WallStSmart

Kelly Services A Inc (KELYA)vsTriNet Group Inc (TNET)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

TriNet Group Inc generates 19% more annual revenue ($4.83B vs $4.06B). TNET leads profitability with a 3.6% profit margin vs -6.7%. KELYA appears more attractively valued with a PEG of 0.69. TNET earns a higher WallStSmart Score of 54/100 (C-).

KELYA

Hold

47

out of 100

Grade: D+

Growth: 2.0Profit: 3.0Value: 7.0Quality: 7.5
Piotroski: 4/9Altman Z: 3.27

TNET

Buy

54

out of 100

Grade: C-

Growth: 5.3Profit: 6.5Value: 6.0Quality: 4.0
Piotroski: 5/9Altman Z: 1.24
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

KELYAUndervalued (+18.2%)

Margin of Safety

+18.2%

Fair Value

$12.11

Current Price

$15.88

$3.77 discount

UndervaluedFair: $12.11Overvalued
TNETUndervalued (+29.8%)

Margin of Safety

+29.8%

Fair Value

$64.45

Current Price

$66.01

$1.56 discount

UndervaluedFair: $64.45Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KELYA4 strengths · Avg: 9.3/10
Price/BookValuation
0.6x10/10

Reasonable price relative to book value

Altman Z-ScoreHealth
3.2710/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.139/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.698/10

Growing faster than its price suggests

TNET3 strengths · Avg: 8.7/10
Return on EquityProfitability
191.6%10/10

Every $100 of equity generates 192 in profit

P/E RatioValuation
17.5x8/10

Attractively priced relative to earnings

EPS GrowthGrowth
49.4%8/10

Earnings expanding 49.4% YoY

Areas to Watch

KELYA4 concerns · Avg: 2.5/10
Market CapQuality
$580.37M3/10

Smaller company, higher risk/reward

Operating MarginProfitability
1.9%3/10

Operating margin of 1.9%

Return on EquityProfitability
-27.8%2/10

ROE of -27.8% — below average capital efficiency

Revenue GrowthGrowth
-5.8%2/10

Revenue declined 5.8%

TNET4 concerns · Avg: 2.3/10
Profit MarginProfitability
3.6%3/10

3.6% margin — thin

PEG RatioValuation
7.222/10

Expensive relative to growth rate

Price/BookValuation
36.7x2/10

Trading at 36.7x book value

Revenue GrowthGrowth
-4.4%2/10

Revenue declined 4.4%

Comparative Analysis Report

WallStSmart Research

Bull Case : KELYA

The strongest argument for KELYA centers on Price/Book, Altman Z-Score, Debt/Equity. PEG of 0.69 suggests the stock is reasonably priced for its growth.

Bull Case : TNET

The strongest argument for TNET centers on Return on Equity, P/E Ratio, EPS Growth.

Bear Case : KELYA

The primary concerns for KELYA are Market Cap, Operating Margin, Return on Equity.

Bear Case : TNET

The primary concerns for TNET are Profit Margin, PEG Ratio, Price/Book. Debt-to-equity of 7.60 is elevated, increasing financial risk. Thin 3.6% margins leave little buffer for downturns.

Key Dynamics to Monitor

KELYA profiles as a turnaround stock while TNET is a value play — different risk/reward profiles.

TNET carries more volatility with a beta of 0.93 — expect wider price swings.

TNET is growing revenue faster at -4.4% — sustainability is the question.

TNET generates stronger free cash flow (85M), providing more financial flexibility.

Bottom Line

TNET scores higher overall (54/100 vs 47/100). KELYA offers better value entry with a 18.2% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Kelly Services A Inc

INDUSTRIALS · STAFFING & EMPLOYMENT SERVICES · USA

Kelly Services, Inc. provides workforce solutions to various industries. The company is headquartered in Troy, Michigan.

TriNet Group Inc

INDUSTRIALS · STAFFING & EMPLOYMENT SERVICES · USA

TriNet Group, Inc. provides Human Resources (HR) solutions for small and medium-sized businesses in the United States. The company is headquartered in Dublin, California.

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