Insperity (NYSE:NSP) Issues Earnings Results, Misses Expectations By $0.42 EPS

Insperity (NYSE:NSP) released its quarterly earnings results on Monday. The business services provider reported ($0.20) earnings per share for the quarter, missing analysts’ consensus estimates of $0.22 by ($0.42), Briefing.com reports. The firm had revenue of $1.62 billion for the quarter, compared to analyst estimates of $1.63 billion. Insperity had a net margin of 0.60% and a return on equity of 35.32%. Insperity’s revenue for the quarter was up 4.0% on a year-over-year basis. During the same period in the previous year, the business posted $0.39 earnings per share. Insperity updated its FY 2025 guidance to 0.840-1.470 EPS and its Q4 2025 guidance to -0.790–0.160 EPS.

Insperity Stock Down 13.8%

NSP stock traded down $6.20 during mid-day trading on Tuesday, hitting $38.89. 1,152,717 shares of the company were exchanged, compared to its average volume of 538,261. The company has a debt-to-equity ratio of 3.29, a quick ratio of 1.12 and a current ratio of 1.12. The firm has a market cap of $1.47 billion, a P/E ratio of 36.53 and a beta of 0.46. The firm’s 50 day simple moving average is $49.71 and its 200 day simple moving average is $57.63. Insperity has a 1-year low of $33.00 and a 1-year high of $95.98.

Insperity Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, September 18th. Stockholders of record on Thursday, September 4th were paid a $0.60 dividend. This represents a $2.40 annualized dividend and a dividend yield of 6.2%. The ex-dividend date of this dividend was Thursday, September 4th. Insperity’s dividend payout ratio (DPR) is 226.42%.

Analyst Ratings Changes

NSP has been the subject of a number of recent analyst reports. Roth Capital reaffirmed a “buy” rating on shares of Insperity in a report on Tuesday. Zacks Research raised shares of Insperity from a “strong sell” rating to a “hold” rating in a report on Friday, October 3rd. Wall Street Zen raised shares of Insperity from a “sell” rating to a “hold” rating in a report on Saturday, September 13th. Truist Financial cut their price objective on shares of Insperity from $50.00 to $35.00 and set a “hold” rating on the stock in a research report on Tuesday. Finally, JPMorgan Chase & Co. dropped their price target on shares of Insperity from $51.00 to $34.00 and set an “underweight” rating on the stock in a research report on Tuesday. One investment analyst has rated the stock with a Buy rating, two have assigned a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, Insperity currently has a consensus rating of “Reduce” and a consensus target price of $47.67.

Insider Buying and Selling

In other Insperity news, Director Latha Ramchand acquired 1,000 shares of the stock in a transaction dated Wednesday, August 6th. The shares were bought at an average cost of $50.64 per share, for a total transaction of $50,640.00. Following the completion of the acquisition, the director directly owned 15,120 shares of the company’s stock, valued at approximately $765,676.80. This trade represents a 7.08% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Paul J. Sarvadi sold 10,850 shares of Insperity stock in a transaction that occurred on Wednesday, September 17th. The shares were sold at an average price of $51.98, for a total transaction of $563,983.00. Following the completion of the sale, the chief executive officer owned 428,001 shares in the company, valued at $22,247,491.98. This trade represents a 2.47% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 5.29% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of NSP. Royal Bank of Canada increased its position in Insperity by 205.4% during the 1st quarter. Royal Bank of Canada now owns 107,404 shares of the business services provider’s stock valued at $9,583,000 after purchasing an additional 72,241 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in shares of Insperity by 4.6% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 21,384 shares of the business services provider’s stock worth $1,908,000 after purchasing an additional 948 shares in the last quarter. Dynamic Technology Lab Private Ltd purchased a new stake in Insperity in the 1st quarter worth about $218,000. Goldman Sachs Group Inc. raised its position in shares of Insperity by 54.2% in the first quarter. Goldman Sachs Group Inc. now owns 513,785 shares of the business services provider’s stock valued at $45,845,000 after purchasing an additional 180,563 shares during the period. Finally, United Services Automobile Association bought a new stake in shares of Insperity in the first quarter valued at approximately $202,000. Institutional investors and hedge funds own 93.44% of the company’s stock.

About Insperity

Insperity, Inc engages in the provision of human resources (HR) and business solutions to improve business performance for small and medium-sized businesses primarily in the United States. It offers its HR services through its workforce optimization and workforce synchronization solutions that include a range of human resources functions, such as payroll and employment administration, employee benefits, workers' compensation, government compliance, performance management, and training and development services.