Insperity (NYSE:NSP) Posts Quarterly Earnings Results, Beats Expectations By $0.07 EPS

02 May 2026, 16:36 by Scott Moore · The Cerbat Gem

Insperity (NYSE:NSP – Get Free Report) issued its earnings results on Thursday. The business services provider reported $1.31 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.24 by $0.07, FiscalAI reports. Insperity had a negative return on equity of 26.99% and a negative net margin of 0.37%.The firm had revenue of $1.90 billion for the quarter, compared to analysts’ expectations of $1.89 billion. During the same period in the previous year, the firm posted $1.57 earnings per share. The business’s revenue was up 1.7% compared to the same quarter last year. Insperity updated its FY 2026 guidance to 1.600-2.600 EPS and its Q2 2026 guidance to 0.020-0.500 EPS.

Here are the key takeaways from Insperity’s conference call:

Q1 results beat expectations — Adjusted EPS was $1.31 and Adjusted EBITDA was $103M, driven by gross profit outperformance and tight operating expense control despite slightly lower paid worksite employee (WSE) levels.
Margin recovery is underway — gross profit per WSE was $332 and benefits cost inflation improved to +5% YoY, and the new UnitedHealthcare contract should support margins going forward even though it will flatten the quarterly earnings pattern.
HRScale rollout is live — initial beta clients onboarded (payrolls processed in April), with nearly 6,000 committed WSE to be onboarded over the next six months and a growing sales pipeline; Q1 HRScale investment was $13M with spending expected to taper in H2.
Guidance and unit growth were lowered — full-year WSE now 303k–307k (down 1%–2.3% vs. 2025) and Adjusted EPS guidance trimmed to $1.60–$2.60, citing weaker SMB sentiment and some sales/retention impact from the margin recovery actions.
AI strategy could be a future growth driver — Insperity is deploying AI agents (starting with an HR360 agent) to improve internal productivity and client service, but near-term financial impact remains uncertain.

Insperity Trading Down 19.3%

NSP traded down $6.85 on Friday, hitting $28.72. The company had a trading volume of 2,034,975 shares, compared to its average volume of 876,571. The company has a market cap of $1.10 billion, a PE ratio of -143.60 and a beta of 0.60. Insperity has a 12-month low of $18.57 and a 12-month high of $72.23. The company has a quick ratio of 1.06, a current ratio of 1.06 and a debt-to-equity ratio of 8.02. The business’s fifty day simple moving average is $26.17 and its 200 day simple moving average is $34.57.

Insperity Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, March 20th. Investors of record on Friday, March 6th were given a $0.60 dividend. The ex-dividend date was Friday, March 6th. This represents a $2.40 annualized dividend and a yield of 8.4%. Insperity’s dividend payout ratio (DPR) is currently -1,200.00%.

Wall Street Analyst Weigh In

NSP has been the topic of several research reports. Wall Street Zen cut Insperity from a “hold” rating to a “sell” rating in a report on Saturday, March 28th. Robert W. Baird set a $36.00 target price on Insperity in a report on Wednesday, February 11th. Roth Mkm set a $54.00 target price on Insperity in a report on Friday. UBS Group set a $56.00 target price on Insperity in a report on Wednesday, February 11th. Finally, JPMorgan Chase & Co. reduced their target price on Insperity from $35.00 to $33.00 and set an “underweight” rating on the stock in a report on Friday. One analyst has rated the stock with a Buy rating, two have given a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Reduce” and an average target price of $46.00.

Get Our Latest Report on Insperity

Key Insperity News

Here are the key news stories impacting Insperity this week:

Positive Sentiment: Q1 results beat on EPS and roughly met revenue expectations: management reported $1.31 EPS versus a $1.24 consensus and revenue of $1.90B vs ~$1.89B — the beat supports underlying operating performance. Zacks: Q1 EPS & Revenues Top Estimates
Neutral Sentiment: Revenue growth was modest (year-over-year revenue up ~1.7%) and company materials (earnings slide deck and call transcript) provide details on margin trends and account volumes for those modeling forward quarters. Insperity Q1 Slide Deck Earnings Call Transcript
Neutral Sentiment: Some analysts view margin progress as offsetting softer staffing volumes, leading to Hold/Neutral stances rather than upgrades — that suggests limited near-term upside from analyst revisions. TipRanks/William Blair: Hold Rating
Negative Sentiment: Management cut guidance: Q2 EPS guide 0.020–0.500 (consensus ~0.420) and FY2026 guide 1.600–2.600 (consensus ~1.94). The wider/lower guidance range raises uncertainty about near-term volume and growth, pressuring the stock. MarketBeat: Guidance Update & Q1 Release
Negative Sentiment: Analyst downgrade and price-target cut: JPMorgan moved to an “underweight” and trimmed its PT to $33 (noting limited near-term upside), which adds selling pressure from institutional managers. Benzinga: JPMorgan Lowers PT & Rating

Insider Activity

In other Insperity news, EVP James D. Allison bought 10,000 shares of the company’s stock in a transaction on Tuesday, March 10th. The stock was acquired at an average price of $20.45 per share, for a total transaction of $204,500.00. Following the completion of the transaction, the executive vice president directly owned 94,272 shares of the company’s stock, valued at approximately $1,927,862.40. This represents a 11.87% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Paul J. Sarvadi bought 160,000 shares of the company’s stock in a transaction on Wednesday, March 18th. The shares were acquired at an average price of $23.22 per share, with a total value of $3,715,200.00. Following the transaction, the chief executive officer directly owned 972,912 shares of the company’s stock, valued at approximately $22,591,016.64. This trade represents a 19.68% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. In the last quarter, insiders purchased 214,437 shares of company stock valued at $4,941,246. 5.29% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of the business. Invesco Ltd. boosted its position in shares of Insperity by 117.8% during the fourth quarter. Invesco Ltd. now owns 1,137,255 shares of the business services provider’s stock valued at $44,035,000 after buying an additional 615,100 shares during the period. Mercer Global Advisors Inc. ADV purchased a new position in shares of Insperity during the fourth quarter valued at approximately $291,000. Vident Advisory LLC purchased a new position in shares of Insperity during the fourth quarter valued at approximately $891,000. State of Tennessee Department of Treasury boosted its position in shares of Insperity by 22.8% during the fourth quarter. State of Tennessee Department of Treasury now owns 7,141 shares of the business services provider’s stock valued at $305,000 after buying an additional 1,328 shares during the period. Finally, Mackenzie Financial Corp boosted its position in shares of Insperity by 357.4% during the fourth quarter. Mackenzie Financial Corp now owns 55,104 shares of the business services provider’s stock valued at $2,143,000 after buying an additional 43,058 shares during the period. Hedge funds and other institutional investors own 93.44% of the company’s stock.

Insperity Company Profile

(Get Free Report)

Insperity, Inc is a leading provider of human resources and business performance solutions designed to help small and midsize businesses operate more efficiently. Headquartered in Kingwood, Texas, the company offers a comprehensive suite of products and services that span workforce management, payroll administration, employee benefits, risk management, and talent development. By leveraging its proprietary technology platform and team of HR experts, Insperity enables clients to focus on core business objectives while outsourcing complex administrative functions.

The company’s flagship offering is its Professional Employer Organization (PEO) service, which allows clients to outsource critical HR tasks such as payroll processing, workers’ compensation administration, and compliance with employment regulations.