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KFRC Stock Analysis 2026 - KFORCE INC AI Rating

KFRC NYSE Services-Help Supply Services FL CIK: 0000930420
Recently Updated • Analysis: Apr 12, 2026 • SEC Data: 2025-12-31
HOLD
62% Conf
Pending
Analysis scheduled

📊 KFRC Key Takeaways

Revenue: $1.3B
Net Margin: 2.6%
Free Cash Flow: $46.8M
Current Ratio: 1.78x
Debt/Equity: 0.00x
EPS: $1.96
AI Rating: HOLD with 62% confidence

Is KFRC a Good Investment? Thesis Analysis

Claude

KFRC demonstrates a fortress-like balance sheet with zero debt and strong liquidity, but is experiencing significant operational deterioration with revenue declining 5.4% YoY and net income falling 30.9% YoY, indicating margin compression and cyclical headwinds in the staffing services sector that warrant a cautious stance pending business stabilization.

Why Buy KFRC? Key Strengths

Claude
  • + Zero long-term debt and conservative capital structure
  • + Strong liquidity with 1.78x current and quick ratios
  • + Solid free cash flow generation of $46.8M despite headwinds
  • + Excellent ROE of 27.9% and ROA of 9.5%
  • + Positive operating cash flow of $61.6M provides financial flexibility

KFRC Investment Risks to Consider

Claude
  • ! Revenue declining 5.4% YoY indicating market contraction or competitive pressure
  • ! Net income down 30.9% YoY with EPS falling 26.9%, showing significant earnings erosion
  • ! Very thin net margin of 2.6% and operating margin of 3.8% leaves little room for error
  • ! Cyclical industry exposure as staffing/help supply services is economically sensitive
  • ! Minimal cash position of $2.1M relative to $365.6M asset base may limit operational flexibility

Key Metrics to Watch

Claude
  • * Quarterly revenue trends and YoY growth rate stabilization
  • * Operating margin trajectory and cost structure management
  • * Free cash flow sustainability amid revenue contraction
  • * Cash balance growth relative to operational needs

KFRC Financial Metrics

Revenue
$1.3B
Net Income
$34.8M
EPS (Diluted)
$1.96
Free Cash Flow
$46.8M
Total Assets
$365.6M
Cash Position
$2.1M

💡 AI Analyst Insight

The relatively thin 3.5% FCF margin may limit capital allocation flexibility.

KFRC Profitability Ratios

Gross Margin 27.2%
Operating Margin 3.8%
Net Margin 2.6%
ROE 27.9%
ROA 9.5%
FCF Margin 3.5%

KFRC vs Default Sector

How KFORCE INC compares to Default sector averages

Net Margin
KFRC 2.6%
vs
Sector Avg 12.0%
KFRC Sector
ROE
KFRC 27.9%
vs
Sector Avg 15.0%
KFRC Sector
Current Ratio
KFRC 1.8x
vs
Sector Avg 1.8x
KFRC Sector
Debt/Equity
KFRC 0.0x
vs
Sector Avg 0.7x
KFRC Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is KFRC Overvalued or Undervalued?

Based on fundamental analysis, KFORCE INC has mixed fundamental signals relative to the Default sector in 2026.

Return on Equity
27.9%
Sector avg: 15%
Net Profit Margin
2.6%
Sector avg: 12%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.00x
Sector avg: 0.7x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

KFRC Balance Sheet & Liquidity

Current Ratio
1.78x
Quick Ratio
1.78x
Debt/Equity
0.00x
Debt/Assets
65.9%
Interest Coverage
25.27x
Long-term Debt
N/A

KFRC 5-Year Financial Trend & Growth Analysis

KFRC 5-year financial data: Year 2021: Revenue $1.6B, Net Income $130.9M, EPS $5.50. Year 2022: Revenue $1.7B, Net Income $56.0M, EPS $2.62. Year 2023: Revenue $1.7B, Net Income $75.2M, EPS $3.54. Year 2024: Revenue $1.7B, Net Income $75.4M, EPS $3.68. Year 2025: Revenue $1.5B, Net Income $61.1M, EPS $3.13.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: KFORCE INC's revenue has remained relatively flat over the 5-year period, with a 3% decline. The most recent EPS of $3.13 reflects profitable operations.

KFRC Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
3.5%
Free cash flow / Revenue

KFRC Quarterly Performance

Quarterly financial performance data for KFORCE INC including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $332.6M $8.1M $0.63
Q2 2025 $334.3M $8.1M $0.59
Q1 2025 $330.0M $8.1M $0.45
Q3 2024 $353.3M $10.6M $0.54
Q2 2024 $356.3M $11.0M $0.75
Q1 2024 $351.9M $11.0M $0.58
Q3 2023 $373.1M $10.6M $0.54
Q2 2023 $389.2M $16.2M $0.95

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

KFRC Capital Allocation

Operating Cash Flow
$61.6M
Cash generated from operations
Stock Buybacks
$50.9M
Shares repurchased (TTM)
Capital Expenditures
$14.8M
Investment in assets
Dividends Paid
$27.5M
Returned to shareholders

KFRC SEC 10-K & 10-Q Filing Analysis

Access official SEC EDGAR filings for KFORCE INC (CIK: 0000930420)

📋 Recent SEC Filings

Date Form Document Action
Mar 24, 2026 4 xslF345X06/wk-form4_1774382705.xml View →
Mar 17, 2026 8-K kfrc-20260313.htm View →
Mar 13, 2026 DEF 14A kfrc-20260313.htm View →
Mar 10, 2026 4 xslF345X05/wk-form4_1773175183.xml View →
Mar 10, 2026 4 xslF345X05/wk-form4_1773175177.xml View →

Frequently Asked Questions about KFRC

What is the AI rating for KFRC?

KFORCE INC (KFRC) has an AI rating of HOLD with 62% confidence, based on fundamental analysis of SEC EDGAR filings.

What are KFRC's key strengths?

Claude: Zero long-term debt and conservative capital structure. Strong liquidity with 1.78x current and quick ratios.

What are the risks of investing in KFRC?

Claude: Revenue declining 5.4% YoY indicating market contraction or competitive pressure. Net income down 30.9% YoY with EPS falling 26.9%, showing significant earnings erosion.

What is KFRC's revenue and growth?

KFORCE INC reported revenue of $1.3B.

Does KFRC pay dividends?

KFORCE INC pays dividends, with $27.5M distributed to shareholders in the trailing twelve months.

Where can I find KFRC SEC filings?

Official SEC filings for KFORCE INC (CIK: 0000930420) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is KFRC's EPS?

KFORCE INC has a diluted EPS of $1.96.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is KFRC a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, KFORCE INC has a HOLD rating with 62% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is KFRC stock overvalued or undervalued?

Valuation metrics for KFRC: ROE of 27.9% (sector avg: 15%), net margin of 2.6% (sector avg: 12%). Higher ROE suggests strong returns relative to peers.

Should I buy KFRC stock in 2026?

Our dual AI analysis gives KFORCE INC a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is KFRC's free cash flow?

KFORCE INC's operating cash flow is $61.6M, with capital expenditures of $14.8M. FCF margin is 3.5%.

How does KFRC compare to other Default stocks?

Vs Default sector averages: Net margin 2.6% (avg: 12%), ROE 27.9% (avg: 15%), current ratio 1.78 (avg: 1.8).

Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 12, 2026 | Data as of: 2025-12-31 | Powered by Claude AI