Recruit Holdings Co., Ltd.

OTCPK:RCRR.F Stock Report

Market Cap: US$105.4b

Recruit Holdings Valuation

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

Valuation Score

1/6

Valuation Score 1/6

  • 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 RCRR.F when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: RCRR.F ($69.57) is trading above our estimate of fair value ($58.97)

Significantly Below Fair Value: RCRR.F is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for RCRR.F?

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

The above table shows the Price to Earnings ratio for RCRR.F. This is calculated by dividing RCRR.F's market cap by their current earnings.
What is RCRR.F's PE Ratio?
PE Ratio45.9x
EarningsJP¥363.08b
Market CapJP¥16.65t

Price to Earnings Ratio vs Peers

How does RCRR.F's PE Ratio compare to its peers?

The above table shows the PE ratio for RCRR.F vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average33.9x
ADP Automatic Data Processing
31.4x6.5%US$121.1b
PAYX Paychex
29.6x6.4%US$51.4b
PAYC Paycom Software
24.6x2.4%US$11.7b
PCTY Paylocity Holding
50.2x15.0%US$11.2b
RCRR.F Recruit Holdings
46.8x10.1%US$17.0t

Price-To-Earnings vs Peers: RCRR.F is expensive based on its Price-To-Earnings Ratio (46.8x) compared to the peer average (33.9x).

Price to Earnings Ratio vs Industry

How does RCRR.F's PE Ratio compare vs other companies in the US Professional Services Industry?

11 CompaniesPrice / EarningsEstimated GrowthMarket Cap
CNDT Conduent
1.5x-104.3%US$681.13m
CIH China Index Holdings
3.5xn/aUS$87.15m
STCN Steel Connect
3.9xn/aUS$78.33m
ALJJ ALJ Regional Holdings
0.7xn/aUS$70.26m
RCRR.F 45.9xIndustry Avg. 24.0xNo. of Companies13PE01632486480+
11 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: RCRR.F is expensive based on its Price-To-Earnings Ratio (46.8x) compared to the US Professional Services industry average (24x).

Price to Earnings Ratio vs Fair Ratio

What is RCRR.F'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.

RCRR.F PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio45.9x
Fair PE Ratio47.3x

Price-To-Earnings vs Fair Ratio: RCRR.F is good value based on its Price-To-Earnings Ratio (46.8x) compared to the estimated Fair Price-To-Earnings Ratio (47.5x).

Analyst Price Targets

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

The above table shows the analyst RCRR.F forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$69.57
US$69.40
-0.2%
13.3%US$84.02US$48.68n/a13
Dec ’25US$72.10
US$64.55
-10.5%
15.6%US$81.46US$47.19n/a13
Nov ’25US$62.10
US$61.07
-1.7%
13.2%US$74.37US$45.01n/a13
Oct ’25US$62.20
US$64.33
+3.4%
11.9%US$76.54US$48.01n/a13
Sep ’25US$57.64
US$63.03
+9.3%
11.9%US$75.24US$47.20n/a14
Aug ’25US$58.00
US$57.24
-1.3%
13.2%US$69.84US$42.54n/a13
Jul ’25US$52.25
US$53.30
+2.0%
10.9%US$60.69US$41.49n/a13
Jun ’25US$49.12
US$49.27
+0.3%
14.3%US$58.50US$35.61n/a14
May ’25US$42.77
US$45.49
+6.4%
12.7%US$52.86US$34.59n/a14
Apr ’25US$44.99
US$44.78
-0.5%
13.1%US$52.86US$35.02n/a13
Mar ’25US$40.74
US$42.32
+3.9%
9.7%US$49.11US$35.17n/a13
Feb ’25US$40.51
US$40.80
+0.7%
13.5%US$50.13US$31.84n/a13
Jan ’25US$40.67
US$40.56
-0.3%
12.9%US$52.03US$33.04n/a13
Dec ’24US$37.80
US$37.01
-2.1%
17.7%US$47.43US$18.71US$72.1015
Nov ’24US$29.56
US$36.72
+24.2%
18.8%US$47.59US$18.77US$62.1015
Oct ’24US$31.87
US$36.97
+16.0%
19.0%US$48.08US$18.96US$62.2015
Sep ’24US$37.98
US$36.75
-3.3%
18.7%US$48.68US$19.20US$57.6415
Aug ’24US$33.37
US$37.29
+11.7%
18.7%US$48.55US$20.29US$58.0015
Jul ’24US$32.20
US$36.06
+12.0%
18.4%US$47.25US$19.75US$52.2515
Jun ’24US$30.63
US$35.90
+17.2%
18.2%US$47.66US$19.92US$49.1215
May ’24US$28.65
US$36.79
+28.4%
17.7%US$47.14US$20.95US$42.7715
Apr ’24US$27.93
US$38.98
+39.6%
18.5%US$49.71US$21.41US$44.9915
Mar ’24US$26.72
US$38.92
+45.7%
15.2%US$47.75US$25.71US$40.7415
Feb ’24US$33.05
US$43.16
+30.6%
18.5%US$57.58US$26.87US$40.5115
Jan ’24US$32.41
US$42.62
+31.5%
16.9%US$54.87US$25.61US$40.6715
Dec ’23US$31.72
US$43.25
+36.3%
16.6%US$55.43US$25.87US$37.8015

Analyst Forecast: Target price is lower than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/27 22:13
End of Day Share Price 2024/12/24 00:00
Earnings2024/09/30
Annual Earnings2024/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Recruit Holdings Co., Ltd. is covered by 28 analysts. 14 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Yoshitaka NagaoBofA Global Research
Siti Bte SalikinCFRA Equity Research
Zijie YangChina International Capital Corporation Limited