Randstad Firmly in Recovery Mode During Third Quarter

As we lap the easy comparatives of 2020, growth numbers slowed down for recruitment giant Randstad, but not by much. Organic revenue still grew by more than 20% in the third quarter, with EBITA margins continuing their incremental rise, up to 4.70%, and up from 4.30% at the end of the second quarter. This welcome improvement in underlying conditions has largely been built into our estimates and EUR 59 fair value estimate. As such, with the shares up close to 4% at the time of writing, and trading at more than EUR 62, we believe they are fully valued.