Why ManpowerGroup (MAN) Shares Are Declining Today

Recent Developments

ManpowerGroup (NYSE:MAN), a provider of workforce solutions, experienced a 3.1% decline in its share price during the afternoon trading session. This drop followed UBS analysts lowering their price target for the company from $39 to $32, reflecting a more cautious outlook.

Although the analyst maintained a 'Neutral' stance on the stock, the revised price target suggests expectations for a challenging period ahead. UBS's forecast for ManpowerGroup's fourth-quarter earnings per share was slightly below what the market anticipated, citing concerns over shrinking profit margins. This conservative perspective comes as broader indicators point to a softening employment market.

At the close of trading, ManpowerGroup's shares settled at $30.07, marking a 2.9% decrease from the previous day's finish.

Market reactions to news can sometimes be exaggerated, and significant price drops may present opportunities to acquire quality stocks at a discount. Considering this, is now a good moment to invest in ManpowerGroup?

Market Perspective

ManpowerGroup's stock has shown considerable volatility, with more than 20 instances of price swings exceeding 5% over the past year. In this context, the latest decline signals that investors view the recent news as important, though not transformative for the company's overall outlook.

Just two days prior, the shares rose by 2.7% after BMO Capital upgraded its rating on ManpowerGroup from Market Perform to Outperform.

BMO Capital also set a new price target of $44. In their note to investors, the analyst suggested that staffing stocks are often best purchased near the end of a recession. While the global economy hasn't reached that point, the staffing industry itself has been in a downturn for some time. BMO expressed optimism that ManpowerGroup's business performance would improve and considered the current share price an appealing entry point.

Since the start of the year, ManpowerGroup's stock has remained largely unchanged. Currently trading at $30.07 per share, it stands 52% below its 52-week high of $62.66 reached in March 2025. An investor who put $1,000 into ManpowerGroup five years ago would now see that investment reduced to $322.93.

Industry Insights

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