TechnoPro (OTCMKTS:TCCPY) & Kelly Services (NASDAQ:KELYA) Critical Review

Kelly Services (NASDAQ:KELYA) and TechnoPro (OTCMKTS:TCCPY) are both industrials companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, dividends, institutional ownership, analyst recommendations, risk, profitability and earnings.

Profitability

This table compares Kelly Services and TechnoPro’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kelly Services	-6.73%	2.69%	1.19%
TechnoPro	N/A	N/A	N/A

Insider & Institutional Ownership

76.3% of Kelly Services shares are owned by institutional investors. 5.4% of Kelly Services shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Kelly Services and TechnoPro”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kelly Services	$4.25 billion	0.14	-$254.10 million	($7.81)	-2.21
TechnoPro	N/A	N/A	N/A	N/A	N/A

TechnoPro has lower revenue, but higher earnings than Kelly Services.

Analyst Ratings

This is a breakdown of current ratings and price targets for Kelly Services and TechnoPro, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kelly Services	1	1	2	0	2.25
TechnoPro	0	0	0	0	0.00

Kelly Services currently has a consensus target price of $20.00, indicating a potential upside of 15.74%. Given Kelly Services’ stronger consensus rating and higher possible upside, research analysts plainly believe Kelly Services is more favorable than TechnoPro.

Summary

Kelly Services beats TechnoPro on 8 of the 9 factors compared between the two stocks.

About Kelly Services

Kelly Services, Inc., together with its subsidiaries, provides workforce solutions to various industries. The company operates through five segments: Professional & Industrial; Science, Engineering & Technology; Education; Outsourcing & Consulting; and International. The Professional & Industrial segment delivers staffing, outcome-based, and permanent placement services providing administrative, accounting, and finance; light industrial; contact center staffing; and other workforce solutions. The Science, Engineering & Technology segment offers staffing, outcome-based, and permanent placement services in the areas of science and clinical research, engineering, technology, and telecommunications specialties. The Education segment provides staffing, permanent placement, and executive search services to pre-K-12 school districts and education organizations. The Outsourcing & Consulting segment offers managed service provider, recruitment process outsourcing, payroll process outsourcing, and executive coaching programs to customers on a global basis that includes its RocketPower brand. The International segment provides staffing, recruitment process outsourcing, and permanent placement services. The company serves customers in the United States, Canada, Mexico, Puerto Rico, France, Switzerland, Portugal, Russia, Italy, rest of Europe, and the Asia-Pacific region. Kelly Services, Inc. was founded in 1946 and is headquartered in Troy, Michigan.

About TechnoPro

TechnoPro Holdings, Inc., through its subsidiaries, operates as a temporary staffing and contract work company in Japan and internationally. It operates through R&D Outsourcing, Construction Management Outsourcing, Domestic and Other Businesses, and Overseas Businesses segments. The company provides engineer dispatch and contract services in technical fields, such as electronics, embedded control, IT networks, business applications, system maintenance and operation, and biochemistry for various industries including automobiles and auto parts, industrial machinery and equipment, information and communication equipment, electrical and electronic equipment, IT, semiconductors, energy, pharmaceuticals, and chemicals. It also dispatches engineers for construction management comprising safety management, quality control, process management, and cost management in the architecture, civil engineering, equipment electrical, and plant industries; and offers contract services for business and construction drawing creation. In addition, the company provides human resource introduction, technical education, and training services; and technology outsourcing, human resources recruitment, and commissioned development services. Further, it offers subcontracting, technical consulting, domestic nearshore and overseas offshore, and in-house training services; and dispatch law revision seminars, business operational support, and study group services, as well as compliance seminars. The company was formerly known as Japan Universal Holdings Alpha Co., Ltd. TechnoPro Holdings, Inc. was incorporated in 2006 and is headquartered in Tokyo, Japan.