Should You be Confident in Robert Half (RHI)?

Core Insights - Palm Valley Capital Fund reported a 2.35% appreciation in Q3 2025, underperforming the S&P SmallCap 600's 9.11% gain and the Morningstar Small Cap Total Return Index's 7.99% rise [1] - The Fund's cash equivalents increased from 73.5% to 74.1% during the quarter, indicating a cautious investment strategy [1] - Small-cap stocks outperformed large caps due to expectations of Federal Reserve easing and reduced tariff concerns [1] Company Analysis: Robert Half Inc. (NYSE:RHI) - Robert Half Inc. experienced a one-month return of -5.28% and a 52-week loss of 50.64%, closing at $33.16 with a market capitalization of $3.374 billion on October 7, 2025 [2] - The company specializes in staffing and consulting services, particularly in finance and accounting, but has faced challenges due to a weak staffing industry disconnected from the broader labor market post-COVID [3] - Concerns exist regarding the ongoing demand for finance staffing amid potential job displacement by AI technologies [3] Hedge Fund Interest - Robert Half Inc. was held by 34 hedge fund portfolios at the end of Q2 2025, an increase from 27 in the previous quarter [4] - The company reported enterprise revenue of $1.37 billion in Q2 2025, a 7% decline from Q2 2024 [4] - While Robert Half Inc. has investment potential, certain AI stocks are viewed as offering greater upside with less downside risk [4]