Korn Ferry's Earnings Outlook
Korn Ferry (NYSE:KFY) is preparing to release its quarterly earnings on Wednesday, 2025-06-18. Here's a brief overview of what investors should keep in mind before the announcement.
Analysts expect Korn Ferry to report an earnings per share (EPS) of $1.23.
Investors in Korn Ferry are eagerly awaiting the company's announcement, hoping for news of surpassing estimates and positive guidance for the next quarter.
It's worth noting for new investors that stock prices can be heavily influenced by future projections rather than just past performance.
Overview of Past Earnings
In the previous earnings release, the company beat EPS by $0.06, leading to a 1.19% drop in the share price the following trading session.
Here's a look at Korn Ferry's past performance and the resulting price change:
| Quarter | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 |
|---|---|---|---|---|
| EPS Estimate | 1.13 | 1.21 | 1.12 | 1.12 |
| EPS Actual | 1.19 | 1.21 | 1.18 | 1.26 |
| Price Change % | -1.0% | -1.0% | -2.0% | -5.0% |
Stock Performance
Shares of Korn Ferry were trading at $67.62 as of June 16. Over the last 52-week period, shares are down 0.68%. Given that these returns are generally negative, long-term shareholders are likely unhappy going into this earnings release.
Insights Shared by Analysts on Korn Ferry
For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Korn Ferry.
With 2 analyst ratings, Korn Ferry has a consensus rating of Buy. The average one-year price target is $77.0, indicating a potential 13.87% upside.
Comparing Ratings with Peers
The below comparison of the analyst ratings and average 1-year price targets of Trinet Group, First Advantage and Alight, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.
- Analysts currently favor an Underperform trajectory for Trinet Group, with an average 1-year price target of $76.0, suggesting a potential 12.39% upside.
- Analysts currently favor an Neutral trajectory for First Advantage, with an average 1-year price target of $16.5, suggesting a potential 75.6% downside.
- Analysts currently favor an Buy trajectory for Alight, with an average 1-year price target of $9.75, suggesting a potential 85.58% downside.
Peer Metrics Summary
The peer analysis summary presents essential metrics for Trinet Group, First Advantage and Alight, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Korn Ferry | Buy | -0.05% | $165.36M | 3.23% |
| Trinet Group | Underperform | 0.78% | $279M | 128.79% |
| First Advantage | Neutral | 109.30% | $162.02M | -3.19% |
| Alight | Buy | -1.97% | $171M | -0.59% |
Key Takeaway:
Korn Ferry ranks at the bottom for Revenue Growth and Gross Profit, while it is in the middle for Return on Equity.
Get to Know Korn Ferry Better
Korn Ferry is a United States-based firm engaged in organizational consulting and management recruitment that helps clients fill mid- to high-level management positions. The company's segment includes Consulting; Digital; Executive Search; Professional Search & Interim; and RPO. The company generates the majority of its revenue from the Executive Search segment and Consulting segment. The consulting segment aligns organizational structure, culture, performance, development, and people to drive sustainable growth by addressing four fundamental organizational and talent needs. The Executive search segment helps organizations recruit board-level, chief executive, and other C-suite/senior executive and general management talent to deliver lasting impact.
Korn Ferry's Financial Performance
Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.
Decline in Revenue: Over the 3 months period, Korn Ferry faced challenges, resulting in a decline of approximately -0.05% in revenue growth as of 31 January, 2025. This signifies a reduction in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Industrials sector.
Net Margin: Korn Ferry's net margin is impressive, surpassing industry averages. With a net margin of 8.53%, the company demonstrates strong profitability and effective cost management.
Return on Equity (ROE): Korn Ferry's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 3.23%, the company may face hurdles in generating optimal returns for shareholders.
Return on Assets (ROA): Korn Ferry's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.61% ROA, the company effectively utilizes its assets for optimal returns.
Debt Management: With a below-average debt-to-equity ratio of 0.32, Korn Ferry adopts a prudent financial strategy, indicating a balanced approach to debt management.
To track all earnings releases for Korn Ferry visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.