Korn Ferry (KFY) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Korn Ferry (KFY) Industrial Operations Profile

Korn Ferry is a global organizational consulting firm specializing in executive search, consulting, digital solutions, and recruitment process outsourcing. With a strong focus on talent acquisition and organizational strategy, the company serves diverse sectors, positioning itself as a key player in the human capital management industry.

What Is the Investment Thesis for KFY?

With a P/E ratio of 12.53 and a profit margin of 9.3%, the company demonstrates solid profitability. A dividend yield of 2.94% offers an attractive income stream for investors. Key growth catalysts include the increasing demand for digital transformation and leadership development services. However, investors may want to evaluate the cyclical nature of the staffing industry and potential economic downturns that could impact demand for Korn Ferry's services. The company's beta of 1.29 suggests higher volatility compared to the market.

Based on FMP financials and quantitative analysis

KFY Key Highlights

Market Cap of $3.97B indicating a strong market valuation.

• P/E Ratio of 12.53 suggesting the company is reasonably valued compared to its earnings.
• Profit Margin of 9.3% demonstrating solid profitability in the consulting services sector.
• Gross Margin of 88.2% reflecting efficient service delivery and pricing strategies.
• Dividend Yield of 2.94% providing an attractive income stream for investors.

Who Are KFY's Competitors?

KFY is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are KFY's Key Strengths?

Global brand recognition and reputation.

• Diversified service offerings across multiple segments.
• Extensive network of executive contacts.
• Strong financial performance and profitability.

What Are KFY's Weaknesses?

Dependence on economic cycles and business confidence.

• Potential for client concentration risk.
• Competition from other consulting firms and executive search providers.
• Integration challenges with acquired businesses.

What Could Drive KFY Stock Higher?

Continued demand for executive search services driven by talent shortages.

• Launch of new digital solutions aimed at improving organizational performance in Q3 2026.
• Expansion of consulting services in emerging markets.
• Integration of acquired businesses to enhance service offerings.

What Are the Key Risks for KFY?

Insider selling — insiders were net sellers of roughly $13.8M recently.

• Economic downturns and reduced business spending impacting demand for services.
• Increased competition from new entrants and disruptive technologies.
• Talent shortages and difficulty attracting and retaining top consultants.
• Changes in regulations and compliance requirements affecting the staffing industry.

What Are the Growth Opportunities for KFY?

• Growth opportunity 1: Expanding Digital Solutions: Korn Ferry can capitalize on the growing demand for digital transformation services by further developing its tech-enabled solutions. By integrating AI and data analytics into its consulting and recruitment processes, Korn Ferry can enhance its service offerings and attract clients seeking innovative solutions for optimizing their workforce and organizational structures.
• Growth opportunity 2: Strategic Acquisitions: Korn Ferry can pursue strategic acquisitions to expand its service offerings and geographic reach. Targeting companies with complementary expertise in areas such as data analytics, leadership development, or HR technology can strengthen Korn Ferry's competitive position. Successful integration of acquired businesses can lead to increased revenue and market share, driving long-term growth.
• Growth opportunity 3: Penetrating Emerging Markets: Korn Ferry can focus on expanding its presence in emerging markets, where demand for talent and organizational consulting services is growing rapidly. These markets offer significant opportunities for Korn Ferry to establish a foothold and capitalize on the increasing need for executive search, leadership development, and organizational transformation. Tailoring its services to meet the specific needs of these markets will be crucial for success.
• Growth opportunity 4: Enhancing RPO and Professional Search Services: Korn Ferry can further develop its Recruitment Process Outsourcing (RPO) and Professional Search services to meet the evolving needs of its clients. As companies increasingly outsource their recruitment functions, Korn Ferry can leverage its expertise and global network to provide comprehensive RPO solutions. Investing in technology and talent to enhance its RPO capabilities can drive revenue growth and strengthen client relationships.
• Growth opportunity 5: Focus on Sustainability and ESG Consulting: With increasing emphasis on Environmental, Social, and Governance (ESG) factors, Korn Ferry can expand its consulting services to help organizations develop and implement sustainable business practices. The market for ESG consulting is growing rapidly as companies seek to align their operations with global sustainability goals. By offering expertise in areas such as ESG strategy, reporting, and stakeholder engagement, Korn Ferry can attract clients seeking to improve their ESG performance and enhance their reputation.

What Are KFY's Competitive Advantages?

• Strong brand reputation and global presence in the executive search and consulting industry.
• Extensive network of executive contacts and industry relationships.
• Diversified service offerings across executive search, consulting, digital solutions, and RPO.
• Proprietary methodologies and tools for talent assessment and organizational development.

What Does KFY Do?

Founded in 1969 and headquartered in Los Angeles, California, Korn Ferry has evolved into a leading global organizational consulting firm. Originally known as Korn/Ferry International, the company rebranded to Korn Ferry in January 2019, reflecting its expanded service offerings beyond executive search. Korn Ferry operates through four primary segments: Consulting, Digital, Executive Search, and Recruitment Process Outsourcing (RPO) & Professional Search. The Consulting segment provides organizational strategy, assessment and succession, leadership and professional development, and total reward services. The Digital segment offers tech-enabled solutions that identify structures, roles, capabilities, and behaviors to drive business performance. The Executive Search segment focuses on recruiting board-level, chief executive, and other senior executive talent. The RPO & Professional Search segment delivers recruitment process outsourcing, business project, professional search, and outsource recruiting solutions. Korn Ferry serves a wide array of clients, including public and private companies, middle-market and emerging growth companies, as well as government and non-profit organizations, solidifying its position as a comprehensive talent and organizational solutions provider.

What Products and Services Does KFY Offer?

• Provides executive search services to recruit senior-level talent.
• Offers organizational strategy and design consulting.
• Delivers leadership development and professional training programs.
• Provides assessment and succession planning services.
• Offers total reward and compensation consulting.
• Provides recruitment process outsourcing (RPO) solutions.
• Offers digital solutions that identify structures, roles, capabilities, and behaviors to drive businesses.

How Does KFY Make Money?

• Generates revenue through fees for executive search services.
• Earns revenue from consulting projects related to organizational strategy, leadership development, and talent management.
• Derives income from providing RPO services to clients.
• Offers tech-enabled solutions on a subscription or project basis.

What Industry Does KFY Operate In?

Korn Ferry operates in the global staffing and employment services industry, which is experiencing growth driven by increasing demand for specialized talent and organizational consulting. The market is competitive, with players ranging from large multinational firms to niche consultancies. Korn Ferry differentiates itself through its integrated service offerings, combining executive search, consulting, digital solutions, and RPO. The industry is influenced by economic cycles, technological advancements, and evolving workforce dynamics, requiring companies like Korn Ferry to adapt and innovate to maintain a competitive edge.

Who Are KFY's Key Customers?

• Public and private companies across various industries.
• Middle-market and emerging growth companies.
• Government organizations.
• Non-profit organizations.

Company Profile

Korn Ferry operates in the Staffing & Employment Services industry within the Industrials sector. It is headquartered in Los Angeles, US. The company is led by CEO Gary D. Burnison. KFY has traded publicly since 1999.

Korn Ferry Financial Trajectory

Korn Ferry (KFY) reported $764.6M in revenue for Jul 2026, a decline of 0.5% compared to the prior quarter. The company recorded net income of $69.0M, with diluted EPS of $1.34. Quarter-over-quarter revenue has been mixed, typical for a mid-cap company operating in Industrials. Across the four most recent quarters, KFY averaged $1.34 in diluted EPS.

How Korn Ferry Is Valued

Korn Ferry carries a market capitalization of $3.97B, placing it in the mid-cap category. Analyst price targets span from $75.00 to $94.00, with a consensus of $83.50. At the current price of $78.13, that implies approximately 7% upside potential. Relative to its peer group, KFY's quantitative score of 79/100 is roughly in line with the peer average of 78/100.

Return on equity for Korn Ferry stands at 14.2%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 6.8%, showing how much profit it generates from its asset base. KFY trades at a trailing price-to-earnings ratio of 12.53, below the Industrials sector average of ~28.00x. Its free cash flow yield is 9.5%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.94 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 8.0%, the inverse of the P/E and a quick read on earnings relative to price.

Korn Ferry's Piotroski F-Score is 7/9, a 9-point checklist of profitability, leverage and efficiency — signaling solid underlying fundamentals. Its Altman Z-Score of 3.41 places it in the safe zone, indicating low near-term bankruptcy risk.

Korn Ferry has beaten Wall Street's EPS estimate in 7 of its last 8 reported quarters — a consistent record of delivering on expectations. Reported results have landed about 3.6% above estimates on average.

Over the past six months, Korn Ferry insiders filed 18 SEC Form 4 transactions — 10 sales and 8 purchases. On net that is roughly 219K shares acquired (about $13.8M) — insiders putting money in tends to read as conviction.

KFY Financials

KFY Latest News

KFY Analyst Consensus

KFY MoonshotScore

KFY Industrials Stock FAQ

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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