KELYB:NASDAQKelly Services, Inc. Analysis
Data as of 2026-05-19 - not real-time
$15.89
Latest Price
6/10Risk
Risk Level: Medium
Executive Summary
Kelly Services (KELYB) is trading just above its 20‑day moving average, which sits above the 50‑day average, signaling a short‑term bullish bias despite a neutral RSI around 50. Technical momentum is mixed – the MACD histogram is negative and the signal line is bearish, while price remains near the lower end of its recent range, close to a identified support level and well below a clear resistance ceiling.
Fundamentally, the stock appears deeply discounted relative to its discounted cash‑flow estimate, suggesting a substantial upside potential. However, profitability metrics are weak, with negative earnings per share, thin operating margins, and a negative return on equity, while cash generation is modest and debt‑to‑equity is elevated. The dividend yield of roughly 1.9% is backed by a low payout ratio and positive free cash flow, indicating reasonable sustainability. High 30‑day volatility and a decreasing volume trend add uncertainty, and the unusual negative beta figure points to atypical price behavior compared with the market.
Fundamentally, the stock appears deeply discounted relative to its discounted cash‑flow estimate, suggesting a substantial upside potential. However, profitability metrics are weak, with negative earnings per share, thin operating margins, and a negative return on equity, while cash generation is modest and debt‑to‑equity is elevated. The dividend yield of roughly 1.9% is backed by a low payout ratio and positive free cash flow, indicating reasonable sustainability. High 30‑day volatility and a decreasing volume trend add uncertainty, and the unusual negative beta figure points to atypical price behavior compared with the market.
Market Outlook
Short Term
< 1 yearNeutral
Model confidence: 5/10
Key Factors
- Price hovering near support with limited upside
- Bearish MACD signal despite bullish SMA alignment
- Decreasing volume and high short‑term volatility
Medium Term
1–3 yearsPositive
Model confidence: 7/10
Key Factors
- Significant gap between market price and DCF fair value
- Sustained dividend with low payout ratio
- Technical trend still bullish on moving averages
Long Term
> 3 yearsPositive
Model confidence: 8/10
Key Factors
- Long‑run valuation upside as market re‑prices earnings improvements
- Stable cash flow supporting dividend continuity
- Diversified geographic footprint mitigating single‑region risk
Key Metrics & Analysis
Financial Health
Revenue Growth-10.70%
Profit Margin-6.44%
ROE-24.07%
ROA0.95%
Debt/Equity18.99
P/B Ratio0.6
Op. Cash Flow$73.3M
Free Cash Flow$120.1M
Industry P/E29.5
Technical Analysis
TrendBullish
RSI50.7
Support$14.99
Resistance$17.63
MA 20$16.17
MA 50$15.02
MA 200$13.13
MACDBearish
VolumeDecreasing
Fear & Greed Index89.61
Valuation
Fair Value$40.37
GradeUndervalued
TypeValue
Dividend Yield1.89%
Risk Assessment
Beta-2.81
Volatility48.77%
Sector RiskMedium
Reg. RiskLow
Geo RiskMedium
Currency RiskMedium
Liquidity RiskHigh
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This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.