Reasons Why You Should Hold ManpowerGroup Stock in Your Portfolio

ManpowerGroup MAN has an encouraging earnings surprise history, having surpassed the Zacks Consensus Estimate in three of the trailing four quarters and missing once, delivering an average beat of 2.43%.

The company’s first-quarter 2026 earnings are expected to increase 13.64% year over year. Its 2026 and 2027 earnings are projected to rise 26.9% and 36.9%, respectively. Revenues are anticipated to grow 3.2% in 2026 and 4.1% in 2027.

ManpowerGroup Inc. Price and EPS Surprise

ManpowerGroup Inc. price-eps-surprise | ManpowerGroup Inc. Quote

Factors That Bode Well for MAN

ManpowerGroup stands to benefit from the widening AI skills gap and declining worker confidence, as companies increasingly seek external support to reskill employees and adapt to rapid technological change. Rising automation concerns and “job hugging” trends push employers to rely more heavily on the company’s staffing, workforce consulting and talent development services. The ongoing training void and elevated burnout levels further increase demand for its upskilling and career transition solutions, strengthening client relationships and supporting long-term revenue growth.

MAN enhances its strategic positioning and growth prospects by actively participating in AI and workforce readiness discussions at the World Economic Forum Annual Meeting in Davos. This engagement strengthens the company’s credibility as a global workforce solutions leader and increases demand for its staffing, consulting and reskilling services as employers confront rising talent shortages and rapid skill transformation.

By promoting workforce development initiatives and releasing proprietary research, ManpowerGroup attracts new clients, deepens existing partnerships and expands opportunities to support organizations adapting to AI-driven changes, ultimately supporting long-term revenue growth.

The company benefits from persistent tech talent shortages and the shift toward precision hiring as employers increasingly rely on its specialized staffing and reskilling services to secure skilled professionals. Strong demand for AI, cloud and data talent drives growth in its Experis segment, enabling MAN to expand services, strengthen client relationships and support revenue growth.

MAN: Key Risks to Watch

ManpowerGroup faces mounting liquidity pressure as its current ratio declined steadily from 1.19 in 2021 to 1.00 in 2022, 0.83 in 2023, 0.81 in 2024 and 0.65 in 2025. This sharp deterioration of 54 basis points between 2024 and 2025 and a total decline of 54.6% from 2021 levels indicates weakening short-term financial strength. A current ratio greater than 1 is desirable, as it indicates that the company holds sufficient cash to meet its short-term obligations.

Risks from macroeconomic uncertainty, including tariff pressures and changes in government policies that could raise input costs or delay infrastructure and public-sector projects, hurt MAN’s prospects. Trade tensions and shifting spending priorities may slow contract awards, while elevated labor costs could further pressure margins and temper growth.

MAN’s Zacks Rank and Stocks to Consider

MAN currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks for investors’ consideration are Dave Inc. DAVE and Maximus MMS.

Dave currently sports a Zacks Rank #1 (Strong Buy). DAVE has an expected earnings growth rate of more than 100% and 5.9% for 2026 and 2027, respectively. You can see the complete list of today’s Zacks #1 Rank stocks here.

The company has a mixed earnings surprise history as it has surpassed the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average beat of 74.65%.

Maximus carries a Zacks Rank #2 (Buy). MMS has an expected earnings growth rate of 14.4% and 1.2% for fiscal 2026 and 2027, respectively.

The company has an encouraging earnings surprise history as it has surpassed the Zacks Consensus Estimate in three of the trailing four quarters, missing in the remaining one, delivering an average earnings surprise of 25.5%.

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This article originally published on Zacks Investment Research (zacks.com).

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