At a glance
Insperity Inc is worth $1.97B. Revenue grew 3.5% to $6.81B in fiscal 2025, at a loss; over 5 years it has grown 9.7% a year. It pays a 4.65% dividend yield, raised every year for at least 3 years, and returned $839.9M to shareholders in dividends and buybacks over FY2021–FY2025. The stock returned +21.4% over the past year with dividends reinvested and −13.1% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 63.9% in the 2020 crash (S&P 500: 33.7%) and 27.6% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 7 months and 8 months after the lows.
The business in plain English
Insperity sells outsourced human resources (HR) services to small and medium-sized US businesses. It was formed in 1986 and pioneered the professional employer organization, or PEO. A PEO becomes a co-employer of a client's staff, which Insperity calls worksite employees. Insperity handles payroll, payroll taxes, benefits, workers' compensation insurance and employment-law compliance. The client keeps directing the employees' work.
With each payroll, Insperity bills a comprehensive service fee. The fee is the worksite employees' pay plus a percentage of that payroll cost. Its largest source of revenue is HR360, a full-service package that includes its Insperity Premier online platform. HR360 Select Edition is a lower-cost version for midsize clients, usually with a longer commitment. HRScale is a higher-priced service built with Workday, and its first clients were expected in the first quarter of 2026. Insperity also offers HRCore, a traditional payroll service, plus add-ons such as recruiting and retirement services.
Revenue was $6.81 billion in fiscal 2025. Gross margin, the share of revenue left after direct service costs, was 13.2%. By US region, the Northeast supplied 27.5% of revenue, the West 20.4%, the Southwest 18.8%, the Central region 18.1% and the Southeast 14.3%. In the fourth quarter of 2025, it served an average of 312,377 worksite employees a month from 73 offices in 44 markets.
Price history
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NSP +21.4% over the year to Oct 28, 2026, total return with dividends reinvested.
How it makes money
By geography
| Northeast | $1.87B | 27.5% |
| West | $1.39B | 20.4% |
| Southwest | $1.28B | 18.8% |
| Central | $1.23B | 18.1% |
| Southeast | $972.0M | 14.3% |
| Other Revenues | $70.0M | 1% |
Latest results
- In Q3 FY2026 (ended Sep 30, 2026), revenue was $1.65B, up 1.7% from a year earlier, and net income was $-1.0M.
- For fiscal 2025, revenue was $6.81B (+3.5% year over year; +9.7% a year from FY2020 to FY2025) with a -0.1% net margin.
Financial health check
| Revenue growth a year (FY2020–FY2025) | +9.7% good |
|---|---|
| Operating margin | -0.1% weak |
| Free cash flow margin | -4.5% weak |
| Return on equity (FY2025) | -15.2% weak |
| Return on assets (FY2025) | -0.3% weak |
| Net cash (cash minus debt) | $259.0M good |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2020 | $4.29B | $138.2M | $248.2M |
| FY2021 | $4.97B | $124.1M | $227.3M |
| FY2022 | $5.94B | $179.0M | $317.0M |
| FY2023 | $6.49B | $171.0M | $158.0M |
| FY2024 | $6.58B | $91.0M | $482.0M |
| FY2025 | $6.81B | $-7.0M | $-309.0M |
Valuation snapshot
| Market value | $1.97B |
|---|---|
| P/E ratio | — |
| Dividend yield | 4.65% |
Rank among 1514 US companies
Market value at each year end
Insperity’s market value went from $1.51B at the end of 2016 to $1.97B on Oct 28, 2026, up 30%; since the end of 2025 it is up 35%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Oct 28, 2026 | $1.97B | +34.8% |
| 2025 | $1.46B | -49.6% |
| 2024 | $2.90B | -33.7% |
| 2023 | $4.37B | +1.4% |
| 2022 | $4.31B | -5.2% |
| 2021 | $4.55B | +45.6% |
| 2020 | $3.12B | -9.3% |
| 2019 | $3.44B | -11.8% |
| 2018 | $3.90B | +63.3% |
| 2017 | $2.39B | +58.4% |
| 2016 | $1.51B |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| NSP price data to Oct 28, 2026 | +41.1% | +21.4% | -14.9% | -13.1% | +6.3% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | +41.1% |
| 2025 | -47.8% |
| 2024 | -32.2% |
| 2023 | +5.2% |
| 2022 | -1.9% |
| 2021 | +50.2% |
| 2020 | -3.2% |
| 2019 | -6.8% |
| 2018 | +64.2% |
| 2017 | +65.0% |
| 2016 | +49.5% |
| 2015 | +44.6% |
| 2014 | +2.1% |
| 2013 | +13.4% |
| 2012 | +36.0% |
| 2011 | -11.5% |
| 2010 | +27.1% |
| 2009 | +11.4% |
| 2008 | -21.7% |
| 2007 | -33.0% |
| 2006 | +2.2% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 52.9% over that stretch · deepest drop along the way 64.6%, back to its old high 57.6 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 58% over that stretch · deepest drop along the way 63.9%, back to its old high 6.7 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 7.7% over that stretch · deepest drop along the way 27.6%, back to its old high 7.8 months after the low |
Insider activity
Form 4 filings from 2025-10-30 to 2026-10-30 (25 read): 12 open-market purchases ($15.7M) and 0 sales ($0.00).
| Date | Insider | Type | Value |
|---|---|---|---|
| Jun 3, 2026 | Paul J Sarvadi Chairman of the Board & CEO, Director | buy | $7.9M |
| Mar 18, 2026 | Paul J Sarvadi Chairman of the Board & CEO, Director | buy | $3.7M |
| May 5, 2026 | Paul J Sarvadi Chairman of the Board & CEO, Director | buy | $1.4M |
| May 5, 2026 | Paul J Sarvadi Chairman of the Board & CEO, Director | buy | $1.4M |
| Mar 19, 2026 | Paul J Sarvadi Chairman of the Board & CEO, Director | buy | $542K |
Who owns it
Large shareholders (13G filings)
| BlackRock, Inc. | 13.7% | Dec 31, 2025 |
| EARNEST PARTNERS LLC | 8.1% | Jun 30, 2026 |
| REINHART PARTNERS, LLC. | 7.3% | Sep 30, 2025 |
| Vanguard Portfolio Management | 5.78% | Mar 31, 2026 |
| MANAGED ACCOUNT ADVISORS LLC | 5.7% | Jun 30, 2026 |
| Invesco Ltd. | 3.4% | Jun 30, 2026 |
| Mawer Investment Management Ltd. | 3.18% | Dec 31, 2025 |
ETFs with the most weight in NSP
| TXSS Texas Capital Texas Small Cap Equity Index ETF | 3.36% |
| SOVF Sovereign's Capital Flourish Fund | 2.53% |
| DGRS WisdomTree US Smallcap Quality Dividend Growth Fund | 1.64% |
| CSB VictoryShares US Small Cap High Dividend Volatility Wtd ETF | 0.8% |
| SMIG Bahl & Gaynor Small/Mid Cap Income Growth ETF | 0.76% |
| NIXT Research Affiliates Deletions ETF | 0.64% |
| HAPS Harbor Human Capital Factor US Small Cap ETF | 0.57% |
| XMHQ Invesco S&P MidCap Quality ETF | 0.49% |
What could go wrong
- Health insurance costs could outrun its fees. As co-employer, Insperity must pay worksite employees' wages, payroll taxes, benefits and workers' compensation costs, whatever clients pay it. If health insurance costs rise faster than its fees, profits can shrink.
- COVID-era tax credit claims could be rejected. Insperity filed employee retention tax credit claims with the IRS for clients. If the IRS rejects them or rules clients ineligible, Insperity could face penalties or liability. Clients could seek compensation or leave.
- Its status as co-employer could be challenged. Insperity's model depends on being treated as an employer of worksite employees. If that were overturned and it could not offer other benefit plans, its health and retirement offerings could be disrupted.
- The Workday partnership may not pay off. HRScale, built with Workday and priced above HR360, was still in development as of the February 11, 2026 10-K. If too few clients adopt it, the company may not get the expected return.
- Many clients can cancel on short notice. Many PEO contracts can be ended quickly, so revenue depends on keeping clients and winning new ones. Competition in HR services, including from AI, could squeeze growth and profits.
- Revenue depends on clients' hiring and payrolls. Fees are tied to clients' payrolls. In downturns, small and medium-sized businesses may cut staff, pay and benefits, or switch to cheaper providers. The company also warns that AI could reduce clients' hiring.
Recent events
- Quarterly results released
- Quarterly results released
- Executive or board change; Shareholder vote results
- Quarterly results released
- Quarterly results released; Restructuring or exit costs
- Major agreement signed; New debt or financial obligation
- Major agreement signed; Quarterly results released
For income and retirement investors
Insperity's dividend yield was 4.65% as of October 28, 2026. Dividends per share rose three years in a row, to $2.37 in fiscal 2025, but were still below the $3.71 paid in fiscal 2021. In fiscal 2025 the company paid $90 million in dividends. That year it had a $7 million net loss and negative free cash flow (cash left after running and investing in the business) of $309 million, so neither covered the payout. Free cash flow had been $482 million in fiscal 2024. Buybacks fell to $19 million in fiscal 2025, from $131 million in fiscal 2023.
The share price has fallen hard in downturns. It dropped 64.6% around the 2008 financial crisis and took about 58 months to recover. It fell 63.9% in the 2020 COVID crash and recovered in about seven months. Over the three years to October 28, 2026, its deepest peak-to-trough decline was 81.5%. Single stocks carry more risk than diversified funds.
Questions investors ask
How does Insperity make money?
Insperity makes money by acting as a co-employer for small and medium-sized US businesses. It handles payroll, benefits, workers' compensation and HR compliance for their staff. With each payroll it bills a comprehensive service fee: the employees' pay plus a percentage of payroll cost. HR360, its full-service package, is its largest source of revenue. Revenue was $6.81 billion in fiscal 2025, and the Northeast region supplied the largest share, at 27.5%.
Does Insperity pay a dividend?
Yes. Insperity paid dividends of $2.37 per share in fiscal 2025, its third straight annual increase. The yield was 4.65% as of October 28, 2026. Per-share dividends were still below the $3.71 paid in fiscal 2021. In fiscal 2025 the company paid $90 million in dividends while reporting a $7 million net loss and negative free cash flow of $309 million. Neither earnings nor cash flow covered that year's payout.
Is Insperity profitable?
Not in fiscal 2025. Insperity reported a net loss of $7 million, or $0.19 per diluted share, on revenue of $6.81 billion. Before that, net income was $91 million in fiscal 2024 and $171 million in fiscal 2023. In the quarter ended June 30, 2026, it earned $4 million on revenue of $1.69 billion, up 1.7% from a year earlier. Margins were thin: gross margin, the share of revenue left after direct service costs, was 13.2% in fiscal 2025.
How has Insperity stock performed?
Poorly over three and five years, despite a sharp rebound. The share price fell 32.2% in 2024 and 47.8% in 2025, then rose 41.1% in 2026 through October 28. As of October 28, 2026, it was down 38% in total over three years and 50% over five years, but up 84% over 10 years. Its deepest peak-to-trough decline over those three years was 81.5%.
Are Insperity insiders buying the stock?
Yes. Filings covering October 29, 2025 to October 29, 2026 show 12 insider purchases worth about $15.7 million and no insider sales. Chairman and CEO Paul J. Sarvadi made the largest buys, including about $7.9 million on June 3, 2026 and $3.7 million on March 18, 2026. Insider buying can signal confidence, but it does not guarantee returns. Among large outside holders, BlackRock reported owning 13.7% as of December 31, 2025.