📊 BBSI Key Takeaways
Investment Thesis
BBSI demonstrates exceptional financial health with zero debt, strong profitability metrics (22.6% ROE, 7.0% ROA), and consistent growth (8.4% revenue YoY, 5.1% EPS YoY). The company generates robust free cash flow of $47.2M against minimal capital requirements, supported by a fortress balance sheet with $95M cash and excellent liquidity ratios.
BBSI Strengths
- Zero long-term debt with pristine balance sheet providing strategic flexibility
- Outstanding return on equity (22.6%) and ROA (7.0%) demonstrate efficient capital utilization
- Strong free cash flow generation ($47.2M) exceeding net income by 87% indicates high quality earnings
- Solid 8.4% revenue growth with positive operating leverage (net income growing at 2.7% YoY)
- Exceptional liquidity position (1.29x current ratio, $95M cash) with zero refinancing risk
- Consistent earnings per share growth (5.1% YoY) despite modest revenue margin expansion
BBSI Risks
- Net profit margin of 4.4% is relatively thin and vulnerable to wage inflation in staffing services
- Operating margin of 5.0% provides limited buffer against economic downturns or competitive pricing pressure
- Staffing industry is cyclical and sensitive to labor market disruptions and macroeconomic contraction
- Revenue growth of 8.4% is modest suggesting market saturation or competitive constraints in core services
- High insider trading activity (11 Form 4 filings in 90 days) warrants monitoring for potential signaling
Key Metrics to Watch
- Gross margin trend - monitor for wage inflation impact on staffing economics
- Operating cash flow stability - validate sustainability of cash generation relative to net income
- Revenue growth acceleration - assess whether 8.4% YoY represents floor or ceiling for growth
- Free cash flow conversion - track whether FCF remains above 70% of net income
- Return on equity sustainability - ensure 22.6% ROE is maintained amid competitive pressures
BBSI Financial Metrics
💡 AI Analyst Insight
The relatively thin 3.8% FCF margin may limit capital allocation flexibility.
BBSI Profitability Ratios
BBSI vs Default Sector
How BARRETT BUSINESS SERVICES INC compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
BBSI Balance Sheet & Liquidity
BBSI 5-Year Financial Trend
5-Year Trend Summary: BARRETT BUSINESS SERVICES INC's revenue has grown significantly by 30% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.85 reflects profitable operations.
BBSI Growth Metrics (YoY)
BBSI Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $294.3M | -$136.0K | $0.74 |
| Q2 2025 | $279.7M | -$136.0K | $0.62 |
| Q1 2025 | $265.8M | -$136.0K | $-0.01 |
| Q3 2024 | $273.3M | -$136.0K | $0.67 |
| Q2 2024 | $264.6M | -$136.0K | $0.62 |
| Q1 2024 | $254.7M | -$136.0K | $-0.02 |
| Q3 2023 | $273.3M | $288.0K | $2.45 |
| Q2 2023 | $262.2M | $288.0K | $2.47 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
BBSI Capital Allocation
BBSI SEC Filings
Access official SEC EDGAR filings for BARRETT BUSINESS SERVICES INC (CIK: 0000902791)
📋 Recent SEC Filings
❓ Frequently Asked Questions about BBSI
What is the AI rating for BBSI?
BARRETT BUSINESS SERVICES INC (BBSI) has an AI rating of STRONG BUY with 82% confidence, based on fundamental analysis of SEC EDGAR filings.
What are BBSI's key strengths?
Zero long-term debt with pristine balance sheet providing strategic flexibility. Outstanding return on equity (22.6%) and ROA (7.0%) demonstrate efficient capital utilization.
What are the risks of investing in BBSI?
Net profit margin of 4.4% is relatively thin and vulnerable to wage inflation in staffing services. Operating margin of 5.0% provides limited buffer against economic downturns or competitive pricing pressure.
What is BBSI's revenue and growth?
BARRETT BUSINESS SERVICES INC reported revenue of $1.2B.
Does BBSI pay dividends?
BARRETT BUSINESS SERVICES INC pays dividends, with $8.2M distributed to shareholders in the trailing twelve months.
Where can I find BBSI SEC filings?
Official SEC filings for BARRETT BUSINESS SERVICES INC (CIK: 0000902791) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is BBSI's EPS?
BARRETT BUSINESS SERVICES INC has a diluted EPS of $2.08.
How is the AI analysis conducted?
Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.