Insperity, Inc. (NSP) Rating Increased to Buy at Zacks Investment Research
Insperity, Inc. (NYSE:NSP) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research report issued on Monday. The firm presently has a $94.00 price objective on the business services provider’s stock. Zacks Investment Research‘s price objective suggests a potential upside of 11.57% from the company’s current price.
According to Zacks, “Insperity reported strong second quarter 2017 results wherein both earnings and revenues exceeded expectations. On a year over year basis, revenues registered strong growth driven by increase in the average number of paid worksite employees. Management has raised guidance for the year due to elimination of double taxation (FICA and FUTA) under the Small Business Efficiency Act. Cost savings also remain on track. However, these benefits will be offset to an extent by loss of large mid-market client. We believe Insperity is well placed to benefit from the booming PEO industry over the long run. Improved client retention, diversified product portfolio, growth in worksite employees and strength in its ancillary products are the other positives. However, sluggish global macro environment is hindering growth. Also, any further increase in health care costs can mar its profitability to a great extent.”
Several other research firms also recently commented on NSP. Roth Capital upgraded shares of Insperity from a “neutral” rating to a “buy” rating and upped their price target for the company from $84.00 to $92.00 in a research report on Tuesday, August 1st. BidaskClub upgraded shares of Insperity from a “sell” rating to a “hold” rating in a research report on Sunday. One investment analyst has rated the stock with a hold rating and four have issued a buy rating to the stock. The company has an average rating of “Buy” and an average target price of $94.00.
Insperity (NYSE:NSP) traded up 1.32% during mid-day trading on Monday, hitting $85.36. 111,915 shares of the stock were exchanged. The stock’s 50 day moving average is $73.61 and its 200 day moving average is $79.71. Insperity has a 52-week low of $64.55 and a 52-week high of $93.65. The stock has a market cap of $1.75 billion, a PE ratio of 24.71 and a beta of 0.76.
Insperity (NYSE:NSP) last issued its quarterly earnings data on Tuesday, August 1st. The business services provider reported $0.82 earnings per share for the quarter, topping the consensus estimate of $0.68 by $0.14. The business had revenue of $795.50 million during the quarter, compared to the consensus estimate of $778.88 million. Insperity had a net margin of 2.34% and a return on equity of 96.85%. The company’s revenue was up 12.5% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.60 EPS. Analysts forecast that Insperity will post $4.55 EPS for the current fiscal year.
In related news, President Richard G. Rawson sold 51,000 shares of the company’s stock in a transaction on Tuesday, August 1st. The shares were sold at an average price of $84.94, for a total value of $4,331,940.00. Following the completion of the sale, the president now owns 128,868 shares in the company, valued at approximately $10,946,047.92. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, EVP Jay E. Mincks sold 2,459 shares of the company’s stock in a transaction on Thursday, August 3rd. The shares were sold at an average price of $84.53, for a total transaction of $207,859.27. The disclosure for this sale can be found here. In the last quarter, insiders sold 54,318 shares of company stock valued at $4,612,471. 13.92% of the stock is owned by insiders.
A number of hedge funds have recently added to or reduced their stakes in NSP. BlackRock Inc. increased its stake in shares of Insperity by 31,621.5% in the first quarter. BlackRock Inc. now owns 2,803,548 shares of the business services provider’s stock valued at $248,536,000 after buying an additional 2,794,710 shares during the period. Vanguard Group Inc. increased its stake in shares of Insperity by 5.5% in the first quarter. Vanguard Group Inc. now owns 2,151,051 shares of the business services provider’s stock valued at $190,691,000 after buying an additional 111,896 shares during the period. Rothschild Asset Management Inc. increased its stake in shares of Insperity by 4.3% in the second quarter. Rothschild Asset Management Inc. now owns 414,559 shares of the business services provider’s stock valued at $29,434,000 after buying an additional 17,244 shares during the period. State Street Corp increased its stake in shares of Insperity by 8.1% in the first quarter. State Street Corp now owns 403,901 shares of the business services provider’s stock valued at $35,803,000 after buying an additional 30,424 shares during the period. Finally, Prudential Financial Inc. increased its stake in shares of Insperity by 6.0% in the first quarter. Prudential Financial Inc. now owns 372,281 shares of the business services provider’s stock valued at $33,003,000 after buying an additional 21,030 shares during the period. Hedge funds and other institutional investors own 82.58% of the company’s stock.
Insperity, Inc provides a range of human resources (HR) and business solutions. The Company’s HR services offerings are provided through its Workforce Optimization and Workforce Synchronization solutions (together, its professional employer organization (PEO) HR Outsourcing solutions), which encompass a range of human resources functions, including payroll and employment administration, employee benefits, workers’ compensation, performance management and training and development services, along with its cloud-based human capital management platform, the Employee Service Center (ESC).
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