Insperity Stock Declines 23% After Reporting Q3 Earnings Miss

Insperity, Inc. NSP reported lower-than-expected third-quarter 2025 results.The stock has declined 22.8% since the earnings release on Nov. 3 in response to dismal earnings and revenues, and a weak EPS guidance.For the fourth quarter of 2025, NSP’s guidance for loss per share is kept at 79-16 cents. The guided range is lower than the Zacks Consensus Estimate for earnings of 7 cents per share.For 2025, the company lowered the adjusted earnings per share (EPS) guidance to $84 cents-$1.47 from the preceding quarter’s view of $1.81-$2.51. The guidance range is lower than the Zacks Consensus Estimate for earnings of $2.11 per share.NSP registered an adjusted loss of 20 cents per share compared with the consensus mark for earnings of 22 cents per share. It compares with the year-ago earnings of 39 cents per share. Revenues of $1.6 billion missed the Zacks Consensus Estimate by a slight margin but increased 4% from the year-ago quarter.Insperity, Inc. Price, Consensus and EPS Surprise  Insperity, Inc. price-consensus-eps-surprise-chart | Insperity, Inc. QuoteThe company’s stock has declined 57.2% over the past year compared with the 44.1% fall of its industry and the 15.6% rise of the Zacks S&P 500 composite.The average number of worksite employees paid per month increased 1% year over year to 312,842. Revenues per worksite employee (WSEE) per month increased 3% from the year-ago quarter to $1,729.Insperity’s Q3 Operating ResultsGross profit declined 15% from the year-ago quarter to $195 million. The gross margin was 12%, down 140 basis points from the third quarter of 2024. Operating expenses declined 4% year over year to $220 million. Operating expenses per WSEE per month fell 4% on a year-over-year basis to $246.NSP reported an operating loss of $25 million against the year-ago quarter’s operating income of $1 million. The company witnessed an operating loss per WSEE per month of $27 compared with the year-ago quarter’s $1. Adjusted EBITDA for the reported quarter is $10 million, decreasing 87.5% on a year-over-year basis.Balance Sheet & Cash Flow of NSPInsperity exited third-quarter 2025 with cash and cash equivalents of $422 million compared with $441 million in the preceding quarter. The long-term debt was $369 million, flat sequentially.In the reported quarter, NSP distributed $11.1 million as cash dividends. The capital expenditure totaled $5.6 million.Insperity’s Q4 & 2025 GuidanceFor the fourth quarter, Insperity’s view for adjusted EBITDA is kept at -$29-$9 million.For 2025, the guidance for adjusted EBITDA is reduced to $119-$153 million compared with $170-$205 million provided in the preceding quarter.Insperity carries a Zacks Rank #5 (Sell) at present.You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Earnings SnapshotTransUnion TRU reported impressive third-quarter 2025 results, wherein earnings and revenues beat the Zacks Consensus Estimate.TRU’s quarterly adjusted earnings (adjusting 61 cents from non-recurring items) of $1.10 per share surpassed the consensus mark by 5.8% and increased by the same margin year over year. Total revenues of $1.2 billion outpaced the consensus mark by 3.1% and increased 7.8% from the year-ago quarter.Paychex, Inc. PAYX reported impressive first-quarter fiscal 2026 results.PAYX’s fiscal first-quarter earnings of $1.22 per share beat the Zacks Consensus Estimate by a slight margin and increased 5.2% from the year-ago quarter. Total revenues of $1.5 billion surpassed the consensus estimate by a slight margin and gained 16.8% from the year-ago quarter.Zacks' Research Chief Picks Stock Most Likely to "At Least Double"Our experts have revealed their Top 5 recommendations with money-doubling potential – and Director of Research Sheraz Mian believes one is superior to the others. Of course, all our picks aren’t winners but this one could far surpass earlier recommendations like Hims & Hers Health, which shot up +209%.See Our Top Stock to Double (Plus 4 Runners Up) >>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 Paychex, Inc. (PAYX): Free Stock Analysis Report Insperity, Inc. (NSP): Free Stock Analysis Report TransUnion (TRU): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks