Key Takeaways NSP's margin recovery improved client mix and benefit pricing, supporting stronger profitability in 2026.HRScale entered the third quarter with nearly 8,000 worksite employees sold, including more than 5,000 live.Insperity is expanding proprietary AI tools to improve client service, productivity and access to insights. Insperity (NSP - Free Report) stock has soared 150.4% over the past six months, outpacing the industry and the Zacks S&P 500 Composite's 71.8% and 12.7% gains, respectively.
6-Month Share Price Performance Image Source: Zacks Investment Research
Let us delve deeper into the factors that have contributed to the company’s outperformance.
Margin Recovery Plan Pays OffInsperity’s pricing results progressed in tandem with the margin recovery plan. The company recorded lower profitability from client termination than from retention, resulting in a favorable change in client mix. This strategy improved the price and cost matching in its benefits business during the second quarter of 2026.
Benefits cost per covered employee gained 5.2% year over year, consistent with the first quarter and management expectations, with favorable client mix, design changes and the UnitedHealthcare contract, which offset higher healthcare cost trends.
The lowered pooling threshold led to fixed higher premium costs earlier in 2026, with claims reimbursements significantly weighing in the later half of the year. The company’s historical earnings seasonality is expected to decline, with the favorable claim-cost impact turning vivid in the second half of the year.
Paul Sarvadi, the CEO, stated during the recent earnings call that the company is on track to achieve the goals set for margin recovery in 2026 and is laying the groundwork for regaining growth momentum. Achieving these objectives is expected to lay the foundation for balancing growth and profitability in 2027 and delivering shareholder value in the upcoming years.
HRScale: New Growth AvenueHRScale is a vital growth catalyst deployed by the company at a lower upfront investment, reduced time to value and lower ongoing costs compared with a combination of HCM and HR service vendors. The company onboarded beta clients in March and processed payrolls and invoices in April as per schedule. In the first quarter of 2026, the company signed commitments for approximately 6,000 worksite employees to be onboarded within the next six months.
HRScale’s rollout gained momentum during the second quarter of 2026. The company entered the third quarter with sold HRScale accounts representing nearly 8,000 worksite employees, including more than 5,000 already live and nearly 3,000 undergoing implementations.
Management is bullish on this technology’s ability to expand the company’s addressable market and solidify sales and larger client retention. Following the beta clients going live during the second quarter, HRScale development investment declined to $8 million, suggesting that the offering is moving beyond its initial development stage as the company ramps client implementation and commercial activity.
AI Integration Enhances HR PlatformInsperity is incorporating proprietary AI capabilities into its HR services to improve clients' experiences, raise productivity and accelerate product development. Insperity’s in-house tool is transforming into a scalable enterprise AI platform, laying down a foundation that connects data and business knowledge across the company.
HR360 Agent already assists clients and worksite employees in accessing answers, resources and service support efficiently. The company is expanding its functionality to deliver conversational reporting and swift business insights. Management anticipates that these capabilities will solidify service delivery, enhance productivity and allow clients to access insights at a faster rate.
Zacks Rank & Stocks to ConsiderNSP currently carries a Zacks Rank #3 (Hold).
Better-ranked stocks in the broader Zacks Business Services sector include ScanSource (SCSC - Free Report) and Figure Technology Solutions (FIGR - Free Report) , each currently sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
ScanSource has a long-term earnings growth expectation of 15%. SCSC delivered a trailing four-quarter earnings surprise of 7.8%, on average.
Figure Technology Solutions has a long-term earnings growth expectation of 51.7%. FIGR delivered a trailing four-quarter earnings surprise of 28.2%, on average.
BlackRock Inc. bought a new position in Insperity, Inc. (NYSE:NSP – Free Report) in the second quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor bought 5,549,328 shares of the business services provider’s stock, valued at approximately $229,243,000. BlackRock Inc. owned 14.53% of Insperity at the end of the most recent quarter.
Other large investors have also recently added to or reduced their stakes in the company. Hawk Ridge Capital Management LP bought a new position in shares of Insperity during the first quarter worth about $39,608,000. Goldman Sachs Group Inc. grew its stake in shares of Insperity by 140.5% during the 4th quarter. Goldman Sachs Group Inc. now owns 1,471,160 shares of the business services provider’s stock worth $56,963,000 after acquiring an additional 859,326 shares in the last quarter. Invesco Ltd. raised its holdings in shares of Insperity by 117.8% in the fourth quarter. Invesco Ltd. now owns 1,137,255 shares of the business services provider’s stock valued at $44,035,000 after purchasing an additional 615,100 shares during the last quarter. Reinhart Partners LLC. lifted its position in shares of Insperity by 24.6% in the fourth quarter. Reinhart Partners LLC. now owns 2,745,035 shares of the business services provider’s stock worth $106,288,000 after purchasing an additional 542,709 shares in the last quarter. Finally, Pine Valley Investments Ltd Liability Co bought a new stake in shares of Insperity in the first quarter worth $12,890,000. Institutional investors own 93.44% of the company’s stock.
Insider Buying and Selling In related news, CEO Paul J. Sarvadi purchased 233,000 shares of the stock in a transaction dated Wednesday, June 3rd. The stock was bought at an average cost of $34.05 per share, for a total transaction of $7,933,650.00. Following the completion of the acquisition, the chief executive officer owned 1,105,912 shares of the company’s stock, valued at approximately $37,656,303.60. This represents a 26.69% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. 5.77% of the stock is currently owned by insiders.
Analyst Upgrades and Downgrades A number of analysts recently issued reports on NSP shares. JPMorgan Chase & Co. lowered their target price on Insperity from $35.00 to $33.00 and set an “underweight” rating on the stock in a research report on Friday, May 1st. Robert W. Baird set a $56.00 price target on Insperity in a research report on Friday, July 31st. Roth Capital set a $61.00 price target on Insperity in a research report on Friday, July 31st. Weiss Ratings upgraded Insperity from a “sell (d)” rating to a “sell (d+)” rating in a research note on Wednesday, July 15th. Finally, Truist Financial set a $52.00 price objective on Insperity and gave the stock a “hold” rating in a research note on Wednesday, July 22nd. One equities research analyst has rated the stock with a Buy rating, two have assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, Insperity presently has an average rating of “Reduce” and an average target price of $53.33. Get Our Latest Report on Insperity
Insperity Stock Performance Shares of NYSE NSP opened at $51.85 on Friday. The company has a debt-to-equity ratio of 6.87, a current ratio of 1.11 and a quick ratio of 1.11. The firm has a market cap of $1.98 billion, a price-to-earnings ratio of -120.59 and a beta of 0.52. The stock’s fifty day moving average price is $48.11 and its two-hundred day moving average price is $35.69. Insperity, Inc. has a one year low of $18.57 and a one year high of $57.22.
Insperity (NYSE:NSP – Get Free Report) last announced its earnings results on Wednesday, July 29th. The business services provider reported $0.34 EPS for the quarter, topping the consensus estimate of $0.32 by $0.02. The company had revenue of $1.69 billion for the quarter, compared to analysts’ expectations of $1.67 billion. Insperity had a negative net margin of 0.23% and a negative return on equity of 19.99%. The business’s revenue for the quarter was up 1.7% on a year-over-year basis. During the same period last year, the firm earned $0.26 earnings per share. Insperity has set its FY 2026 guidance at 1.880-2.430 EPS and its Q3 2026 guidance at -0.090-0.410 EPS. On average, equities analysts forecast that Insperity, Inc. will post 1.07 EPS for the current year.
Insperity Dividend Announcement The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 17th. Investors of record on Wednesday, September 2nd will be given a dividend of $0.60 per share. This represents a $2.40 dividend on an annualized basis and a yield of 4.6%. The ex-dividend date is Wednesday, September 2nd. Insperity’s dividend payout ratio is currently -558.14%.
About Insperity (Free Report)
Insperity, Inc is a leading provider of human resources and business performance solutions designed to help small and midsize businesses operate more efficiently. Headquartered in Kingwood, Texas, the company offers a comprehensive suite of products and services that span workforce management, payroll administration, employee benefits, risk management, and talent development. By leveraging its proprietary technology platform and team of HR experts, Insperity enables clients to focus on core business objectives while outsourcing complex administrative functions.
The company’s flagship offering is its Professional Employer Organization (PEO) service, which allows clients to outsource critical HR tasks such as payroll processing, workers’ compensation administration, and compliance with employment regulations.
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A month has gone by since the last earnings report for Insperity, Inc. (NSP - Free Report) . Shares have lost about 4.1% in that time frame, underperforming the S&P 500.
But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Insperity due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its latest earnings report in order to get a better handle on the important drivers.
Insperity Q2 Earnings Beat EstimateInsperity reported impressive second-quarter 2026 results, with earnings and revenues beating the Zacks Consensus Estimate.
NSP reported adjusted earnings of 34 cents per share in the second quarter of 2026, up 31% year over year and surpassing the Zacks Consensus Estimate of 33 cents by 3.0%. Revenues increased 2% to $1.69 billion and beat the consensus mark of $1.67 billion by 0.5%.
Results benefited from lower operating expenses and progress across the company’s margin recovery initiatives. However, average paid worksite employees, or WSEEs, declined 1% to 305,764, partly offsetting higher pricing and revenue per employee.
NSP Advances Margin Recovery PlanAdjusted EBITDA rose 13% year over year to $36 million. Reported net income improved to $4 million from a loss of $5 million in the prior-year quarter, whereas diluted earnings were 10 cents per share against a loss of 14 cents.
Management said that all three components of its recovery plan contributed to the quarterly results. These included pricing and client retention actions, benefit plan and policy changes, and operating expense management. The company expects the cumulative impacts of these measures to support a significant profit recovery during 2026.
Insperity's Unit Economics Remain PressuredRevenues per WSEE per month increased 3% to $1,838, reflecting higher pricing. Gross billings per WSEE rose to $11,895 from $11,385, while payroll cost per WSEE increased to $10,057 from $9,597.
Despite the pricing gains, gross profit declined 3% to $217 million. Gross profit per WSEE slipped 1% to $237 as benefit costs per covered employee increased 5%. The higher benefit expenses continued to pressure unit profitability, even as pricing helped support top-line growth.
NSP Reduces Expenses & Workday CostsOperating expenses decreased 8% year over year to $211 million. Salaries, wages and payroll taxes declined 11% to $115 million, while stock-based compensation fell 35% to $13 million. These reductions more than offset a 27% increase in advertising expenses to $14 million.
The quarter included $8 million in costs related to Insperity’s strategic partnership with Workday, down from $14 million a year earlier. Lower partnership spending and broader expense discipline helped the company generate operating income of $6 million against an operating loss of $7 million in the prior-year period.
Insperity's 1H Results Stay MixedFor the first six months of 2026, revenues increased 2% to $3.58 billion as revenues per WSEE advanced 3%. Average paid WSEEs declined 1% to 304,407, reflecting continued softness in employee volumes.
First-half adjusted EBITDA increased 4% to $139 million, but adjusted earnings declined 10% to $1.64 per share. Gross profit fell 3% to $519 million, while adjusted operating expenses decreased 6% to $442 million. Reported net income declined 20% to $37 million, partly reflecting higher income tax expenses.
NSP Maintains Liquidity While Returning CashInsperity ended June with $95 million of adjusted cash, cash equivalents and marketable securities, up from $57 million at the end of 2025. In the second quarter, the company borrowed $50 million for working capital purposes, bringing outstanding credit-facility borrowings to $420 million.
Cash outlays during the first six months included $46 million in dividends and $13 million in capital expenditure. NSP also repurchased approximately 172,000 shares for $4 million, maintaining shareholder distributions while continuing to fund operating and technology priorities.
Insperity Sets Q3 & 2026 GuidanceFor the third quarter of 2026, management expects average paid WSEEs of 305,500-307,500, indicating a year-over-year decline of 1.7-2.3%. The adjusted bottom line is projected between a loss of 9 cents and earnings of 41 cents per share, while adjusted EBITDA is anticipated to be $14-$41 million.
For 2026, Insperity updated the average paid WSEEs forecast to 305,000-307,000 from the preceding quarter’s view of 303,000-307,000. It marks a decline of 1-1.6% from the 1-2.3% given during the first quarter of 2026.
Adjusted earnings are updated to $1.88-$2.43 per share from the first-quarter 2026 view of $1.6-$2.6, with a revised adjusted EBITDA expectation of $185-$225 million compared with the preceding quarter’s view of $170-$230 million. Management plans to focus on its refined sales approach, HRScale development and artificial intelligence initiatives as it works to restore growth momentum.
How Have Estimates Been Moving Since Then?Since the earnings release, investors have witnessed a flat trend in estimates revision.
The consensus estimate has shifted 50% due to these changes.
VGM ScoresAt this time, Insperity has a great Growth Score of A, though it is lagging a bit on the Momentum Score front with a B. Charting a somewhat similar path, the stock has a grade of A on the value side, putting it in the top quintile for value investors.
Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook Insperity has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry PlayerInsperity belongs to the Zacks Staffing Firms industry. Another stock from the same industry, ManpowerGroup (MAN - Free Report) , has gained 19.9% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026.
Manpower reported revenues of $4.86 billion in the last reported quarter, representing a year-over-year change of +7.5%. EPS of $0.99 for the same period compares with $0.78 a year ago.
For the current quarter, Manpower is expected to post earnings of $1.01 per share, indicating a change of +21.7% from the year-ago quarter. The Zacks Consensus Estimate has changed -1% over the last 30 days.
Manpower has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of B.
HOUSTON--(BUSINESS WIRE)--Insperity, Inc. (NYSE: NSP), a leading provider of human resources and business performance solutions for America's best businesses, today announced that its board of directors has declared a quarterly cash dividend of $0.60 per share. The cash dividend will be paid on September 17, 2026, to all stockholders of record as of September 2, 2026. About Insperity Since 1986, Insperity's mission has been to help businesses succeed so communities prosper. Offering a suite of.
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Key Takeaways Insperity shares jumped 60.4% in three months compared with the industry's 55.1% gain.NSP's margin recovery plan helped lift Q2 adjusted EBITDA 13% y/y and net income to $4 million.NSP ended Q2 with $700 million in cash and securities, but had $420 million in credit-facility borrowings. Shares of Insperity, Inc. (NSP - Free Report) have surged 60.4% over the past three months compared with the industry’s 55.1% return.
NSP has a Growth Score of A. This style score condenses key financial metrics to reflect a fair sense of the quality and sustainability of its growth.
The company’s third-quarter 2026 earnings are expected to increase more than 100% year over year. Earnings for 2026 and 2027 are projected to rise more than 100% and 38.4% year over year, respectively. Revenues are expected to increase 1.4% in 2026 and 4.6% in 2027.
Factors That Bode Well for NSPExpanding PEO Market: Insperity is benefiting from the rapidly growing global professional employer organization (PEO) market. This growth is driven by the proliferation of small and medium-sized businesses, increased costs related to workers’ compensation insurance coverage, workplace safety programs, employee-related complaints and litigation, and complex regulations governing payroll, payroll tax and employment issues. The company’s expertise as a leader in PEO services drives growth by meeting this growing demand.
Margin Recovery Actions Should Sustain Momentum: NSP prioritizes margin recovery in the first year of its three-year plan. During the second quarter of 2026, the company’s Adjusted EBITDA rose 13% year over year to $36 million. Reported net income improved to $4 million from a loss of $5 million in the prior-year quarter. Recently, management stated that its recovery plan contributed to positive results, driven by strategic pricing and client retention actions, benefit plan and policy changes, and operating expense management. The company expects the collective impact of these measures to drive a significant profit recovery during 2026.
Consistent Dividends & Buybacks: The company has consistently demonstrated its commitment to rewarding shareholders through dividends and share buybacks. During 2023, 2024 and 2025, the company paid out dividends of $77 million, $89 million and $90 million while repurchasing shares worth $131.5 million, $63 million and $19 million, respectively. During the first six months of 2026, NSP paid $46 million in dividends and repurchased approximately 172,000 shares for $4 million. These policies make the stock more attractive to investors.
Robust Liquidity: Insperity held $700 million in cash and cash equivalents and marketable securities at the end of the second quarter of 2026, against zero current debt. This demonstrates that the company has sufficient liquidity to support growth. Moreover, NSP’s current ratio is at 1.11, almost in line with 1.12 from the preceding quarter. While it may not have surpassed the industry average of 1.31, it exceeds 1, which is a green flag for investors as it signals effective coverage of short-term obligations.
Watch Out for These Risks to NSP StockStiff Rivalry: Insperity operates in a very competitive industry with companies like HireQuest, Kforce and TrueBlue. However, the competition is stiffer in the PEO industry. Competition in the PEO industry persists primarily in terms of the quality of services offered and benefits packaging and pricing. Moreover, PEOs are substantially dependent on climatic conditions and the target markets in which they operate. This puts pressure on the company to maintain cost efficiency and increases the challenge of balancing growth and profitability.
Elevated Debt: NSP’s high debt to fund operational needs is a concern for investors. The company had outstanding borrowings of $420 million under its credit facility during the second quarter of 2026. It signals cash flow pressure, lowering capital flexibility and raising a red flag for risk-sensitive investors.
Insperity has a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Stocks to ConsiderA couple of better-ranked stocks in the broader Business Services sector are Bright Horizons Family Solutions Inc. (BFAM - Free Report) and CBIZ, Inc. (CBZ - Free Report) .
Bright Horizons Family Solutions carries a Zacks Rank #2 (Buy) at present. It has a long-term earnings growth expectation of 13.9%.
BFAM delivered a trailing four-quarter earnings surprise of 7.6%, on average.
CBIZ also holds a Zacks Rank of 2 at present. It has a long-term earnings growth expectation of 11.6%.
Bank of America Corp DE reduced its holdings in Insperity, Inc. (NYSE:NSP – Free Report) by 42.0% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 1,345,533 shares of the business services provider’s stock after selling 976,212 shares during the period. Bank of America Corp DE owned about 3.53% of Insperity worth $36,383,000 at the end of the most recent quarter.
Other institutional investors and hedge funds have also made changes to their positions in the company. Empowered Funds LLC purchased a new position in shares of Insperity during the 1st quarter valued at approximately $3,129,000. Hawk Ridge Capital Management LP purchased a new stake in Insperity in the 1st quarter worth $39,608,000. Quantinno Capital Management LP raised its position in Insperity by 43.2% during the first quarter. Quantinno Capital Management LP now owns 68,101 shares of the business services provider’s stock worth $1,841,000 after acquiring an additional 20,535 shares during the period. Public Employees Retirement System of Ohio raised its position in Insperity by 48.1% during the first quarter. Public Employees Retirement System of Ohio now owns 1,299 shares of the business services provider’s stock worth $35,000 after acquiring an additional 422 shares during the period. Finally, Towle & Co. purchased a new position in Insperity during the first quarter valued at $4,864,000. 93.44% of the stock is currently owned by hedge funds and other institutional investors.
Insider Activity at Insperity In other news, CEO Paul J. Sarvadi bought 233,000 shares of Insperity stock in a transaction that occurred on Wednesday, June 3rd. The shares were purchased at an average price of $34.05 per share, with a total value of $7,933,650.00. Following the completion of the acquisition, the chief executive officer directly owned 1,105,912 shares in the company, valued at $37,656,303.60. The trade was a 26.69% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Corporate insiders own 5.77% of the company’s stock.
Insperity Stock Performance NYSE NSP opened at $52.12 on Friday. The company has a debt-to-equity ratio of 6.87, a current ratio of 1.11 and a quick ratio of 1.11. The company has a market cap of $1.99 billion, a P/E ratio of -121.21 and a beta of 0.52. The stock has a 50-day moving average of $45.31 and a two-hundred day moving average of $35.09. Insperity, Inc. has a 1-year low of $18.57 and a 1-year high of $57.22.
Insperity (NYSE:NSP – Get Free Report) last released its earnings results on Wednesday, July 29th. The business services provider reported $0.34 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.32 by $0.02. The company had revenue of $1.69 billion for the quarter, compared to analyst estimates of $1.67 billion. Insperity had a negative net margin of 0.23% and a negative return on equity of 19.99%. The firm’s quarterly revenue was up 1.7% on a year-over-year basis. During the same period in the prior year, the business earned $0.26 EPS. Insperity has set its FY 2026 guidance at 1.880-2.430 EPS and its Q3 2026 guidance at -0.090-0.410 EPS. As a group, analysts anticipate that Insperity, Inc. will post 1.07 EPS for the current year.
Insperity Announces Dividend The business also recently disclosed a quarterly dividend, which was paid on Thursday, June 18th. Stockholders of record on Thursday, June 4th were given a dividend of $0.60 per share. The ex-dividend date of this dividend was Thursday, June 4th. This represents a $2.40 dividend on an annualized basis and a dividend yield of 4.6%. Insperity’s payout ratio is currently -558.14%.
Analyst Upgrades and Downgrades A number of research firms have recently commented on NSP. Roth Capital set a $61.00 target price on shares of Insperity in a research note on Friday, July 31st. Weiss Ratings raised shares of Insperity from a “sell (d)” rating to a “sell (d+)” rating in a research note on Wednesday, July 15th. Truist Financial set a $52.00 price objective on Insperity and gave the stock a “hold” rating in a report on Wednesday, July 22nd. Robert W. Baird set a $56.00 price objective on Insperity in a research note on Friday, July 31st. Finally, JPMorgan Chase & Co. reduced their target price on Insperity from $35.00 to $33.00 and set an “underweight” rating for the company in a report on Friday, May 1st. One equities research analyst has rated the stock with a Buy rating, two have given a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat, the company has a consensus rating of “Reduce” and an average price target of $53.33.
Check Out Our Latest Stock Report on Insperity
Insperity Profile (Free Report)
Insperity, Inc is a leading provider of human resources and business performance solutions designed to help small and midsize businesses operate more efficiently. Headquartered in Kingwood, Texas, the company offers a comprehensive suite of products and services that span workforce management, payroll administration, employee benefits, risk management, and talent development. By leveraging its proprietary technology platform and team of HR experts, Insperity enables clients to focus on core business objectives while outsourcing complex administrative functions.
The company’s flagship offering is its Professional Employer Organization (PEO) service, which allows clients to outsource critical HR tasks such as payroll processing, workers’ compensation administration, and compliance with employment regulations.
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A high dividend yield is a promise, not a payment. When that yield grows larger than a company’s ability to support it, the payout can disappear faster than the stock recovers.
Consider that Vail Resorts (NYSE:MTN | MTN Price Prediction) is now paying $8.88 per share in annualized dividends against a fiscal 2026 net income guide of just $128 million to $162 million. When the payout becomes a multiple of the earnings backing it, income investors have a problem.
The rule of thumb is simple: a dividend needs to be covered, ideally more than once, by the right earnings base. For traditional operating companies like the following five, that means EPS and free cash flow. When either falls short and management keeps the payout in place anyway, that is a warning sign, not reassurance.
Vail Resorts (NYSE: MTN) Vail’s 5.94% yield is the sort of number that catches a retiree’s eye. The problem is what sits underneath it. Trailing diluted EPS is $4.65 against the $8.88 annualized payout, an EPS payout ratio well north of 100%.
The operational picture is uglier. Q3 fiscal 2026 revenue fell 7.0% year over year to $1.21 billion, skier visits sank 15.5%, and management cut full-year net income guidance to $128 million to $162 million from $144 million to $190 million. Net debt to reported EBITDA rose to 3.5x from 3.1x, and shareholders’ equity is down 38.38% year over year. A rebound in visitation would help, but the dividend is being held through obvious operational stress.
United Parcel Service (NYSE: UPS) United Parcel Service (NYSE:UPS) shares trade around $109.03, putting the $6.56 annualized dividend at roughly 6.0%. The payout has been stuck at $1.64 per quarter for six consecutive quarters, an unusual pause for a company that raised annually for years.
Free cash flow is the tell. In fiscal 2025, UPS generated $4.77 billion of free cash flow and paid out $5.40 billion in dividends, a shortfall of roughly $633 million. Q2 2026 was worse: FCF of $194 million against dividend payments of $1.36 billion, covering just 14.3% of the outflow. GAAP EPS was just $0.71 in Q2, with net income down 52.92% year over year.
Management insists transformation savings of roughly $3 billion annualized and a raised adjusted EPS guide of $7.22 keep the dividend viable. Investors should watch whether GAAP earnings and free cash flow catch up before the shortfall widens further.
Monro (NASDAQ: MNRO) Monro (NASDAQ:MNRO) has a 9.14% yield that is the biggest on this list, and it is high for the classic wrong reason: the stock is down 73.57% over five years and 34.44% year to date.
Coverage is broken. Trailing EPS sits at $0.23 against a $1.12 annualized payout. The company posted an adjusted diluted loss of $0.09 in Q1 fiscal 2027 and a loss of $0.16 the prior quarter. Q2 2026 operating cash flow was negative $30.4 million, and financing activities supplied $29.8 million, essentially borrowing to keep the lights on. Full-year operating cash flow has collapsed from $215 million in fiscal 2023 to $70 million in fiscal 2026.
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The board has launched a strategic review that includes a potential sale. Any acquirer would almost certainly rework the capital return policy.
Robert Half (NYSE: RHI) Robert Half (NYSE:RHI) yields around 5.9% after a five-year price drop of 57.9%. The staffing cycle has been unforgiving, and it shows up in the numbers backing the $0.59 quarterly dividend.
Trailing EPS is $1.15 against a $2.36 annualized payout, a coverage ratio under 0.5x. Q2 2026 diluted EPS was just $0.26, and Q1 was $0.14. Q2 net income fell 35.76% year over year. Protiviti gross margin compressed to 13.5% from 19.7%, and management flagged a GAAP operating loss of $62.3 million in the quarter tied to a one-time item.
Bulls point to a third straight sequential quarter of talent solutions growth and improving permanent placement demand. If white-collar hiring turns, the dividend survives. If AI-driven disruption to staffing accelerates instead, the payout looks exposed.
Insperity (NYSE: NSP) Insperity (NYSE:NSP) yields 4.74% on its $0.60 quarterly dividend, and on paper that looks manageable. The balance sheet complicates the case.
Trailing EPS is negative $0.44 against a $2.40 annualized payout. Full-year 2026 adjusted EPS guidance spans $1.88 to $2.43, meaning the low end barely covers the dividend. Shareholders’ equity has fallen to $61 million, down 45.54% year over year, while total liabilities of $2.17 billion dwarf that cushion. Benefits costs per covered employee are up 5%, and average paid worksite employees are declining.
CEO Paul Sarvadi bought 100,000 shares on the open market after the Q1 report, a genuine vote of confidence. The margin recovery plan needs to work, and quickly, for the payout to hold at current levels.
The Bottom Line A dividend cut usually takes the share price with it, which turns a value hunt into a double loss. None of these payouts is destined to fall, but each carries the fingerprints of a stretched income stream: earnings below the payout, cash flow that leans on financing, or a balance sheet running thin. Yield alone is never a buy thesis. When the coverage math stops working, the market tends to price the risk before management admits it.
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On July 31, 2026, Insperity Inc (NSP) shares fell 6.3% to a current price of $50.61, continuing a volatile year with a 52-week range of $18.57 to $57.41. The re
Key Takeaways Insperity is pursuing growth through HRScale, its Workday partnership and AI initiatives.Higher pricing lifted revenue per worksite employee 3%, offsetting a 1% decline in paid employees.Workday-related expenses fell, but higher benefits costs and broad competition still pressure profitability. Insperity, Inc. (NSP - Free Report) is trying to rebuild growth momentum at a time when demand for outsourced human resources support is becoming more complex.
The opportunity is clear: small and midsized businesses still need help with payroll, compliance, benefits and workplace-safety risks. The harder question is whether Insperity can convert that demand into profitable growth through HRScale, its Workday partnership and artificial intelligence initiatives.
Insperity Targets a Fast-Growing PEO MarketThe global professional employer organization market is expected to reach $189.8 billion by 2034, reflecting an 11.1% compound annual growth rate. That forecast supports Insperity’s long-term positioning in outsourced HR services.
Demand is being driven by small and midsized business growth, complex payroll and employment rules, workers’ compensation costs, workplace safety needs and employee-related litigation risk. These pressures make full-service HR outsourcing more relevant for companies without large internal HR teams.
NSP Uses Pricing to Offset Employee SoftnessInsperity’s second-quarter revenues increased 2% to $1.7 billion even as average paid worksite employees declined 1% to 305,764. The offset came from a 3% increase in revenue per worksite employee on higher pricing.
That pricing discipline matters because employee growth remains muted. Management’s margin recovery plan relies on pricing and client retention, benefit plan and policy changes, and operating expense management to protect profitability while benefits costs remain elevated.
Insperity Invests in HRScale and AIManagement is focused on restoring worksite employee growth momentum through a refined sales motion, HRScale progress and AI initiatives. These efforts are intended to support sales and retention after a first half shaped by margin recovery actions.
HRScale is central to the technology strategy. The solution combines Insperity’s HR expertise with Workday Human Capital Management capabilities, while the broader offering includes payroll, performance management, recruiting, expense management, organizational planning and other cloud-based tools.
NSP's Workday Spending Begins to DeclineInsperity’s operating expenses fell 8% year over year to $211 million in the second quarter. Expenses related to the Workday strategic partnership declined to $8 million from $14 million a year earlier.
Lower implementation spending can help operating leverage if the platform continues to support growth initiatives. The strategic value remains tied to whether HRScale can improve Insperity’s appeal to growing and middle-market companies.
Insperity Faces Cost and Competition PressuresIndustry growth does not remove execution risk. Gross profit declined 3% to $217 million in the second quarter, and gross profit per worksite employee fell 1% to $237 as benefits costs per covered employee increased 5%.
The competitive set is broad. Automatic Data Processing, Inc. (ADP - Free Report) operates in payroll, human capital management and professional employer organization services, giving clients another national outsourcing option. Paychex, Inc. (PAYX - Free Report) also serves small and midsized businesses with payroll, human resources, retirement and insurance services, reinforcing the need for Insperity to differentiate on service quality, packaging and technology.
Insperity's Scores Frame the Trend OpportunityThe bottom line is that Insperity has exposure to a growing PEO market and is investing in tools that could make its offering more scalable. Still, the near-term setup is not clean because employee softness, benefits costs and competitive pressure remain part of the story.
NSP currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
That rank suggests the stock lacks a clearly favorable near-term earnings-revision signal, even though the longer-term industry and technology themes remain relevant.
The Style Scores add nuance. A Growth Score of A and VGM Score of A support the view that the stock has favorable growth and blended style characteristics, while a Value Score of B is also constructive. The Momentum Score of D, however, reflects weaker near-term momentum and helps explain why the opportunity has not yet become an unequivocal investment signal.
Key Takeaways NSP reported Q2 adj EPS of 34 cents, up 31% y/y, beating estimates as revenues rose 2% to $1.69B.NSP benefited from lower operating expenses and margin recovery actions, raising EBITDA 13% y/y.NSP saw WSEE decline and higher benefit costs, pushing gross profit down 3% despite pricing gains. Insperity, Inc. (NSP - Free Report) reported impressive second-quarter 2026 results, with earnings and revenues beating the Zacks Consensus Estimate.
The stock gained 2.7% since the earnings release on July 29 in response to better-than-expected results.
NSP reported adjusted earnings of 34 cents per share in the second quarter of 2026, up 31% year over year and surpassing the Zacks Consensus Estimate of 33 cents by 3.0%. Revenues increased 2% to $1.69 billion and beat the consensus mark of $1.67 billion by 0.5%.
Results benefited from lower operating expenses and progress across the company’s margin recovery initiatives. However, average paid worksite employees, or WSEEs, declined 1% to 305,764, partly offsetting higher pricing and revenue per employee.
NSP Advances Margin Recovery PlanAdjusted EBITDA rose 13% year over year to $36 million. Reported net income improved to $4 million from a loss of $5 million in the prior-year quarter, whereas diluted earnings were 10 cents per share against a loss of 14 cents.
Management said that all three components of its recovery plan contributed to the quarterly results. These included pricing and client retention actions, benefit plan and policy changes, and operating expense management. The company expects the cumulative impacts of these measures to support a significant profit recovery during 2026.
Insperity's Unit Economics Remain PressuredRevenues per WSEE per month increased 3% to $1,838, reflecting higher pricing. Gross billings per WSEE rose to $11,895 from $11,385, while payroll cost per WSEE increased to $10,057 from $9,597.
Despite the pricing gains, gross profit declined 3% to $217 million. Gross profit per WSEE slipped 1% to $237 as benefit costs per covered employee increased 5%. The higher benefit expenses continued to pressure unit profitability, even as pricing helped support top-line growth.
NSP Reduces Expenses & Workday CostsOperating expenses decreased 8% year over year to $211 million. Salaries, wages and payroll taxes declined 11% to $115 million, while stock-based compensation fell 35% to $13 million. These reductions more than offset a 27% increase in advertising expenses to $14 million.
The quarter included $8 million in costs related to Insperity’s strategic partnership with Workday, down from $14 million a year earlier. Lower partnership spending and broader expense discipline helped the company generate operating income of $6 million against an operating loss of $7 million in the prior-year period.
Insperity's 1H Results Stay MixedFor the first six months of 2026, revenues increased 2% to $3.58 billion as revenues per WSEE advanced 3%. Average paid WSEEs declined 1% to 304,407, reflecting continued softness in employee volumes.
First-half adjusted EBITDA increased 4% to $139 million, but adjusted earnings declined 10% to $1.64 per share. Gross profit fell 3% to $519 million, while adjusted operating expenses decreased 6% to $442 million. Reported net income declined 20% to $37 million, partly reflecting higher income tax expenses.
NSP Maintains Liquidity While Returning CashInsperity ended June with $95 million of adjusted cash, cash equivalents and marketable securities, up from $57 million at the end of 2025. In the second quarter, the company borrowed $50 million for working capital purposes, bringing outstanding credit-facility borrowings to $420 million.
Cash outlays during the first six months included $46 million in dividends and $13 million in capital expenditure. NSP also repurchased approximately 172,000 shares for $4 million, maintaining shareholder distributions while continuing to fund operating and technology priorities.
Insperity Sets Q3 & 2026 GuidanceFor the third quarter of 2026, management expects average paid WSEEs of 305,500-307,500, indicating a year-over-year decline of 1.7-2.3%. The adjusted bottom line is projected between a loss of 9 cents and earnings of 41 cents per share, while adjusted EBITDA is anticipated to be $14-$41 million.
For 2026, Insperity updated the average paid WSEEs forecast to 305,000-307,000 from the preceding quarter’s view of 303,000-307,000. It marks a decline of 1-1.6% from the 1-2.3% given during the first quarter of 2026.
Adjusted earnings are updated to $1.88-$2.43 per share from the first-quarter 2026 view of $1.6-$2.6, with a revised adjusted EBITDA expectation of $185-$225 million compared with the preceding quarter’s view of $170-$230 million. Management plans to focus on its refined sales approach, HRScale development and artificial intelligence initiatives as it works to restore growth momentum.
NSP carries a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Earnings SnapshotVerisk (VRSK - Free Report) reported second-quarter 2026 diluted adjusted earnings of $1.98 per share, beating the Zacks Consensus Estimate of $1.94 by 2.1%. The figure increased 5.3% from the year-ago quarter.
Revenues of $806.3 million topped the consensus mark of $802.4 million by 0.5% and rose 4.3% year over year.
WM (WM - Free Report) reported second-quarter 2026 adjusted earnings of $2.02 per share, beating the Zacks Consensus Estimate of $1.99 by 1.5%. Earnings increased 5.2% from the year-ago quarter’s $1.92.
Revenues rose 4% year over year to $6.68 billion but missed the consensus estimate of $6.71 billion by 0.4%.
Key Takeaways NSP shares surged 30.9% in six months, moving closer to their 52-week high of $57.22.Insperity's adjusted EPS rose 31%, while adjusted EBITDA climbed 13% to $36 million.NSP's 49.04 EV/EBITDA ratio, heavy leverage and negative operating cash flow constrain upside. Insperity, Inc. (NSP - Free Report) has rebounded sharply in 2026, but the recovery has not removed the debate around the stock. Better quarterly profitability, a high dividend yield and favorable growth scores support the bull case.
The offset is just as clear. Valuation has expanded, leverage remains elevated and cash-flow performance is still weak, making fresh upside harder to justify after the rally.
NSP's Rally Has Changed the Risk-RewardNSP shares have gained 30.9% in the past six months and 28.8% over the trailing 12 months. That move has repaired much of the prior damage and pushed the stock closer to its 52-week high of $57.22.
The stronger price raises the burden of proof. Insperity is still rebuilding margins while average paid worksite employees declined 1% year over year in the second quarter to 305,764. In the broader employer-services space, Automatic Data Processing, Inc. (ADP - Free Report) and Paychex, Inc. (PAYX - Free Report) remain relevant comparisons because both offer payroll, human resources outsourcing and professional employer organization services.
Insperity's Valuation Looks StretchedNSP trades at a trailing enterprise value-to-EBITDA ratio of 49.04, well above the sub-industry’s 8.61 and its own five-year median of 15.36. That gap signals that the recent rally has already priced in a large portion of the recovery narrative.
Image Source: Zacks Investment Research
The $57 price target also leaves limited room from the reported share price of $54.03. For investors considering a new position, valuation is now one of the clearest constraints.
NSP's Earnings Recovery Offers SupportInsperity reported second-quarter adjusted earnings of 34 cents per share, up 31% year over year and 3% above expectations. Adjusted EBITDA increased 13% to $36 million, helped by pricing actions, benefit-plan changes and expense control.
Management now expects 2026 adjusted earnings of $1.88 to $2.43 per share, implying a sharp year-over-year recovery. The range is wide, however, and the full-year worksite-employee outlook still calls for a 1.6% to 1% decline.
Insperity's Income Appeal Adds a CushionThe stock offers an annualized dividend of $2.40 per share, translating into a 4.4% yield. That income stream gives investors some cushion while the operating recovery unfolds.
Insperity also has a history of repurchases, but buyback spending has moderated. The company repurchased about 172,000 shares for $4 million in the first six months of 2026, while dividends totaled $46 million, underscoring that capital returns must be balanced against liquidity, borrowing and reinvestment needs.
NSP's Balance Sheet Tempers UpsideLeverage remains a central risk. NSP carries a debt-to-equity ratio of 6.87 and a debt-to-capital ratio of 87.29%, while borrowings under its credit facility stood at $420 million at the end of the second quarter.
Liquidity is not the main concern. Current assets of $1.77 billion exceeded current liabilities of $1.59 billion, and adjusted cash, cash equivalents and marketable securities increased to $95 million from $36 million sequentially. Still, net cash used in operating activities was $19 million in the first six months of 2026, keeping cash-flow quality in focus.
NSP's Scores Point to a Selective SetupThe bottom line is that NSP looks more suitable for patient investors seeking income and a recovery story than for those demanding clean valuation support. The rally has improved sentiment, but it has also reduced the margin of safety.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Its VGM Score of A and Growth Score of A point to favorable combined and growth characteristics, while the Value Score of B is constructive. The Momentum Score of D is the outlier and supports a wait-and-see approach rather than an aggressive buying stance.
Insperity NYSE: NSP reported second-quarter 2026 adjusted earnings per share of $0.34 and adjusted EBITDA of $36 million, exceeding the midpoint of its projected ranges. Adjusted EPS rose 31% from a year earlier, while adjusted EBITDA increased 13%, as the professional employer organization continued its margin recovery plan.
Chief Financial Officer Jim Allison said the company’s second-quarter performance reflected progress on pricing, benefits-plan changes and operating-expense controls. The company is maintaining its focus on recovering profitability after healthcare claims trends and related margin pressure in 2025.
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“We believe these results reflect the significant progress we have made in our ongoing margin recovery plan,” Allison said.
Worksite employee count modestly lower Average paid worksite employees totaled 305,764 in the second quarter, above the high end of Insperity’s guidance range but down 1.1% from the second quarter of 2025. Allison attributed the better-than-expected result primarily to net hiring within the existing client base, which offset anticipated pressure on sales and retention from the company’s pricing actions.
Client retention and worksite employees from new clients were in line with the company’s forecast, according to Allison. Chief Executive Officer Paul Sarvadi said sales and retention landed at the lower end of Insperity’s typical ranges during the first half as the company implemented pricing and process changes.
Still, Sarvadi characterized the 1% decline in paid worksite employees as evidence of the company’s resilience amid its margin-recovery efforts. He said Insperity has expanded the benefit options available to clients through its insurance agency operation.
At the end of the quarter, 7% of Insperity’s client base obtained benefits outside the company’s plan, including 14% of clients added during the previous 12 months. Sarvadi said clients may choose to retain plans through third-party brokers or use plans offered through Insperity’s agency, while the company expects most clients to continue participating in the Insperity plan.
Margins, benefits and expenses Total gross profit declined 3% year over year to $217 million. Gross profit per worksite employee fell 1% to $237 per month, an improvement from the 2% decline reported in the first quarter and in line with the company’s expectations.
Allison said pricing and benefit-plan actions improved the matching of pricing and costs in the company’s benefits business. However, the benefit was largely offset by a year-over-year change in workers’ compensation costs, as favorable actuarial reserve adjustments for prior policy years declined.
Benefits cost per covered employee rose 5.2% from the prior-year quarter, consistent with first-quarter trends and the company’s expectations. Insperity cited favorable effects from client-mix changes, plan-design changes and modifications to its UnitedHealthcare contract that took effect at the beginning of 2026.
The UnitedHealthcare agreement lowered the pooling level to $500,000 per covered member annually from $1 million. Allison said the change increased fixed premiums paid evenly throughout the year, while the favorable impact on claims costs is expected to be weighted toward later quarters, particularly the fourth quarter.
Total operating expenses decreased 8% to $211 million, driven primarily by lower headcount-related costs and stock compensation expense. Cash operating expenses declined 6%. The company increased advertising expense to add leads to its sales pipeline.
Insperity invested $8 million in development of its Insperity HRScale offering during the quarter, including $5 million that was capitalized. The company said beta clients were live on the platform during the period, reducing certain investment costs while moving some onboarding and service costs into operating expenses.
The company paid $23 million in regular dividends during the quarter and ended the period with $95 million in adjusted cash, compared with $36 million at the end of the first quarter. It borrowed $50 million under its credit facility for working-capital purposes, largely related to timing of funding for direct-cost programs.
HRScale launch and AI initiatives Insperity formally launched Insperity HRScale, its joint solution with Workday designed for mid-market companies with 150 to 5,000 employees. The company entered the third quarter with nearly 8,000 worksite employees in sold HRScale accounts, including more than 5,000 already live and roughly 3,000 in implementation.
Sarvadi said the initial group includes existing clients and new accounts, with some clients exceeding 1,000 employees. The company is prioritizing current-client migrations while building reference accounts for prospective customers.
Management said it expects HRScale profitability over the next several years to be as good as or better than that of its HR360 offering. Allison said the company expects pricing to rise as the product moves beyond the beta phase and expects greater efficiency as it serves more clients on the platform.
Insperity is also expanding its artificial-intelligence efforts. Sarvadi said 63% of surveyed clients are either piloting AI or incorporating it into their strategies, while 8% reported no plans to use the technology. The company’s HR360 agent is currently helping clients and worksite employees find answers, resources and service support, and Insperity plans to add conversational reporting and real-time business insights.
Updated 2026 outlook For the full year, Insperity forecast average paid worksite employees of 305,000 to 307,000, representing a decline of 1% to 1.6% from 2025. The company expects adjusted EBITDA of $185 million to $225 million, up 41% to 72% from 2025, and adjusted EPS of $1.88 to $2.43, up 83% to 136%.
The outlook incorporates a wider-than-usual range of potential outcomes for benefits costs during the second half because of elevated healthcare-cost trends in the market. Allison said Insperity’s EBITDA guidance range is broader than historical norms to account for that uncertainty.
Third-quarter worksite employees: 305,500 to 307,500, down 1.7% to 2.3% year over year. Third-quarter adjusted EBITDA: $14 million to $41 million, up 40% to 310% year over year. Third-quarter adjusted EPS: a loss of $0.09 to earnings of $0.41 per share, compared with a year earlier increase of 55% to 305% across the range. Sarvadi said the company is preparing for the fall sales and retention season with expanded marketing activity, additional business performance advisors, HRScale and broader benefits options. He said Insperity’s priorities remain margin recovery in 2026 and establishing a foundation to regain growth momentum in 2027.
About Insperity (NYSE:NSP)Insperity, Inc is a leading provider of human resources and business performance solutions designed to help small and midsize businesses operate more efficiently. Headquartered in Kingwood, Texas, the company offers a comprehensive suite of products and services that span workforce management, payroll administration, employee benefits, risk management, and talent development. By leveraging its proprietary technology platform and team of HR experts, Insperity enables clients to focus on core business objectives while outsourcing complex administrative functions.
The company's flagship offering is its Professional Employer Organization (PEO) service, which allows clients to outsource critical HR tasks such as payroll processing, workers' compensation administration, and compliance with employment regulations.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
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Insperity, Inc. (NSP) Q2 2026 Earnings Call July 29, 2026 5:00 PM EDT
Company Participants
James Allison - Executive VP of Finance, CFO & Treasurer
Paul Sarvadi - Co-Founder, Chairman & CEO
Conference Call Participants
Andrew Nicholas - William Blair & Company L.L.C., Research Division
Tobey Sommer - Truist Securities, Inc., Research Division
Mark Marcon - Robert W. Baird & Co. Incorporated, Research Division
Jeff Martin - ROTH Capital Partners, LLC, Research Division
Brendan Biles - JPMorgan Chase & Co, Research Division
Presentation
Operator
Good afternoon. My name is John, and I will be your conference operator today. I would like to welcome everyone to the Insperity Second Quarter 2026 Earnings Conference Call. [Operator Instructions] Please note, this conference is being recorded.
At this time, I would like to introduce today's speakers. Joining us are Paul Sarvadi, Chairman of the Board and Chief Executive Officer; and Jim Allison, Executive Vice President of Finance, Chief Financial Officer and Treasurer.
At this time, I'd like to turn the call over to Jim Allison. Mr. Allison, please go ahead.
James Allison
Executive VP of Finance, CFO & Treasurer
Thank you. We appreciate you joining us today. Let me begin by outlining our plan for this afternoon's call. First, I'm going to discuss the details behind our second quarter 2026 financial results. Paul will then comment on the progress of our margin recovery plan and our game plan to regain worksite employee growth momentum. I will return to provide financial guidance for the third quarter and full year 2026. We will then end the call with a question-and-answer session.
Before we begin, I would like to remind you that Paul or I may make forward-looking statements during today's call, which are subject to risks, uncertainties and assumptions. In addition, some of our discussion may include non-GAAP financial measures.
Insperity, Inc. (NSP - Free Report) came out with quarterly earnings of $0.34 per share, beating the Zacks Consensus Estimate of $0.33 per share. This compares to earnings of $0.26 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +3.03%. A quarter ago, it was expected that this company would post earnings of $1.24 per share when it actually produced earnings of $1.31, delivering a surprise of +5.65%.
Over the last four quarters, the company has surpassed consensus EPS estimates two times.
Insperity, which belongs to the Zacks Staffing Firms industry, posted revenues of $1.69 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 0.50%. This compares to year-ago revenues of $1.66 billion. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Insperity shares have added about 35.8% since the beginning of the year versus the S&P 500's gain of 8.5%.
What's Next for Insperity?While Insperity has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Insperity was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.22 on $1.63 billion in revenues for the coming quarter and $2.07 on $6.89 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Staffing Firms is currently in the top 40% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Kelly Services (KELYA - Free Report) , another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on August 6.
This staffing company is expected to post quarterly earnings of $0.24 per share in its upcoming report, which represents a year-over-year change of -55.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Kelly Services' revenues are expected to be $1.01 billion, down 8.4% from the year-ago quarter.
HOUSTON--(BUSINESS WIRE)--Insperity, Inc. (NYSE: NSP), a leading provider of human resources and business performance solutions for America's best businesses, today reported results for the second quarter ended June 30, 2026. Insperity will be hosting a conference call today at 5:00 p.m. ET to discuss these results and our updated 2026 outlook and will be posting an accompanying presentation to our investor website at http://ir.insperity.com. Highlights for the quarter included: Q2 revenues up.
HOUSTON--(BUSINESS WIRE)--Insperity, Inc. (NYSE: NSP), a leading provider of human resources and business performance solutions for America’s best businesses, will release its second quarter earnings after the close of the New York Stock Exchange on Wednesday, July 29, 2026. A teleconference hosted by Insperity’s management will be held at 5:00 p.m. ET to discuss the quarter and business trends. Investors, analysts, media and other interested persons may access the call at 888-506-0062, conference i.d. number 531909. The call will also be webcast live at http://ir.insperity.com. A replay of the conference call will be available at 877-481-4010, conference i.d. number 54244, for one week after the call. The webcast will be archived for one year. The conference call script and company guidance for the third quarter and full year 2026 will be posted to the Insperity Investor Relations website.
About Insperity
Since 1986, Insperity’s mission has been to help businesses succeed so communities prosper. Offering a suite of the most comprehensive, scalable HR solutions available in the marketplace, Insperity is defined by an unrivaled breadth and depth of services and level of care. Through an optimal blend of premium HR service and technology, Insperity delivers the administrative relief, reduced liabilities and better benefit solutions that businesses need to drive performance and growth. With 2025 revenues of $6.8 billion and sales and service operations throughout the U.S., Insperity is currently making a difference in thousands of businesses and communities nationwide. For more information, visit http://www.insperity.com.
Insperity, Inc. (NYSE: NSP - Get Free Report)'s share price gapped up before the market opened on Friday after an insider bought additional shares in the company. The stock had previously closed at $22.72, but opened at $24.79. Insperity shares last traded at $25.3490, with a volume of 330,304 shares. Specifically, CEO Paul J. Sarvadi bought
Shares of Insperity, Inc. (NYSE:NSP – Get Free Report) have been assigned a consensus recommendation of “Reduce” from the five ratings firms that are presently covering the firm, MarketBeat.com reports. Three equities research analysts have rated the stock with a sell rating, one has issued a hold rating and one has given a buy rating to the company. The average twelve-month target price among brokers that have updated their coverage on the stock in the last year is $47.50.
Several equities research analysts recently commented on NSP shares. Wall Street Zen cut Insperity from a “hold” rating to a “sell” rating in a report on Saturday, March 28th. Weiss Ratings reiterated a “sell (d)” rating on shares of Insperity in a research report on Friday, March 27th. The Goldman Sachs Group set a $62.00 price objective on Insperity in a research note on Monday, January 5th. Robert W. Baird set a $36.00 price objective on Insperity in a report on Wednesday, February 11th. Finally, Roth Mkm set a $62.00 target price on Insperity in a research note on Monday, January 5th.
Get Our Latest Stock Analysis on Insperity
Insider Activity In other Insperity news, EVP James D. Allison bought 10,000 shares of the business’s stock in a transaction that occurred on Tuesday, March 10th. The stock was acquired at an average cost of $20.45 per share, with a total value of $204,500.00. Following the completion of the purchase, the executive vice president directly owned 94,272 shares in the company, valued at approximately $1,927,862.40. This trade represents a 11.87% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through this link. Also, CEO Paul J. Sarvadi bought 160,000 shares of Insperity stock in a transaction that occurred on Wednesday, March 18th. The shares were acquired at an average price of $23.22 per share, with a total value of $3,715,200.00. Following the completion of the acquisition, the chief executive officer directly owned 972,912 shares of the company’s stock, valued at $22,591,016.64. This represents a 19.68% increase in their position. The SEC filing for this purchase provides additional information. In the last 90 days, insiders have bought 214,437 shares of company stock valued at $4,941,246. Insiders own 5.29% of the company’s stock.
Institutional Inflows and Outflows Several institutional investors have recently modified their holdings of the stock. Goldman Sachs Group Inc. boosted its stake in shares of Insperity by 140.5% during the 4th quarter. Goldman Sachs Group Inc. now owns 1,471,160 shares of the business services provider’s stock worth $56,963,000 after acquiring an additional 859,326 shares in the last quarter. Invesco Ltd. grew its holdings in shares of Insperity by 117.8% in the 4th quarter. Invesco Ltd. now owns 1,137,255 shares of the business services provider’s stock worth $44,035,000 after acquiring an additional 615,100 shares during the last quarter. Reinhart Partners LLC. raised its position in shares of Insperity by 24.6% during the fourth quarter. Reinhart Partners LLC. now owns 2,745,035 shares of the business services provider’s stock worth $106,288,000 after purchasing an additional 542,709 shares during the period. Norges Bank acquired a new stake in shares of Insperity during the second quarter worth $26,960,000. Finally, Two Sigma Investments LP lifted its holdings in shares of Insperity by 601.2% during the third quarter. Two Sigma Investments LP now owns 470,820 shares of the business services provider’s stock valued at $23,164,000 after purchasing an additional 403,679 shares during the last quarter. Institutional investors own 93.44% of the company’s stock.
Insperity Stock Performance Shares of NSP opened at $29.31 on Tuesday. The firm has a 50-day moving average price of $28.42 and a 200 day moving average price of $37.26. The firm has a market capitalization of $1.11 billion, a PE ratio of -146.55 and a beta of 0.39. The company has a quick ratio of 1.06, a current ratio of 1.06 and a debt-to-equity ratio of 8.02. Insperity has a 52-week low of $18.57 and a 52-week high of $88.11.
Insperity (NYSE:NSP – Get Free Report) last released its quarterly earnings results on Tuesday, February 10th. The business services provider reported ($0.60) EPS for the quarter, missing analysts’ consensus estimates of ($0.47) by ($0.13). The company had revenue of $1.67 billion for the quarter, compared to the consensus estimate of $1.68 billion. Insperity had a negative return on equity of 12.09% and a negative net margin of 0.10%.The firm’s quarterly revenue was up 3.4% compared to the same quarter last year. During the same quarter last year, the firm posted $0.05 earnings per share. Insperity has set its Q1 2026 guidance at 1.030-1.500 EPS and its FY 2026 guidance at 1.690-2.720 EPS. On average, sell-side analysts anticipate that Insperity will post 2.33 earnings per share for the current fiscal year.
Insperity Announces Dividend The firm also recently declared a quarterly dividend, which was paid on Friday, March 20th. Shareholders of record on Friday, March 6th were issued a $0.60 dividend. This represents a $2.40 dividend on an annualized basis and a yield of 8.2%. The ex-dividend date of this dividend was Friday, March 6th. Insperity’s dividend payout ratio is presently -1,200.00%.
Insperity Company Profile (Get Free Report)
Insperity, Inc is a leading provider of human resources and business performance solutions designed to help small and midsize businesses operate more efficiently. Headquartered in Kingwood, Texas, the company offers a comprehensive suite of products and services that span workforce management, payroll administration, employee benefits, risk management, and talent development. By leveraging its proprietary technology platform and team of HR experts, Insperity enables clients to focus on core business objectives while outsourcing complex administrative functions.
The company’s flagship offering is its Professional Employer Organization (PEO) service, which allows clients to outsource critical HR tasks such as payroll processing, workers’ compensation administration, and compliance with employment regulations.
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HOUSTON--(BUSINESS WIRE)--Insperity, Inc. (NYSE: NSP), a leading provider of human resources and business performance solutions for America's best businesses, will release its first quarter earnings before the opening of the New York Stock Exchange on Thursday, April 30, 2026. A teleconference hosted by Insperity's management will be held at 8:30 a.m. ET to discuss the quarter and business trends. Investors, analysts, media and other interested persons may access the call at 877-545-0523, confe.
HOUSTON--(BUSINESS WIRE)--Insperity, Inc. (NYSE: NSP), a leading provider of human resources and business performance solutions for America's best businesses, announced today that is has changed the time of its first quarter earnings conference call. The call will now take place at 5:00 p.m. ET instead of 8:30 a.m. ET on the same date (Thursday, April 30, 2026). All other details regarding the earnings release and conference call remain unchanged. About Insperity Since 1986, Insperity's mission.
Kforce (KFRC - Free Report) came out with quarterly earnings of $0.46 per share, beating the Zacks Consensus Estimate of $0.4 per share. This compares to earnings of $0.45 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +15.00%. A quarter ago, it was expected that this staffing company would post earnings of $0.47 per share when it actually produced earnings of $0.43, delivering a surprise of -8.51%.
Over the last four quarters, the company has surpassed consensus EPS estimates two times.
Kforce, which belongs to the Zacks Staffing Firms industry, posted revenues of $330.36 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 0.72%. This compares to year-ago revenues of $330.03 million. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Kforce shares have added about 4.8% since the beginning of the year versus the S&P 500's gain of 4.7%.
What's Next for Kforce?While Kforce has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Kforce was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.58 on $337 million in revenues for the coming quarter and $2.24 on $1.34 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Staffing Firms is currently in the top 33% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another stock from the same industry, Insperity, Inc. (NSP - Free Report) , has yet to report results for the quarter ended March 2026. The results are expected to be released on April 30.
This company is expected to post quarterly earnings of $1.24 per share in its upcoming report, which represents a year-over-year change of -21%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Insperity, Inc.'s revenues are expected to be $1.89 billion, up 1.3% from the year-ago quarter.
On April 28, 2026, Insperity Inc (NSP) shares rose 4.8% today, bringing the current price to $35.25. The stock has experienced significant volatility over the p
Launched on 02/03/2015, the ProShares Russell 2000 Dividend Growers ETF (SMDV - Free Report) is a smart beta exchange traded fund offering broad exposure to the Style Box - Small Cap Value category of the market.
What Are Smart Beta ETFs?The ETF industry has long been dominated by products based on market cap weighted indexes, a strategy created to reflect the market or a particular market segment.
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While this space offers a number of choices to investors, including simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies, not all these strategies have been able to deliver superior results.
Fund Sponsor & IndexThe fund is managed by Proshares. SMDV has been able to amass assets over $654.71 million, making it one of the average sized ETFs in the Style Box - Small Cap Value. SMDV, before fees and expenses, seeks to match the performance of the Russell 2000 Dividend Growth Index.
The Russell 2000 Dividend Growth Index targets companies that are currently members of the Russell 2000 Index and have increased dividend payments each year for at least 10 years.
Cost & Other ExpensesExpense ratios are an important factor in the return of an ETF and in the long-term, cheaper funds can significantly outperform their more expensive cousins, other things remaining the same.
With on par with most peer products in the space, this ETF has annual operating expenses of 0.40%.
SMDV's 12-month trailing dividend yield is 2.40%.
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For SMDV, it has heaviest allocation in the Financials sector --about 33.1% of the portfolio --while Industrials and Utilities round out the top three.
Looking at individual holdings, Insperity Inc (NSP) accounts for about 1.23% of total assets, followed by Andersons Inc/the (ANDE) and Power Integrations Inc (POWI).
SMDV's top 10 holdings account for about 9.77% of its total assets under management.
Performance and RiskThe ETF has added roughly 9.79% so far this year and is up roughly 15.99% in the last one year (as of 04/30/2026). In the past 52-week period, it has traded between $63.09 and $73.94
The ETF has a beta of 0.80 and standard deviation of 18.60% for the trailing three-year period, making it a medium risk choice in the space. With about 103 holdings, it effectively diversifies company-specific risk .
AlternativesProShares Russell 2000 Dividend Growers ETF is a reasonable option for investors seeking to outperform the Style Box - Small Cap Value segment of the market. However, there are other ETFs in the space which investors could consider.
iShares Core Dividend Growth ETF (DGRO) tracks Morningstar US Dividend Growth Index and the Vanguard Dividend Appreciation Index Fund ETF Shares (VIG) tracks NASDAQ US Dividend Achievers Select Index. iShares Core Dividend Growth ETF has $39.09 billion in assets, Vanguard Dividend Appreciation Index Fund ETF Shares has $104.03 billion. DGRO has an expense ratio of 0.08% and VIG changes 0.04%.
Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Small Cap Value
Bottom LineTo learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.
HOUSTON--(BUSINESS WIRE)--Insperity, Inc. (NYSE: NSP), a leading provider of human resources and business performance solutions for America’s best businesses, today reported results for the first quarter ended March 31, 2026. Insperity will be hosting a conference call today at 5:00 p.m. ET to discuss these results and our 2026 outlook and will be posting an accompanying presentation to our investor website at http://ir.insperity.com.
Highlights for the quarter included:
Q1 revenues up 2% year-over-year Q1 average paid WSEEs down 1% to 303,049 Q1 net income of $33 million; adjusted EBITDA of $103 million Q1 diluted EPS of $0.88; adjusted EPS of $1.31 First Quarter Results
“We are pleased with our Q1 financial results, which reflect the effectiveness of our efforts to overcome margin pressure experienced in 2025,” said Paul J. Sarvadi, Insperity chairman and chief executive officer. “We are working to reestablish growth momentum over the balance of the year and to capitalize on the opportunity we see ahead in the evolving AI landscape for Insperity’s strategic HR services, technology, and expertise.”
The average number of worksite employees (“WSEE”) paid per month decreased 1% from Q1 2025 to 303,049 WSEEs. Revenues in Q1 2026 increased 2% to $1.9 billion on a 3% increase in revenue per WSEE on higher pricing, partially offset by the decrease in paid WSEEs.
Gross profit decreased 3% to $302 million in Q1 2026, which represents a significant improvement compared to the 21% decline we experienced in Q4 2025. These results reflect our margin recovery efforts, including our pricing, and client renewal strategy, the new contract terms with UnitedHealthcare, plan design changes and a slightly lower than expected claim cost trend. Our benefits costs per covered employee increased 5% over Q1 2025.
Operating expenses decreased 1% to $240 million in Q1 2026, including $9 million in restructuring charges primarily related to severance associated with a workforce realignment. Excluding the restructuring charges, operating expenses decreased 5% over Q1 2025. Operating expenses included $8 million in Q1 2026 and $13 million in Q1 2025 related to our Workday strategic partnership.
Reported net income was $33 million and diluted EPS was $0.88. Adjusted EBITDA and adjusted EPS were $103 million and $1.31, respectively.
“We are pleased with our gross profit results and the progress we have made in our margin recovery plan, which we expect to continue throughout 2026,” said James D. Allison, executive vice president of finance, chief financial officer and treasurer. “Our operating expenses in the first quarter of 2026 were slightly better than expected, reflecting the actions we have taken to align our cost structure with the needs of our business and to support profitability recovery.”
Cash outlays in the first three months of 2026 included the repurchase of approximately 171,000 shares of our common stock at a cost of $4 million, dividends totaling $23 million, and capital expenditures of $6 million. Adjusted cash at March 31, 2026 totaled $36 million and we had outstanding borrowings of $370 million under our credit facility.
2026 Guidance
The company also announced its updated guidance for 2026, including the second quarter of 2026. Please refer to the accompanying financial tables at the end of this press release for the reconciliation of non-GAAP financial measures to the comparable GAAP financial measures.
Q2 2026
Full Year 2026
Average WSEEs paid
302,500
—
304,500
303,000
—
307,000
Year-over-year decrease
(2.1)%
—
(1.5)%
(2.3)%
—
(1.0)%
Adjusted EPS1
$0.02
—
$0.50
$1.60
—
$2.60
Year-over-year increase (decrease)
(92)%
—
92%
55%
—
152%
Adjusted EBITDA (in millions)
$18
—
$46
$170
—
$230
Year-over-year increase (decrease)
(44)%
—
44%
30%
—
76%
Definition of Key Metrics
Average WSEEs paid — Determined by calculating the company’s cumulative WSEEs paid during the period divided by the number of months in the period.
Adjusted EPS — Represents diluted net income per share computed in accordance with GAAP, excluding the impact of non-cash stock-based compensation and restructuring charge.
Adjusted EBITDA — Represents net income computed in accordance with GAAP, plus interest expense, income taxes, depreciation and amortization expense, amortization of SaaS implementation costs, non-cash stock-based compensation, and restructuring charge.
Conference Call and Webcast
Insperity will be hosting a conference call today at 5:00 p.m. ET to discuss these results and the guidance discussed in this press release, and answer questions from investment analysts. To listen in, call 877-545-0523 and use conference i.d. number 830492. The call will also be webcast at http://ir.insperity.com. The conference call script will be available at the same website later today. A replay of the conference call will be available at 877-481-4010, conference i.d. number 53885. The webcast will be archived for one year.
About Insperity
Since 1986, Insperity’s mission has been to help businesses succeed so communities prosper. Offering a suite of the most comprehensive, scalable HR solutions available in the marketplace, Insperity is defined by an unrivaled breadth and depth of services and level of care. Through an optimal blend of premium HR service and technology, Insperity delivers the administrative relief, reduced liabilities and better benefit solutions that businesses need to drive performance and growth. With 2025 revenues of $6.8 billion and sales and service operations throughout the U.S., Insperity is currently making a difference in thousands of businesses and communities nationwide. For more information, visit http://www.insperity.com.
Forward-Looking Statements
The statements contained herein that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. You can identify such forward-looking statements by the words “anticipates,” “expects,” “intends,” “plans,” “projects,” “believes,” “estimates,” “forecasts,” “likely,” “possibly,” “probably,” “could,” “goal,” “opportunity,” “objective,” “target,” “assume,” “outlook,” “guidance,” “predicts,” “appears,” “indicator” and similar expressions. Forward-looking statements involve a number of risks and uncertainties. In the normal course of business, in an effort to help keep our stockholders and the public informed about our operations, from time to time, we may issue such forward-looking statements, either orally or in writing. Generally, these statements relate to business plans or strategies, including our strategic partnership with Workday, Inc.; projected or anticipated benefits or other consequences of such plans or strategies; or projections involving anticipated revenues, earnings, average number of worksite employees, benefits and workers’ compensation costs, or other operating results. We base these forward-looking statements on our current expectations, estimates and projections. We caution you that these statements are not guarantees of future performance and involve risks, uncertainties and assumptions that we cannot predict. In addition, we have based many of these forward-looking statements on assumptions about future events that may prove to be inaccurate. Therefore, the actual results of the future events described in such forward-looking statements could differ materially from those stated in such forward-looking statements. Among the factors that could cause actual results to differ materially are:
adverse economic conditions; disallowance of employee retention tax credits under certain COVID-19 relief programs; bank failures or other events affecting financial institutions; labor shortages, increasing competition for highly skilled workers, and evolving employee expectations regarding the workplace; impact of inflation and changes in U.S. trade policy; vulnerability to regional economic factors because of our geographic market concentration; failure to comply with covenants under our credit facility; impact of a future outbreak of highly infectious or contagious disease; our liability for WSEE payroll, payroll taxes and benefits costs, or other liabilities associated with actions of our client companies or WSEEs, including if our clients fail to pay us; increases in health insurance costs and workers’ compensation rates and underlying claims trends; financial solvency of workers’ compensation carriers, other insurers or financial institutions; the ability to adjust service fees for increases in state and local taxes, including state unemployment tax rates; an adverse determination regarding our status as the employer of our WSEEs for tax and benefit purposes and an inability to offer alternative benefit plans following such a determination; cancellation of client contracts on short notice, or the inability to renew client contracts or attract new clients; disruption from healthcare reform or the inability to secure competitive replacement contracts for health insurance and workers’ compensation insurance at expiration of current contracts; regulatory and tax developments and possible adverse application of various federal, state and local regulations; failure to manage growth of our operations and the effectiveness of our sales and marketing efforts; the impact of the competitive environment and other developments in the human resources services industry, including the professional employer organization (or PEO) industry, on our growth and/or profitability; an adverse final judgment or settlement of claims against Insperity; disruptions of our information technology systems or failure to enhance our service and technology offerings to address new regulations or client expectations; our liability or damage to our reputation relating to disclosure of sensitive or private information as a result of data theft, cyberattacks or security vulnerabilities; failure of third-party providers, such as financial institutions, data centers or cloud service providers; our ability to fully realize the anticipated benefits of our strategic partnership and joint solution with Workday, Inc.; and our ability to integrate or realize expected returns on future product offerings, including through acquisitions, strategic partnerships, and investments. These factors are discussed in further detail in Insperity’s filings with the U.S. Securities and Exchange Commission. Any of these factors, or a combination of such factors, could materially affect the results of our operations and whether forward-looking statements we make ultimately prove to be accurate.
Any forward-looking statements are made only as of the date hereof and, unless otherwise required by applicable securities laws, we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Insperity, Inc.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
March 31, 2026
December 31, 2025
(in millions)
Assets
Cash and cash equivalents
$
537
$
642
Restricted cash
80
82
Marketable securities
18
18
Accounts receivable, net
880
826
Prepaid insurance and related assets
67
6
Income taxes receivable
30
29
Other current assets
118
119
Total current assets
1,730
1,722
Property and equipment, net
172
177
Right-of-use leased assets
60
63
Deposits and prepaid health insurance
173
165
Goodwill and other intangible assets, net
13
13
Deferred income taxes, net
—
22
Other assets
48
41
Total assets
$
2,196
$
2,203
Liabilities and stockholders' equity
Accounts payable
$
6
$
6
Payroll taxes and other payroll deductions payable
471
544
Accrued worksite employee payroll cost
818
764
Accrued health insurance costs
67
30
Accrued workers’ compensation costs
82
84
Accrued corporate payroll and commissions
53
78
Other accrued liabilities
91
114
Total current liabilities
1,588
1,620
Accrued workers’ compensation costs, net of current
104
102
Long-term debt
369
369
Operating lease liabilities, net of current
61
66
Deferred income taxes, net
7
—
Total noncurrent liabilities
541
537
Stockholders’ equity:
Common stock
1
1
Additional paid-in capital
244
257
Treasury stock, at cost
(826
)
(850
)
Retained earnings
648
638
Total stockholders' equity
67
46
Total liabilities and stockholders’ equity
$
2,196
$
2,203
Insperity, Inc.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
Three Months Ended March 31,
(in millions, except per share amounts)
2026
2025
Change
Operating results:
Revenues(1)
$
1,895
$
1,863
2
%
Payroll taxes, benefits and workers’ compensation costs
1,593
1,553
3
%
Gross profit
302
310
(3
)%
Salaries, wages and payroll taxes
140
142
(1
)%
Stock-based compensation
13
11
18
%
Commissions
10
11
(9
)%
Advertising
11
7
57
%
General and administrative expenses
55
60
(8
)%
Depreciation and amortization
11
11
—
Total operating expenses
240
242
(1
)%
Operating income
62
68
(9
)%
Other income (expense):
Interest income
7
10
(30
)%
Interest expense
(6
)
(6
)
—
Income before income tax expense
63
72
(13
)%
Income tax expense
30
21
43
%
Net income
$
33
$
51
(35
)%
Net income per share of common stock
Basic
$
0.88
$
1.37
(36
)%
Diluted
$
0.88
$
1.35
(35
)%
Three Months Ended March 31,
(in millions)
2026
2025
Gross billings
$
12,146
$
12,144
Less: WSEE payroll cost
10,251
10,281
Revenues
$
1,895
$
1,863
Insperity, Inc.
KEY FINANCIAL AND STATISTICAL DATA
Three Months Ended March 31,
2026
2025
Change
Average WSEEs paid
303,049
306,023
(1
)%
Statistical data (per WSEE per month):
Revenues(1)
$
2,084
$
2,029
3
%
Gross profit
332
338
(2
)%
Operating expenses
264
264
—
Operating income
68
74
(8
)%
Net income
36
56
(36
)%
Three Months Ended March 31,
(per WSEE per month)
2026
2025
Gross billings
$
13,360
$
13,228
Less: WSEE payroll cost
11,276
11,199
Revenues
$
2,084
$
2,029
Insperity, Inc.
Non-GAAP FINANCIAL MEASURES
(Unaudited)
Non-GAAP financial measures are not prepared in accordance with GAAP and may be different from non-GAAP financial measures used by other companies. Non-GAAP financial measures should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. Investors are encouraged to review the reconciliation of the non-GAAP financial measures used to their most directly comparable GAAP financial measures as provided in the tables below.
Non-GAAP Measure
Definition
Benefit of Non-GAAP Measure
Non-bonus payroll cost
Non-bonus payroll cost is a non-GAAP financial measure that excludes the impact of bonus payrolls paid to our WSEEs.
Our management refers to non-bonus payroll cost in analyzing, reporting and forecasting our workers’ compensation costs.
Bonus payroll cost varies from period to period, but has no direct impact to our ultimate workers’ compensation costs under the current program.
We include these non-GAAP financial measures because we believe they are useful to investors in allowing for greater transparency related to the costs incurred under our current workers’ compensation program.
Adjusted cash, cash equivalents and marketable securities
Excludes funds associated with:
• federal and state income tax withholdings,
• employment taxes,
• other payroll deductions, and
• client prepayments.
We believe that the exclusion of the identified items helps us reflect the fundamentals of our underlying business model and analyze results against our expectations, against prior periods, and to plan for future periods by focusing on our underlying operations. We believe that the adjusted results provide relevant and useful information for investors because they allow investors to view performance in a manner similar to the method used by management and improves their ability to understand and assess our operating performance. Adjusted EBITDA is used by our lenders to assess our leverage and ability to make interest payments.
Adjusted operating expenses
Represents operating expenses excluding the impact of the following:
• restructuring charges.
EBITDA
Represents net income computed in accordance with GAAP, plus:
• interest expense,
• income tax expense,
• depreciation and amortization expense, and
• amortization of SaaS implementation costs.
Adjusted EBITDA
Represents EBITDA plus:
• non-cash stock-based compensation, and
• restructuring charges.
Adjusted net income
Represents net income computed in accordance with GAAP, excluding:
• non-cash stock-based compensation,
• restructuring charges, and
• the income tax effect at our effective tax rate of these pre-tax adjustments.(1)
Adjusted EPS
Represents diluted net income per share computed in accordance with GAAP, excluding:
• non-cash stock-based compensation,
• restructuring charges, and
• the income tax effect at our effective tax rate of these pre-tax adjustments.(1)
Following is a reconciliation of payroll cost (GAAP) to non-bonus payroll costs (non-GAAP):
Three Months Ended March 31,
(in millions, except per WSEE per month)
2026
2025
Per
WSEE
Per
WSEE
Payroll cost
$
10,251
$
11,276
$
10,281
$
11,199
Less: Bonus payroll cost
2,118
2,330
2,243
2,444
Non-bonus payroll cost
$
8,133
$
8,946
$
8,038
$
8,755
Payroll cost % change period over period
—
1
%
6
%
5
%
Non-bonus payroll cost % change period over period
1
%
2
%
3
%
2
%
Following is a reconciliation of cash, cash equivalents and marketable securities (GAAP) to adjusted cash, cash equivalents and marketable securities (non-GAAP):
(in millions)
March 31,
2026
December 31,
2025
Cash, cash equivalents and marketable securities
$
555
$
660
Less:
Amounts payable for withheld federal and state income taxes, employment taxes and other payroll deductions
415
468
Client prepayments
104
135
Adjusted cash, cash equivalents and marketable securities
$
36
$
57
Following is a reconciliation of operating expenses (GAAP) to adjusted operating expenses (non-GAAP):
(in millions, except per WSEE per month)
Three Months Ended March 31,
2026
2025
Per
WSEE
Per
WSEE
Operating expenses
$
240
$
264
$
242
$
264
Less: Restructuring charges
9
10
—
—
Adjusted operating expenses
$
231
$
254
$
242
$
264
Operating expenses % change period over period
(1
)%
—
2
%
2
%
Adjusted operating expenses % change period over period
(5
)%
(4
)%
2
%
2
%
Following is a reconciliation of net income (GAAP) to EBITDA (non-GAAP) and adjusted EBITDA (non-GAAP):
(in millions, except per WSEE per month)
Three Months Ended March 31,
2026
2025
Per
WSEE
Per
WSEE
Net income
$
33
$
36
$
51
$
56
Income tax expense
30
33
21
22
Interest expense
6
7
6
7
Amortization of SaaS implementation costs
1
1
2
2
Depreciation and amortization
11
12
11
12
EBITDA
81
89
91
99
Stock-based compensation
13
14
11
12
Restructuring charges
9
10
—
—
Adjusted EBITDA
$
103
$
113
$
102
$
111
Net income % change period over period
(35
)%
(36
)%
(35
)%
(36
)%
Adjusted EBITDA % change period over period
1
%
2
%
(28
)%
(29
)%
Following is a reconciliation of net income (GAAP) to adjusted net income (non-GAAP):
Three Months Ended March 31,
(in millions)
2026
2025
Net income
$
33
$
51
Non-GAAP adjustments:
Stock-based compensation
13
11
Restructuring charges
9
—
Total non-GAAP adjustments
22
11
Tax effect
(5
)
(3
)
Total non-GAAP adjustments, net
17
8
Adjusted net income
$
50
$
59
Net income % change period over period
(35
)%
(35
)%
Adjusted net income % change period over period
(15
)%
(31
)%
Following is a reconciliation of diluted EPS (GAAP) to adjusted EPS (non-GAAP):
Three Months Ended March 31,
(amounts per share)
2026
2025
Diluted EPS
$
0.88
$
1.35
Non-GAAP adjustments:
Stock-based compensation
0.35
0.30
Restructuring charges
0.23
—
Total non-GAAP adjustments
0.58
0.30
Tax effect
(0.15
)
(0.08
)
Total non-GAAP adjustments, net
0.43
0.22
Adjusted EPS
$
1.31
$
1.57
Diluted EPS % change period over period
(35
)%
(35
)%
Adjusted EPS % change period over period
(17
)%
(31
)%
The following is a reconciliation of GAAP to non-GAAP financial measures for second quarter and full year 2026 guidance:
Insperity, Inc. (NSP - Free Report) came out with quarterly earnings of $1.31 per share, beating the Zacks Consensus Estimate of $1.24 per share. This compares to earnings of $1.57 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +5.37%. A quarter ago, it was expected that this company would post a loss of $0.49 per share when it actually produced a loss of $0.6, delivering a surprise of -22.45%.
Over the last four quarters, the company has surpassed consensus EPS estimates just once.
Insperity, which belongs to the Zacks Staffing Firms industry, posted revenues of $1.9 billion for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 0.43%. This compares to year-ago revenues of $1.86 billion. The company has topped consensus revenue estimates just once over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Insperity shares have lost about 3.9% since the beginning of the year versus the S&P 500's gain of 4.2%.
What's Next for Insperity?While Insperity has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Insperity was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.52 on $1.68 billion in revenues for the coming quarter and $2.17 on $6.99 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Staffing Firms is currently in the top 34% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another stock from the same industry, Kelly Services (KELYA - Free Report) , has yet to report results for the quarter ended March 2026. The results are expected to be released on May 7.
This staffing company is expected to post quarterly earnings of $0.07 per share in its upcoming report, which represents a year-over-year change of -82.1%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Kelly Services' revenues are expected to be $1.02 billion, down 12.4% from the year-ago quarter.
Key Takeaways Insperity delivered Q1 adjusted EPS of $1.31 on $1.90B in revenues, both beating consensus.NSP cited margin recovery actions and better benefit-cost outcomes, lifting gross profit per employee.NSP onboarded HRScale beta clients, with nearly 6,000 worksite employees committed to join within six months. Insperity, Inc. (NSP - Free Report) delivered adjusted earnings of $1.31 per share in the first quarter of 2026, down 17% from the year-ago quarter but surpassing the Zacks Consensus Estimate of $1.24 by 5.7%. Revenues came in at $1.90 billion, up 2% year over year and beating the consensus mark of $1.89 billion by 0.4%.
Results reflected improving profitability trends as management executed a margin recovery plan, even as average paid worksite employees slipped 1% to 303,049.
NSP Shows Early Progress in Profit RebuildTotal gross profit declined 3% year over year to $302 million, but the performance marked a notable sequential improvement from the margin pressure seen late last year. On a unit basis, gross profit per worksite employee was $332 per month, reflecting better-than-expected benefit cost outcomes that helped offset softer unit volume.
Benefits costs per covered employee increased 5% from the prior-year period, an improvement from the higher trend encountered through much of 2025. Management attributed the progress to a favorable shift in client mix tied to pricing and renewal actions, plan design changes and updated contract terms with UnitedHealthcare, which included a pooling level change that is expected to shift more claim reimbursements to later quarters.
Insperity Trims Costs While Funding HRScaleOperating expenses decreased 1% to $240 million and included a $9-million restructuring charge related largely to severance from a workforce realignment. Excluding that charge, operating expenses fell 5%, underscoring tighter cost discipline alongside ongoing investments tied to the Workday strategic partnership.
In the quarter, Insperity invested $13 million in HRScale, including $8 million in operating expenses and $5 million in capitalized costs. A higher effective tax rate of 41% (versus 29% a year ago) weighed on the adjusted earnings comparison, led by a lower stock price reducing the tax benefit associated with stock-based compensation vesting that is concentrated in the first quarter.
NSP Returns Cash, Maintains Ample LiquidityCapital return remained a focus. The company paid out $23 million in dividends and repurchased 171,000 shares for $4 million during the quarter, continuing its regular shareholder return program even amid ongoing operating adjustments.
Insperity ended the period with $36 million of adjusted cash, with management citing seasonal working capital timing items as a driver of the decline. Liquidity appeared solid, supported by $380 million of unused capacity under the company’s credit facility, with roughly $330 million available to borrow.
Insperity Positions HRScale & AI as Growth LeversManagement highlighted early operational milestones for HRScale, noting that initial beta clients were onboarded in March, and payrolls and invoices were processed in April as scheduled. Early commercial traction was framed around a growing pipeline, including signed commitments for nearly 6,000 worksite employees expected to onboard within the next six months, with interest centered on the combined offering of Insperity’s HR services and Workday client-facing technology.
Beyond HRScale, leadership emphasized an expanding AI strategy intended to improve internal productivity and enhance client experience. Initiatives discussed included rolling out AI agents to support HR and payroll workflows, improving HR360 platform navigation, and enabling more responsive client and employee support during major events, alongside longer-term plans to introduce conversational reporting capabilities.
NSP Updates 2026 View as SMB Sentiment SoftensFollowing the quarter, management updated its outlook for the balance of 2026, citing weaker small-business sentiment and a somewhat larger impact of pricing and renewal actions on new client sales and retention. The company guided for adjusted earnings per share of 2-50 cents for the second quarter of 2026 and $1.60-$2.60 for the year, reflecting an effective tax rate assumption of 28% for the second quarter and 36% for the year.
The company also projected adjusted EBITDA of $18-$46 million for the second quarter and $170-$230 million for 2026. Management noted that quarterly earnings seasonality is expected to be flatter than historical patterns, reflecting the revised UnitedHealthcare pooling structure and the expectation that the benefits of the margin recovery plan become more pronounced as the year progresses.
NSP currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Earnings SnapshotGartner, Inc. (IT - Free Report) delivered first-quarter 2026 adjusted earnings of $3.32 per share, beating the Zacks Consensus Estimate of $2.99 by 11%. Adjusted earnings increased 11.4% from the year-ago quarter.
Total revenues were $1.51 billion, falling 1.5% year over year and lagging the consensus estimate of $1.52 billion by 0.6%.
Fiserv, Inc. (FISV - Free Report) reported first-quarter 2026 adjusted earnings of $1.79 per share, beating the Zacks Consensus Estimate of $1.57 by 14%. Adjusted earnings declined 16.4% from the year-ago quarter.
The revenue performance was softer. Adjusted revenues were $4.68 billion, missing the consensus mark of $4.76 billion by 1.7% and decreasing 8.9% year over year.
HOUSTON--(BUSINESS WIRE)--Insperity, Inc. (NYSE: NSP), a leading provider of human resources and business performance solutions for America’s best businesses, today announced that its board of directors has declared a quarterly cash dividend of $0.60 per share. The cash dividend will be paid on June 18, 2026, to all stockholders of record as of June 4, 2026.
About Insperity
Since 1986, Insperity’s mission has been to help businesses succeed so communities prosper. Offering a suite of the most comprehensive, scalable HR solutions available in the marketplace, Insperity is defined by an unrivaled breadth and depth of services and level of care. Through an optimal blend of premium HR service and technology, Insperity delivers the administrative relief, reduced liabilities and better benefit solutions that businesses need to drive performance and growth. With 2025 revenues of $6.8 billion and sales and service operations throughout the U.S., Insperity is currently making a difference in thousands of businesses and communities nationwide. For more information, visit http://www.insperity.com.
[url="]Insperity, Inc.[/url] (NYSE: NSP), a leading provider of [url="]human resources and business performance solutions[/url] for America's best businesses,
Key Takeaways Insperity shares rallied 51% in three months, outperforming the industry's 20.6% return.NSP targets margin recovery; Q1 2026 gross profit rose 75.6% sequentially despite a 3% YoY dip.NSP ended Q1 2026 with $635M cash and zero current debt, but SMB sentiment is turning cautious. Insperity, Inc. (NSP - Free Report) shares have jumped 51% over the past three months, outpacing the industry’s 20.6% return.
NSP’s revenues are expected to increase 1.1% and 4.5% year over year in 2026 and 2027, respectively. Earnings are anticipated to surge 106.8% in 2026 and 41.5% in 2027.
Factors That Augur Well for NSP’s SuccessFavorable Market Trend: Per Spherical Insights, the global professional employer organization (PEO) market is expected to grow from $73.6 billion in 2025 to $212.7 billion by 2036, at a CAGR of 11.2%. This swiftly growing industry is currently being driven by the proliferation of small and medium-sized businesses (SMBs), increased costs related to workers’ compensation insurance coverage, workplace safety programs, employee-related complaints and litigation, complex regulation of payroll, payroll tax and employment issues. Insperity, a leader in PEO services, should benefit from this tailwind.
Margin Recovery: NSP prioritizes margin recovery in the first year of its three-year plan. During the first quarter of 2026, the company registered $302 million in gross profit, highlighting a 3% year-over-year dip. Despite this minor decline, the company witnessed a massive 75.6% year- over-year hike sequentially. This lofty growth can be attributed to NSP’s new agreement with UnitedHealthcare, a benefit plan design change, strategic pricing and client selection and enhancement in operational efficiency.
HRScale Rollout: Insperity launched HRScale, which bridges the company’s HR expertise with Workday’s client-facing technology. It is expected to target 150-5,000 employees, resolving historical churn where small clients left NSP post-scaling into large companies requiring human capital management technology. The company was successful at onboarding initial beta clients ahead of schedule in March 2026, and boasts signed client commitments of nearly 6,000 worksite employees to be deployed over the next six months.
Strong Liquidity Profile: Insperity held $635 million in cash at the end of the first quarter of 2026, against zero current debt. It demonstrates that the company holds ample liquidity to drive growth. Furthermore, NSP’s current ratio is at 1.09, a marginal improvement from the preceding quarter’s 1.06. While it may not have surpassed the industry average of 1.39, it exceeds 1, which is a green flag for investors as it signals effective coverage of short-term obligations.
Image Source: Zacks Investment Research
Risks Faced by InsperityMacroeconomic Headwinds: NSP’s client business outlook survey highlights a significant shift in sentiment with small- and medium-sized businesses becoming cautious regarding the broader economy. Negative sentiments heightened around the economy, with 54% of the surveyed clients expecting their businesses to face challenges, up from 42% in January. Furthermore, a noticeable weakness is witnessed in client optimism regarding sales volume, hiring, net earnings and compensation.
Fierce Competition: Insperity operates in the PEO industry, which is highly fragmented and competitive. Competition in the PEO industry persists primarily in terms of the quality of services offered, and benefits around packaging and pricing. Moreover, PEOs are substantially dependent on climatic conditions and the targeted herd of the markets in which they operate. It creates challenges for NSP in terms of balancing profitability and growth.
NSP’s Zacks Rank & Stocks to ConsiderThe company has a Zacks Rank #3 (Hold) at present.
Some better-ranked stocks from the broader Zacks Business Services sector are Skillsoft (SKIL - Free Report) and TransUnion (TRU - Free Report) , each currently carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Skillsoft has a long-term earnings growth expectation of 10%. SKIL delivered a trailing four-quarter earnings surprise of 71.3%, on average.
TransUnion has a long-term earnings growth expectation of 13.5%. TRU delivered a trailing four-quarter earnings surprise of 6.3%, on average.
On May 28, 2026, Insperity Inc (NSP) shares rose 3.3% today, closing at $34.05. The stock has seen a range of performance over the past year, with a 52-week hig
Recognition reflects strong company culture, focused on workforce readiness, employee engagement, community impact and wellbeing initiatives
HOUSTON--(BUSINESS WIRE)--Insperity, Inc. (NYSE: NSP), a leading provider of human resources and business performance solutions, is proud to be Certified™ by Great Place To Work® for the third year in a row. The prestigious award is solely based on what current employees say about their experience working at Insperity.
“The Great Place to Work Certification reflects our commitment to a people-first culture at Insperity,” said Paul Sarvadi, Insperity’s chairman and chief executive officer. “Our values guide how we support our employees, champion wellbeing, and make a meaningful impact in the communities where we live and work. That same commitment extends to how we support our clients—we want to help every client to be an ‘employer of choice.’”
Great Place To Work® is the global authority on workplace culture, employee experience and the leadership behaviors proven to deliver market-leading revenue, employee retention and increased innovation. According to Great Place To Work research, employees at Certified workplaces are 93% more likely to look forward to coming to work.
Insperity, grounded in its mission of helping businesses succeed so communities prosper, continues to create lasting impact, support wellbeing and drive meaningful employee engagement, for which the company receives recognition from many leading organizations, including Great Place To Work® (see below).
Strengthening workforce readiness: Through our commitment to professional development and innovation, Insperity’s workforce builds skills critical to the future of work, driving professional growth and building careers. Insperity’s dedication to workforce readiness also extends outside of its company to underserved populations entering the workforce. By working with 12 Houston-area nonprofits, Insperity provides essential readiness skills and resources to high school students, college students, veterans, neurodiverse individuals, formerly incarcerated persons, caregivers and persons experiencing homelessness.
HR.com Best Technology Innovation Implementation, 2025 HR.com Future Workforce Innovation 2nd Place, 2025 RippleMatch Campus Forward Awards Best in Class, 2025 RippleMatch Campus Forward Awards Excellence in Recruitment Strategies, 2025 and 2026 RippleMatch Campus Forward Awards Tech Innovation, 2025 RippleMatch Campus Forward Awards Innovation in Action, 2026 RippleMatch Campus Forward Awards Excellence in Candidate Experience, 2026 Leading culture, employee engagement and community impact: Reflecting our focus on creating a high-performing and supportive workplace, Insperity offers flexibility with 21% of employees working remotely and 64% hybrid. Additionally, Insperity delivered more than $5.6 million in philanthropic impact in 2025, with 77% of employees volunteering over 42,000 total hours across more than 1,100 events nationwide.
PEOPLE® Companies that Care, 2025 Fortune Best Workplaces for Women™ 2025 Forbes America’s Best Employers for Company Culture 2025 Newsweek America’s Greatest Workplaces for Culture, Belonging & Community 2026 Newsweek America’s Most Charitable Companies 2026 Championing employee wellbeing: In 2025, Insperity employees and worksite employees accessed benefits such as parental leave, caregiver support, physical fitness and financial coaching—all evidence of Insperity’s culture of care and total wellbeing support for its employees, clients and their families.
Fortune Best Workplaces for Parents™ 2025 Newsweek America's Greatest Workplaces for Parents & Families 2025 U.S. News & World Report Best Companies to Work For: Supporting Family Caregiving 2025 Mental Health America Platinum Bell Seal for Workplace Mental Health, 2026 Insperity’s programs and the awards it has received reflect the company’s positive impact both within the organization and in the communities it serves. Additional information can be found in Insperity's 2025 Corporate Social Responsibility Report.
About Insperity
Since 1986, Insperity’s mission has been to help businesses succeed so communities prosper. Offering a suite of the most comprehensive, scalable HR solutions available in the marketplace, Insperity is defined by an unrivaled breadth and depth of services and level of care. Through an optimal blend of premium HR service and technology, Insperity delivers the administrative relief, reduced liabilities and better benefit solutions that businesses need to drive performance and growth. With 2025 revenues of $6.8 billion and sales and service operations throughout the U.S., Insperity is currently making a difference in thousands of businesses and communities nationwide. For more information, visit http://www.insperity.com.
About Great Place to Work Certification™
Great Place To Work® Certification™ is the most definitive “employer-of-choice” recognition that companies aspire to achieve. It is the only recognition based entirely on what employees report about their workplace experience – specifically, how consistently they experience a high-trust workplace. Great Place to Work Certification is recognized worldwide by employees and employers alike and is the global benchmark for identifying and recognizing outstanding employee experience. Every year, more than 10,000 companies across 60 countries apply to get Great Place To Work-Certified.
About Great Place To Work®
As the global authority on workplace culture, Great Place To Work® brings 30 years of groundbreaking research and data to help every place become a great place to work for all. Their proprietary platform and For All™ Model helps companies evaluate the experience of every employee, with exemplary workplaces becoming Great Place To Work Certified™ or receiving recognition on a coveted Best Workplaces™ List.
Learn more at greatplacetowork.com and follow Great Place To Work on LinkedIn, Twitter, Facebook and Instagram.
Paul J. Sarvadi, Chairman of the Board and CEO of Insperity (NSP 3.21%), reported an open-market purchase of 233,000 shares for a total consideration of approximately $7.93 million, according to a SEC Form 4 filing.
Transaction summaryMetricValueShares traded233,000Transaction value$7.9 millionPost-transaction shares (direct)699,670Post-transaction value (direct ownership)~$23.09 millionTransaction value based on SEC Form 4 weighted average purchase price ($34.05); post-transaction value based on June 3, 2026 adjusted market close ($33.00).
Key questionsHow does this transaction compare in scale to Sarvadi’s historical buying or selling patterns?
This 233,000-share purchase is the largest single transaction in Sarvadi’s reported history, nearly twelve times the mean size of prior sell-only events (~19,400 shares), and substantially exceeds all prior activity in the timeframe.What is the impact on Sarvadi’s aggregate holdings and ownership structure?
Following the trade, Sarvadi’s direct ownership stands at 699,670 shares, with indirect holdings at 1,105,912 shares via Our Ship Limited Partnership, Ltd., underscoring a dual-entity stake and a post-transaction directly-held position value of ~$23.09 million as of June 3, 2026.Was this a derivative-driven or options-based purchase?
No; the purchase was an open-market acquisition of common stock without any associated derivative or options exercise component.How does the timing of this purchase relate to recent price action and capacity?
The trade was executed as the stock reached a one-year decline of 39.33% (as of June 3, 2026), with Sarvadi allocating capital at a cycle low.Company overviewMetricValueRevenue (TTM)$6.84 billionNet income (TTM)($25.00 million)Price (as of adjusted market close June 3, 2026)$33.00* 1-year performance data is calculated using June 3, 2026 as the reference date.
Company snapshotComprehensive HR solutions, including payroll, benefits administration, compliance management, employee training, and a cloud-based HCM platform, form the core service portfolio.Insperity generates revenue primarily through professional employer organization services and human capital management offerings, charging clients on a per-employee or service basis.The company targets small and medium-sized businesses across the United States, focusing on organizations seeking to outsource HR functions and improve workforce efficiency.Insperity operates at scale, serving over 300,000 employees and delivering integrated HR and business solutions to a broad base of U.S. enterprises. The company leverages its proprietary platforms and national sales presence to address complex workforce management needs, positioning itself as a strategic partner for growing businesses.
Its diversified service suite and technology-driven approach provide competitive differentiation in the staffing and employment services industry.
What this transaction means for investorsThe June 3 purchase of Insperity stock by the company’s co-founder, CEO and Chairman of the Board, Paul Sarvadi, suggests he has a bullish outlook towards shares. The transaction comes at an interesting time.
The stock fell to a 52-week low of $18.57 in March yet Sarvadi’s buy was made after shares recovered to some degree. This indicates he believes the price can rise higher. After all, shares remain far below the 52-week high of $64.12 reached in June of 2025.
Insperity’s stock price fell as the company’s margins shrank. In 2025, it reported a net loss of $7 million compared to net income of $91 million in 2024.
Insperity management vowed to improve margins, and its results for the first quarter are encouraging. It reported 2% year-over-year revenue growth to $1.9 billion and net income of $33 million, up from a Q4 net loss of $33 million.
The company’s valuation is not at a low point, but it’s more attractive than it was a year ago. Insperity’s price-to-sales ratio of 0.2 is notably lower than its 0.5 sales multiple at the end of Q1 last year. This indicates the stock remains at a compelling valuation, which explains Sarvadi’s June 3 purchase, and if you believe Insperity can continue to improve its profitability, then now looks like a good time to buy.
Insperity to spotlight HR solutions that help employers support managers, strengthen employee connection and navigate artificial intelligence (AI) workplace change
HOUSTON--(BUSINESS WIRE)--Insperity, Inc. (NYSE: NSP), a leading provider of human resources and business performance solutions, will showcase its Insperity HR360, Insperity HRCore and Insperity HRScale™ solutions at SHRM26, the annual conference and expo for HR professionals hosted by SHRM.
As AI continues to transform the workplace, employers across industries are facing critical questions around workforce readiness, talent and culture. These timely issues will be a key focus at SHRM26, where Insperity will meet with HR leaders exploring the future of work and the importance of their people strategy.
“We know HR leaders attending SHRM26 are focused on a common challenge: the right balance of AI-driven transformation and human expertise,” said Paul Sarvadi, Insperity’s chairman and chief executive officer. “Insperity’s solutions, which combine premium HR service and technology, help organizations simplify HR administration and gain deeper workforce insights, creating the foundation HR leaders need to support their people and improve their business.”
At SHRM26, attendees can visit Insperity at booth #3937 to learn how its HR solutions help organizations streamline workforce management, develop talent and navigate workplace transformation.
To learn more about Insperity’s solutions, visit https://www.insperity.com/our-products/.
About Insperity
Since 1986, Insperity’s mission has been to help businesses succeed so communities prosper. Offering a suite of the most comprehensive, scalable HR solutions available in the marketplace, Insperity is defined by an unrivaled breadth and depth of services and level of care. Through an optimal blend of premium HR service and technology, Insperity delivers the administrative relief, reduced liabilities and better benefit solutions that businesses need to drive performance and growth. With 2025 revenues of $6.8 billion and sales and service operations throughout the U.S., Insperity is currently making a difference in thousands of businesses and communities nationwide. For more information, visit http://www.insperity.com.
