Manpower stock hits 52-week low at $59.34 amid market challenges

Published 17/12/2024, 08:00 am
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In a challenging economic environment, Manpower Inc . (MAN) stock has touched a 52-week low, reaching a price level of $59.34 USD. Despite the significant downturn, which has seen shares plummet by -25.07% over the past year, the company maintains a robust 5.03% dividend yield and has raised dividends for 14 consecutive years. Management's aggressive share buyback program further demonstrates confidence in the company's fundamentals. Investors are closely monitoring the company's performance as it navigates through the headwinds of a fluctuating job market and potential global economic uncertainties. The 52-week low serves as a critical indicator for the company's near-term outlook and may influence investment decisions as stakeholders assess the firm's strategic responses to current market conditions. According to InvestingPro analysis, the stock appears undervalued at current levels, with 12 additional exclusive insights available to subscribers, including detailed valuation metrics and growth projections.

In other recent news, ManpowerGroup (NYSE:MAN) declared a semi-annual dividend of $1.54 per share, showcasing the company's financial health and commitment to its shareholders. However, the company reported a 2% decline in third-quarter revenue, totaling $4.5 billion, and an 8% year-over-year decrease in adjusted earnings per share, falling to $1.29. On a positive note, Manpower's Talent Solutions revenue saw a 7% rise, primarily driven by a 9% revenue increase in Japan.

BMO Capital Markets, Goldman Sachs (NYSE:GS), Jefferies, and Truist Securities have all adjusted their outlooks on ManpowerGroup. BMO Capital Markets reduced the price target on Manpower shares to $71.00, while Goldman Sachs maintained a Sell rating with a steady price target of $64.00. Jefferies lowered the company's price target from $70.00 to $65.00, and Truist Securities revised its price target from $78 to $74.

These revisions were influenced by Manpower's fourth-quarter revenue and earnings per share guidance, which fell short of both firms' and consensus estimates, revealing noticeable weakness in Northern Europe. Truist Securities anticipates Manpower to experience approximately flat EBITDA growth in 2025, with a more robust growth of around 30% in EBITDA projected for 2026, despite potential financial challenges due to a higher tax rate in France. These are the recent developments that investors should be aware of.

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