Is Robert Half, Inc. overvalued or undervalued?

As of 23 July 2025, the valuation grade for Robert Half, Inc. has moved from fair to very attractive, indicating a significant improvement in its perceived value. The company appears undervalued, especially when considering its P/E ratio of 22, which is lower than the peer average of approximately 21.3 for Korn Ferry, and its EV to EBITDA ratio of 12.99, which also compares favorably against peers like Perficient, Inc. at 21.39. Additionally, Robert Half boasts a strong ROCE of 23.07% and a dividend yield of 5.18%, further supporting its attractive valuation.
In terms of peer comparison, Robert Half's P/E ratio is notably lower than that of Perficient, Inc., which is considered expensive at 34.11, while Korn Ferry's P/E of 21.30 indicates a competitive landscape. Despite the attractive valuation metrics, Robert Half has underperformed significantly against the S&P 500, with a year-to-date return of -50.17% compared to the index's 12.22%, suggesting that while the stock may be undervalued, market sentiment has not yet reflected this potential.