Core Insights - Fiverr International (FVRR) is set to report its fourth-quarter 2025 results on February 18, 2026, with projected net sales between $104.3 million and $112.3 million, indicating a growth of 1% to 8% compared to the fourth quarter of 2024, reflecting macroeconomic uncertainty [1][8] - The Zacks Consensus Estimate for net sales stands at $108.71 million, suggesting a growth of 4.86% from the previous year's quarter [1] - The estimated earnings for the fourth quarter are 76 cents per share, showing an 18.75% increase from the year-ago quarter [2] Financial Performance - FVRR's adjusted EBITDA for the fourth quarter is projected to be between $23.9 million and $27.9 million, with a margin of 24% at the midpoint [7] - The company has a history of earnings surprises, with a 10% surprise in the last reported quarter, having beaten the Zacks Consensus Estimate once in the last four quarters [5] Market Trends - The U.S. independent professional workforce grew by 4.3% to an estimated 6.9 million, indicating a positive trend in freelance work [9] - Demand for AI-related services has surged, with AI video creator demand increasing by 66%, searches for AI automation rising by 136%, and prompt engineering growing by 76% [9] Stock Performance - Fiverr shares have declined by 36% over the past six months, underperforming both the Zacks Retail-Wholesale sector and the Zacks Internet – Commerce industry [10] - The stock is currently trading at a forward price-to-sales multiple of 1.08x, which is below the industry average of 1.86x, indicating a potentially undervalued position [13] Strategic Initiatives - The company underwent an AI-focused restructuring in September 2025, resulting in a 30% reduction in workforce, which is expected to enhance profitability and margin expansion [7][8] - Management is targeting a 25% adjusted EBITDA margin by 2026, reflecting a strategic shift towards higher-value projects and AI-powered marketplace capabilities [14]

Company Overview - Adecco SA (AHEXY) shares increased by 5.6% to $14.64 in the last trading session, following a period of 7.4% loss over the past four weeks, indicating renewed investor interest due to improving operating momentum [1] - The company is expected to report quarterly earnings of $0.35 per share, reflecting a year-over-year increase of 2.9%, with revenues projected at $6.81 billion, an 8.7% rise from the previous year [2] Earnings Estimates and Stock Performance - The consensus EPS estimate for Adecco has remained unchanged over the last 30 days, suggesting that stock price movements may not sustain without trends in earnings estimate revisions [3] - Adecco currently holds a Zacks Rank of 2 (Buy), indicating positive market sentiment towards the stock [3] Industry Comparison - Adecco is part of the Zacks Outsourcing industry, where Barrett Business Services (BBSI) also operates, finishing the last trading session at $37.46 with a slight increase of 0.5% [3] - Barrett's consensus EPS estimate for its upcoming report is $0.64, showing a year-over-year change of 1.6%, and it currently holds a Zacks Rank of 3 (Hold) [4]

Financial Data and Key Metrics Changes - Total revenue for Q4 2025 was $32.4 million, down 10% year-over-year and roughly flat compared to Q3 2025 [14] - Total bookings for the quarter were $31.2 million, down 5% year-over-year [14] - Adjusted EBITDA for Q4 was $9.4 million, with a margin of 30%, compared to $9.2 million and a margin of 26% in the prior year [20] - Net income for Q4 was $1.3 million or $0.03 per diluted share, compared to $1 million or $0.02 per diluted share in the prior year [20] Business Line Data and Key Metrics Changes - ClearanceJobs revenue was $13.9 million, up 1% year-over-year, with bookings at $14.6 million, up 3% year-over-year [14][15] - Dice revenue was $17.4 million, down 17% year-over-year, with bookings at $16.6 million, down 11% year-over-year [14][16] - ClearanceJobs had a revenue renewal rate of 90% and a retention rate of 109% [15] - Dice's revenue renewal rate was 78% and its retention rate was 94% [16] Market Data and Key Metrics Changes - The U.S. defense budget for fiscal year 2026 is projected to increase significantly, which is expected to benefit ClearanceJobs [8] - The tech staffing market is showing signs of recovery, with projections indicating a return to growth in 2026 after declines in previous years [11][12] Company Strategy and Development Direction - The company aims to leverage the strong defense spending environment to drive growth in ClearanceJobs [12][13] - The introduction of the Dice Employer Experience platform is intended to expand the addressable market and improve operational efficiency [11] - The company is focused on delivering long-term, sustainable, and profitable revenue growth, targeting a full-year adjusted EBITDA margin of 25% [26] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing the record-breaking defense budget as a growth driver for ClearanceJobs [27] - The company anticipates that the commercial tech hiring environment will improve, benefiting Dice in the long term [12][27] Other Important Information - The company has authorized a new $10 million stock repurchase program [13] - Free cash flow for the full year was $13.8 million, compared to $7.1 million in the previous year [22] Q&A Session Summary Question: What are the assumptions around the bookings trajectory for ClearanceJobs? - Management indicated that improved sales execution and the new defense budget are expected to drive bookings growth in 2026 [31] Question: How is the growth of AI-related job postings affecting Dice? - Management noted that while demand for AI professionals is increasing, the overall commercial activity remains subdued [36] Question: What is causing the margin compression for Dice? - Management explained that the margin compression is primarily due to lower revenue and bookings challenges, despite efforts to reduce operating expenses [37] Question: Can you elaborate on the new Premium subscription package for ClearanceJobs? - Management described the Premium subscription as offering features similar to LinkedIn Premium, aimed at enhancing candidate engagement with recruiters [41][42] Question: What encouraging signs are you seeing in the macro environment? - Management highlighted the positive trends in defense spending and improvements in tech staffing demand as encouraging signs [50][51]

This story was originally published on HR Dive. To receive daily news and insights, subscribe to our free daily HR Dive newsletter. Dive Brief: Since its peak in 2020, U.S. worker engagement has been on a crash course, according to data released Wednesday by Gallup. While worker engagement remained unchanged in 2025 from the previous year, it has dropped from 36% in 2020 to 31%, Gallup found. That’s an estimated 8 million fewer workers who were actively engaged over five years. The greatest declines ...

Core Insights - Fiverr International (FVRR) shares have decreased by 34.1% over the past six months, underperforming the Zacks Retail-Wholesale sector's 5.3% return and the Zacks Internet – Commerce industry's 2.4% appreciation [1] - The company's underperformance is attributed to a challenging macroeconomic environment affecting small and medium-sized business spending and a transitional phase focusing on higher-value projects and AI capabilities [1] Financial Outlook - For 2025, FVRR anticipates revenues between $428 million and $436 million, indicating a year-over-year growth of 9% to 11%, with an adjusted EBITDA margin of approximately 21% [2][9] - The Zacks Consensus Estimate for 2025 earnings is projected at $2.9 per share, reflecting a year-over-year growth of 21.85% [7][9] AI and Market Positioning - FVRR is strategically positioned at the intersection of AI adoption and specialized talent demand, investing in AI-native teams and enhancing its marketplace capabilities [5] - The Programming and Tech vertical reported a year-over-year growth of 14% in Q3 2025, with AI development services experiencing a remarkable growth of 199% year over year [6] Competitive Advantages - FVRR's Dynamic Matching and Managed Services leverage AI to support complex, higher-value projects, creating a recruiting-like experience and enabling competition for enterprise-level work [10] - The company is trading at a forward price-to-sales multiple of 1.31x, which is below the industry average of 2.23x and the sector average of 1.76x, indicating a compelling valuation compared to peers [11] Market Dynamics - FVRR is experiencing a shift towards more complex, higher-value engagements, with transactions over $200 now representing over 50% of marketplace GMV [13] - Active buyer counts have declined from 3.7 million to 3.3 million year over year, as customers seeking basic services find alternatives, while those pursuing complex work deepen engagement [14] Conclusion - FVRR is well-positioned in the expanding AI services market, with proprietary capabilities creating competitive differentiation and favorable valuation metrics [15] - The transition towards upmarket clients presents near-term challenges, as declining active buyers reflect structural headwinds from AI-driven displacement of lower-value transactions [15]

Core Insights - Adecco has acquired Advantis Medical Staffing, enhancing its healthcare staffing capabilities in the U.S. [1][2] - The acquisition is a strategic move to strengthen Adecco's position in the North American healthcare sector, which is a significant and durable talent market [2][4] Company Overview - Adecco is a leading global workforce solutions provider, aiming to connect skills with opportunities and optimize workforce solutions for long-term success [5] - The company currently provides jobs for over 600,000 people daily, with a goal to increase this number to 850,000 in the coming years [5] Advantis Medical Staffing - Advantis Medical is a tech-enabled healthcare staffing company based in Dallas, Texas, specializing in travel nursing and allied health staffing across all 50 states [6][7] - The organization is recognized for its innovative recruiting model, combining AI-enhanced platforms with experienced staffing professionals to ensure high-quality clinician placements [6][7] Strategic Importance - The acquisition allows Adecco to leverage Advantis Medical's high-touch service and advanced technology, aligning with the future of work and enhancing healthcare staffing solutions [4][6] - Advantis Medical's operational excellence and relationship-driven model have earned it a strong reputation in the healthcare ecosystem, which will be further amplified through the partnership with Adecco [3][7]

Core Insights - Fiverr International (FVRR) operates a digital marketplace connecting businesses with freelancers across over 750 service categories, traditionally serving small businesses seeking affordable digital services [1] Marketplace Performance - The core marketplace business is experiencing pressure as annual active buyers declined 11.7% year over year to 3.3 million as of September 30, with marketplace revenues falling 2% to $73.6 million in Q3 2025, indicating weakness in the traditional customer base [2] - Despite the decline in active buyers, annual spend per buyer increased 11.7% to $330, suggesting that Fiverr retains higher-value customers even as lower-intent buyers exit [3] Demand Shifts and Service Trends - The demand for commoditized tasks is decreasing as AI tools lower execution barriers, while complex projects in AI development and enterprise services are gaining traction [3] - Fiverr's Dynamic Matching and Managed Services are aligned with this shift, achieving GMV growth of 22% and 65% respectively, with average project sizes of $2,200 and $17,000 [3] Strategic Transition - Fiverr is transitioning from a high-volume marketplace to a more premium services platform, with near-term risks associated with buyer attrition potentially outpacing the adoption of upmarket offerings [4] - Long-term sustainability will depend on the ability to scale higher-value engagements quickly enough to stabilize revenues [4] Competitive Landscape - Fiverr's marketplace pressure reflects broader shifts in workforce platforms, with competitors like Upwork focusing on enterprise clients and longer-term engagements, providing them with greater protection from commoditization [5] - Adecco is transitioning towards digital talent solutions, overlapping with Fiverr's upmarket push, while Upwork continues to compete for higher-value digital work [5] Financial Performance and Valuation - Fiverr shares have declined 39.9% over the past six months, contrasting with the Zacks Internet - Commerce industry's return of 0.2% [6] - Fiverr is shifting towards complex, higher-value services, with rising average spend per buyer despite a smaller active buyer base [8] - The stock is trading at a forward 12-month price-to-sales ratio of 1.24X, compared to the broader Zacks industry's 2.15X, indicating it may be undervalued [9] - The Zacks Consensus Estimate for Fiverr's 2025 EPS is 76 cents, reflecting an 18.75% increase from the previous year [11]

Core Insights - The CEO of Adecco highlighted that the joint venture with Salesforce, named r.Potential, aims to mitigate the risks associated with an AI bubble by encouraging companies to adopt more practical applications of technology [1] Group 1 - The joint venture r.Potential is designed to push companies towards concrete uses of AI [1]

Core Insights - Three stocks have been added to the Zacks Rank 5 (Strong Sell) List, indicating a negative outlook for these companies [1][2][3] Company Summaries - **Adecco (AHEXY)**: This company provides a variety of services connecting colleagues with clients. The Zacks Consensus Estimate for its current year earnings has been revised downward by approximately 46.1% over the last 60 days [1] - **Carter Bankshares (CARE)**: A bank holding company offering various financial services including checking and savings accounts, loans, and retirement accounts. The Zacks Consensus Estimate for its current year earnings has been revised downward by 7.3% over the last 60 days [2] - **Cantaloupe (CTLP)**: A software and payments company that delivers end-to-end technology solutions for the unattended retail market. The Zacks Consensus Estimate for its current year earnings has been revised downward by nearly 6.7% over the last 60 days [3]

Summary of DHI Group (NYSE:DHX) Conference Call - October 20, 2025 Company Overview - **Company**: DHI Group, Inc. - **Industry**: Technology recruitment and job marketplace, specifically focused on tech professionals and security clearance jobs Key Points and Arguments 1. **Revenue Model**: Approximately 92% of DHI's revenue is derived from subscription contracts lasting one year or more, indicating a strong recurring revenue model [2][18] 2. **Financial Performance**: - Revenue for the previous year was $142 million with bookings of $141 million, both showing a 6% compound annual growth rate (CAGR) over five years [2][19] - Adjusted EBITDA was $35 million, resulting in a 25% adjusted EBITDA margin, with a target of 26% for 2025 [3][20] - Operating cash flow was $21 million, with capital expenditures (CapEx) of $14 million, primarily for software development [3][22] 3. **Market Position**: - DHI's Dice platform competes with LinkedIn, while ClearanceJobs has no direct competitors due to its focus on candidates with security clearances [4][5] - The tech workforce in the U.S. has grown approximately 3% annually over the last 25 years, with a projected growth of 18% from 2024 to 2034, which is double the overall workforce growth rate [10][11] 4. **Client Base**: - DHI serves approximately 4,400 clients on Dice and 1,900 clients on ClearanceJobs, with a significant target addressable market remaining [14][15][16] - Notable clients include Montefiore Healthcare System and General Motors, with Montefiore doubling its spend over ten years [13][25] 5. **Hiring Trends**: - The elevated interest rate environment has reduced hiring demand across all sectors, including technology [9][30] - However, there is a notable increase in demand for AI-related skills, with 50% of Dice job postings now requiring AI skills, up from 10% a year prior [31][32] 6. **Investment in Technology**: DHI has acquired an applicant tracking system (ATS) for $2 million to enhance its service offerings, which has already doubled its customer base within three months [34][35] Additional Important Insights - **Share Buyback Program**: DHI initiated a share buyback program in January 2024, having previously suspended it in 2023, and ended 2024 with a debt leverage ratio of less than 1x EBITDA [4][23] - **Cash Flow and Liquidity**: DHI targets a free cash flow of 10% of revenue annually, with a current debt of $32 million and approximately $2 million in cash on hand [22][23] - **Market Dynamics**: The company emphasizes the importance of skills over job titles in its recruitment process, utilizing a patented taxonomy of over 100,000 technology skills [12] This summary encapsulates the essential aspects of DHI Group's conference call, highlighting its business model, financial performance, market position, and strategic initiatives.