Market Experts Maintain Cautious Outlook on ManpowerGroup Shares

ManpowerGroup US56418H1005

Despite posting a solid quarterly performance, shares of staffing firm ManpowerGroup continue to face significant headwinds from analyst sentiment and technical indicators. The stock closed Friday's session with a 0.8% decline, reflecting the persistent caution emanating from major research firms.

The company's third-quarter results for 2025 demonstrated fundamental strength. Earnings per share (EPS) came in at $0.83, surpassing consensus estimates by $0.02. Revenue showed a year-over-year increase of 2.3%, reaching $4.63 billion and also exceeding forecasts.

For the ongoing fourth quarter, management has provided an EPS guidance range of $0.78 to $0.88. However, this robust operational picture is starkly contrasted by a deteriorating technical chart. The share price is trading well below its key moving averages. The 50-day average of $32.12 sits significantly beneath the 200-day average of $38.12, a pattern widely recognized as confirming a sustained downward trend.

A Consensus of Downgrades and Reduced Targets

The prevailing view among seven major research houses is currently a "Reduce" recommendation for ManpowerGroup equity. Within this group, two analysts explicitly advise selling the shares, while five others maintain a neutral "Hold" stance. This cautious positioning has been reinforced by a series of recent price target reductions:

• In October, Truist Financial adjusted its target downward from $48 to $44, maintaining a "Hold" rating.
• JPMorgan Chase & Co. lowered its target from $52 to $42, with a "Neutral" assessment.
• Barclays revised its target from $50 to $42, rating the stock as "Equal Weight."
• The Goldman Sachs Group issued a "Sell" rating in late November, accompanied by a price target of just $29.

The average twelve-month price target now stands at approximately $40.67, signaling a substantial recalibration of market expectations for the company's near-term valuation.

Institutional Activity Presents a Divergent View

While analyst commentary remains guarded, the actions of major institutional investors reveal a more nuanced picture. Several large funds have been actively increasing their stakes. During the second quarter, Quantbot Technologies LP established a new position comprising 65,939 shares, valued at roughly $2.66 million. Y Intercept Hong Kong Ltd. boosted its holdings by 119.3%, and Envestnet Asset Management Inc. increased its position by 43.9%.

The upcoming quarterly report in January will be a critical test, revealing whether the company can meet its own guidance and potentially challenge the prevailing skeptical analyst narrative.