Insperity Stock Declines 11% After Reporting Q4 Earnings Beat

Insperity, Inc. NSP reported impressive fourth-quarter 2024 results, wherein earnings and revenues surpassed the Zacks Consensus Estimate.See Zacks Earnings Calendar to stay ahead of market-making news.The company’s earnings and revenue beat failed to impress the market as the stock declined 11.3% since the release of results on Feb 10, 2025.Adjusted earnings (excluding 27 cents from non-recurring items) of 5 cents per share outpaced the consensus estimate by more than 100% but decreased 93.3% year over year. Revenues of $1.6 billion beat the Zacks Consensus Estimate by 1% and increased 2.1% from the year-ago quarter.The company’s stock has gained 10.2% over the past three months against the 12.6% fall of its industry and outperforming the 1.7% rise of the Zacks S&P 500 composite.The average number of worksite employees paid per month decreased 2% year over year to 309,093. Revenue per worksite employees (WSEE) per month increased 4% from the year-ago quarter to $1,739.Insperity, Inc. Price, Consensus and EPS Surprise  Insperity, Inc. price-consensus-eps-surprise-chart | Insperity, Inc. QuoteInsperity’s Q4 Operating ResultsGross profit declined 2% from the year-ago quarter to $218 million. The gross margin was 13.5%, down 60 basis points from the fourth quarter of 2023. Operating expenses increased 17% year over year to $233 million. Operating expenses per WSEE per month gained 19% on a year-over-year basis to $251.NSP reported an operating loss of $15 million against the operating income of $23 million in the year-ago quarter. The company witnessed an operating loss per WSEE per month of $16 against an operating income per WSEE per month of $24 in the year-ago quarter. Adjusted EBITDA for the reported quarter is $23 million, decreasing 41% on a year-over-year basis.Balance Sheet & Cash Flow of NSPInsperity exited fourth-quarter 2024 with cash and cash equivalents of $1 billion compared with $470 million in the preceding quarter. The long-term debt was $369 million, flat sequentially.In the reported quarter, NSP distributed $22 million as cash dividends. The capital expenditure totaled $13 million.NSP’s Q1 & 2025 GuidanceFor the first quarter, Insperity’s guidance for the bottom line was $1.89-$2.15 per share. The mid-point ($2.02) of the guided range is higher than the Zacks Consensus Estimate for earnings of $1.98 per share. Insperity’s view for adjusted EBITDA was $121-$135 million.For 2025, the company expects the adjusted earnings per share (EPS) to be $3.10-$3.95. The mid-point ($3.53) of the company’s guidance range is lower than the Zacks Consensus Estimate for earnings of $3.80 per share. The adjusted EBITDA view is $240-$285 million.Insperity 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 SnapshotS&P Global Inc. SPGI reported impressive fourth-quarter 2024 results.SPGI’s adjusted EPS of $3.77 surpassed the Zacks Consensus Estimate by 9.6% and gained 20.4% year over year. Revenues of $3.6 billion beat the consensus estimate by 2.9% and grew 15.1% year over year.Corpay CPAY posted mixed fourth-quarter 2024 results.CPAY’s EPS of $5.36 beat the consensus estimate by a slight margin and increased 20.7% year over year. The total revenues of $1 billion missed the consensus estimate by 1.5% but grew 10.4% from the year-ago quarter.Zacks Names #1 Semiconductor StockIt's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Insperity, Inc. (NSP): Free Stock Analysis Report S&P Global Inc. (SPGI): Free Stock Analysis Report Corpay, Inc. (CPAY): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks