NYSE:MAN

Stock Analysis Report

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Executive Summary

ManpowerGroup Inc. provides workforce solutions and services in the Americas, Southern Europe, Northern Europe, and the Asia Pacific Middle East region.


Snowflake Analysis

Undervalued with excellent balance sheet and pays a dividend.


Similar Companies

Share Price & News

How has ManpowerGroup's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: MAN's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-1.3%

MAN

4.4%

US Professional Services

2.4%

US Market


1 Year Return

-16.4%

MAN

14.6%

US Professional Services

9.2%

US Market

Return vs Industry: MAN underperformed the US Professional Services industry which returned 13.2% over the past year.

Return vs Market: MAN underperformed the US Market which returned 8.5% over the past year.


Shareholder returns

MANIndustryMarket
7 Day-1.3%4.4%2.4%
30 Day7.3%11.2%10.2%
90 Day2.2%-0.03%3.4%
1 Year-14.2%-16.4%15.5%14.6%11.6%9.2%
3 Year-23.2%-28.3%49.2%44.8%33.7%24.9%
5 Year-6.1%-15.7%65.5%56.8%59.7%41.8%

Price Volatility Vs. Market

How volatile is ManpowerGroup's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is ManpowerGroup undervalued compared to its fair value and its price relative to the market?

2.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MAN ($74.55) is trading below our estimate of fair value ($76.67)

Significantly Below Fair Value: MAN is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: MAN is good value based on its PE Ratio (10.7x) compared to the Professional Services industry average (18.6x).

PE vs Market: MAN is good value based on its PE Ratio (10.7x) compared to the US market (15.8x).


Price to Earnings Growth Ratio

PEG Ratio: MAN is good value based on its PEG Ratio (0.7x)


Price to Book Ratio

PB vs Industry: MAN is good value based on its PB Ratio (1.7x) compared to the US Professional Services industry average (2.8x).


Next Steps

Future Growth

How is ManpowerGroup forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

16.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MAN's forecast earnings growth (16% per year) is above the savings rate (2.2%).

Earnings vs Market: MAN's earnings (16% per year) are forecast to grow slower than the US market (22.1% per year).

High Growth Earnings: MAN's earnings are forecast to grow, but not significantly.

Revenue vs Market: MAN's revenue (5.4% per year) is forecast to grow slower than the US market (8.9% per year).

High Growth Revenue: MAN's revenue (5.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if MAN's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has ManpowerGroup performed over the past 5 years?

4.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MAN has high quality earnings.

Growing Profit Margin: MAN's current net profit margins (2%) are lower than last year (2.4%).


Past Earnings Growth Analysis

Earnings Trend: MAN's earnings have grown by 4.4% per year over the past 5 years.

Accelerating Growth: MAN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: MAN had negative earnings growth (-19.3%) over the past year, making it difficult to compare to the Professional Services industry average (10.2%).


Return on Equity

High ROE: MAN's Return on Equity (15.7%) is considered low.


Next Steps

Financial Health

How is ManpowerGroup's financial position?


Financial Position Analysis

Short Term Liabilities: MAN's short term assets ($6.1B) exceed its short term liabilities ($4.1B).

Long Term Liabilities: MAN's short term assets ($6.1B) exceed its long term liabilities ($2.0B).


Debt to Equity History and Analysis

Debt Level: MAN's debt to equity ratio (39.5%) is considered satisfactory.

Reducing Debt: MAN's debt to equity ratio has increased from 14.7% to 39.5% over the past 5 years.

Debt Coverage: MAN's debt is well covered by operating cash flow (85.6%).

Interest Coverage: MAN's interest payments on its debt are well covered by EBIT (17.9x coverage).


Balance Sheet


Next Steps

Dividend

What is ManpowerGroup's current dividend yield, its reliability and sustainability?

2.92%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MAN's dividend (2.92%) is higher than the bottom 25% of dividend payers in the US market (1.67%).

High Dividend: MAN's dividend (2.92%) is low compared to the top 25% of dividend payers in the US market (4.48%).


Stability and Growth of Payments

Stable Dividend: MAN's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (31.3%), MAN's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MAN's dividends in 3 years are forecast to be well covered by earnings (43.4% payout ratio).


Next Steps

Management

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

4.9yrs

Average management tenure


CEO

Jonas Prising (54yo)

6.08yrs

Tenure

US$12,545,932

Compensation

Mr. Jonas Prising has been the Chairman and Chief Executive Officer of ManpowerGroup Inc. since December 31, 2015 and May 1, 2014 respectively. Mr. Prising has been the President of The Americas Operations ...


CEO Compensation Analysis

Compensation vs Market: Jonas's total compensation ($USD12.55M) is above average for companies of similar size in the US market ($USD5.90M).

Compensation vs Earnings: Jonas's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Jonas Prising
Chairman & CEO6.08yrsUS$12.55m0.42% $18.1m
John McGinnis
Executive VP4.33yrsUS$4.13m0.016% $678.1k
Richard Buchband
Senior VP7.42yrsUS$1.72m0.011% $477.3k
Ganesh Ramakrishnan
Chief Technology Officer5.42yrsno datano data
April Dunn
Senior VP & Chief Marketing Officer3.08yrsno datano data
Michelle Nettles
Chief People and Culture Officer0.92yrno datano data
Stefano Scabbio
President of Southern Europe & Talent Solutions Global Brand Leader17.42yrsno datano data
Alain Roumilhac
Regional President of France7.58yrsno datano data
Michael Stull
Senior Vice President of North America3.5yrsno datano data
Becky Frankiewicz
Regional President of North American2.92yrsno datano data

4.9yrs

Average Tenure

53yo

Average Age

Experienced Management: MAN's management team is considered experienced (4.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jonas Prising
Chairman & CEO6.08yrsUS$12.55m0.42% $18.1m
William Downe
Lead Independent Director3.08yrsUS$356.86k0.038% $1.7m
Michael Van Handel
Director2.5yrsUS$283.39k0.014% $617.6k
Ulice Payne
Independent Director12.67yrsUS$283.20k0.013% $563.5k
Elizabeth Sartain
Independent Director9.83yrsUS$287.91k0.038% $1.7m
Patricia Hemingway Hall
Independent Director9.17yrsUS$301.90k0.018% $776.8k
John Ferraro
Independent Director4.42yrsUS$298.44kno data
Gina Boswell
Independent Director13.33yrsUS$275.00k0.012% $532.3k
Cari Dominguez
Independent Director13.08yrsUS$275.00k0.032% $1.4m
Paul Read
Independent Director5.5yrsUS$303.20k0.0092% $399.0k

7.3yrs

Average Tenure

63yo

Average Age

Experienced Board: MAN'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

ManpowerGroup Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: ManpowerGroup Inc.
  • Ticker: MAN
  • Exchange: NYSE
  • Founded: 1948
  • Industry: Human Resource and Employment Services
  • Sector: Commercial Services
  • Market Cap: US$4.328b
  • Shares outstanding: 58.05m
  • Website: https://www.manpowergroup.com

Number of Employees


Location

  • ManpowerGroup Inc.
  • 100 Manpower Place
  • Milwaukee
  • Wisconsin
  • 53212
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MANNYSE (New York Stock Exchange)YesCommon StockUSUSDMay 1991
MPWDB (Deutsche Boerse AG)YesCommon StockDEEURMay 1991

Biography

ManpowerGroup Inc. provides workforce solutions and services in the Americas, Southern Europe, Northern Europe, and the Asia Pacific Middle East region. The company offers recruitment services, including permanent, temporary, and contract recruitment of professionals, as well as administrative and industrial positions under the Manpower and Experis brands. It also offers various assessment services; training and development services; career management; and outsourcing services related to human resources functions primarily in the areas of large-scale recruiting and workforce-intensive initiatives. In addition, the company provides workforce consulting services; contingent staffing and permanent recruitment services; professional resourcing and project-based solutions in information technology, engineering, and finance fields; solutions in the areas of organizational efficiency, individual development, and career mobility; and recruitment process outsourcing, TAPFIN managed, and talent based outsourcing services, as well as Proservia services in the areas of digital services market and IT infrastructure sector. It operates through a network of approximately 2,500 offices in 75 countries and territories. The company was founded in 1948 and is headquartered in Milwaukee, Wisconsin. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/04 02:29
End of Day Share Price2020/06/03 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


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.