Price2022/08/05 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.