KFY vs RHI: Which Is the Better Buy in 2026?
Last updated October 2026
Short answer
KFY and RHI are similarly sized, but KFY trades noticeably cheaper on forward earnings (11.38x vs 18.60x): the market is paying up for RHI's profile and pricing KFY more conservatively, or for faster growth. Which you prefer comes down to the drivers you believe, and whether adding either over-concentrates what you already own.
KFY vs RHI: the tie-breaker metrics
Same yardstick, side by side (as of October 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.
| Metric | KFY | RHI | What it tells you |
|---|---|---|---|
| Market cap | $4.06B | $3.74B | Size. The larger name is the incumbent; the smaller has more room to grow and more to prove. |
| Forward P/E | 11.38 | 18.60 | Valuation on next year's expected earnings, the same yardstick for both. Lower is cheaper for that growth; higher means the market is paying up. |
| Trailing P/E | 13.76 | 31.81 | Valuation on the last 12 months. A big drop from trailing to forward means the market expects earnings to jump, so more growth is already in the price. |
| Beta | 1.20 | 0.79 | Volatility vs the market. Above 1 swings harder than the index; below 1 is steadier. Higher beta means bigger drawdowns to hold through. |
| Price vs 52-week range | 48% of range | 59% of range | Where today's price sits between the 52-week low and high. Near the high is momentum with less margin of safety; near the low is out of favor or a discount, depending on why. |
| Price / book | 1.85 | 2.99 | How much you pay over book value. Very high can signal an asset-light, high-return business or a rich price. |
Reading it: KFY is the cheaper of the two on forward earnings, but cheaper is not the same as better. Pair the valuation with growth (how far the forward P/E sits below the trailing P/E) and risk (beta) before you decide.
Before you buy: how KFY and RHI affect your concentration
The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. KFY and RHI share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.
This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined KFY and RHI exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.
What does Korn Ferry (KFY) do?
Korn Ferry sells advice and people. The company runs five reported solutions: Executive Search (~$924M of FY'26 fee revenue), Consulting (~$692M), Professional Search & Interim (~$561M), Recruitment Process Outsourcing or RPO (~$367M), and Digital (~$364M), which packages the firm's assessment data, pay benchmarks and leadership IP into subscriptions. Roughly 8,965 employees worked there before the AMS deal closed on September 1, 2026, and the combined firm now describes nearly 17,000 colleagues across more than 130 offices. Fee revenue is the number management guides to and analysts model, because reimbursed out of pocket costs are passed straight through.
What does Robert Half (RHI) do?
Robert Half Inc. is one of the largest specialized talent-solutions firms in the world, placing contract and permanent professionals in finance, accounting, technology, legal, administrative, and creative roles. It operates through two engines: its staffing business (contract talent and permanent placement) and Protiviti, a global business-consulting and internal-audit arm where technology consulting (modernization, data, and cyber) is now the largest and fastest-growing piece. The company earns fees on placements and consulting engagements, so its results swing closely with corporate hiring appetite and project spending.
KFY vs RHI: how do they differ?
Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.
- KFY drivers: The AMS deal reshapes the revenue mix; Search and interim staffing are carrying growth.
- RHI drivers: Cyclical staffing recovery; Protiviti and technology consulting.
Which fits which kind of investor
A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: Executive search revenue turns over quickly when hiring freezes, and Korn Ferry has no long contracted backlog in that line to cushion a downturn. For RHI, the core risk is prolonged weakness in white-collar hiring, which keeps staffing revenue and permanent placement under pressure and delays any earnings recovery.
KFY or RHI: which should you pick?
KFY vs RHI: the full fundamentals
KFY. The multiple sits below the broader market and below most consulting peers, which reflects how quickly search revenue can reverse rather than any doubt about current profitability. Adjusted EBITDA margin has held near ~17% through FY'26, and the net cash position that supported that valuation has now largely been converted into AMS. The first quarter reported on September 9, 2026 is the first period where investors see the combined cost base.
RHI. Robert Half trades at a high trailing P/E (roughly the mid-20s) mainly because earnings are near a cyclical low, not because of rapid growth. The dividend yield is elevated at 7 to 8%, but the payout ratio exceeds current earnings, so coverage depends on an earnings recovery. Figures are approximate and drawn from recent filings and market data as of July 2026.
Headline figures (approximate, September 2026): KFY shows revenue (ttm) ~$2.91B fee revenue, up ~7% year over year, adjusted diluted eps (fy'26) ~$5.28 (~$5.22 reported), market cap ~$4.25B at ~$84 per share, ~50.9M shares outstanding, p/e ~16x trailing, ~14x forward; RHI shows revenue (ttm) ~$5.2B, q1 2026 revenue ~$1.3B (down ~4% YoY), net income (ttm) ~$130M, eps (ttm) ~$1.30.
The bottom line: KFY vs RHI
KFY and RHI are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined KFY and RHI exposure against your real portfolio. It is not an investment adviser.
Wondering how KFY or RHI fits the portfolio you already own? Walnut is an AI investing app that connects your brokerage read-only and answers questions like that about your actual holdings: overlap, concentration, and how each position tracks the S&P 500. Compare the best AI portfolio analyzers or see the best AI investing apps in 2026.
Investing in Korn Ferry with AI
Connect the broker you already use and ask Walnut's AI how KFY fits what you actually hold: whether you own it already through a fund, what it would do to your concentration, and how it has tracked the S&P 500. Read-only by default, and you approve anything before it reaches your broker.
FAQ
What is the difference between KFY and RHI?
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Korn Ferry sells advice and people. Robert Half Inc. They show up together because they share investment themes, but they are different businesses, so the better fit depends on which thesis you are expressing.
Is KFY or RHI the better stock?
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Neither is universally better; they suit different views and risk levels. Walnut is informational, not investment advice. Compare what each does, the tie-breaker metrics above, and the risks, then decide which fits your thesis and what you already own.
Which is cheaper, KFY or RHI?
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On forward P/E (as of October 2026), KFY trades at 11.38x and RHI at 18.60x, so KFY is the cheaper of the two on next year's expected earnings. A lower multiple is not automatically the better buy: a richer valuation can be justified by faster growth, and a lower one can reflect real risk. Weigh the multiple against how fast each business is compounding.
Should you own both KFY and RHI?
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Because they share themes, owning both concentrates you in that theme. That can be intentional (a focused bet) or accidental (less diversification than it looks). Walnut can show your combined exposure across both, and whether adding either over-concentrates you, before you buy.
What are the risks of KFY vs RHI?
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KFY: Executive search revenue turns over quickly when hiring freezes, and Korn Ferry has no long contracted backlog in that line to cushion a downturn. The AMS integration is the largest the company has attempted, it added roughly ~$580M of borrowings on top of ~$399M of existing long term debt, and consultant attrition during integrations is a well documented failure mode in this industry. AI tools that automate sourcing and screening put fee pressure on the lower end of recruiting even as they create demand for leadership advice at the top, and which effect dominates over five years is genuinely unsettled. Digital has been flat for a year, which weakens the argument that the mix is becoming less cyclical. Roughly half of fee revenue comes from outside the Americas, so currency swings move reported growth by several points in either direction. RHI: The core risk is prolonged weakness in white-collar hiring, which keeps staffing revenue and permanent placement under pressure and delays any earnings recovery. The dividend payout ratio is elevated relative to current depressed earnings, raising sustainability questions if a rebound is slow. Results are cyclical and sensitive to macro conditions, interest rates, and corporate confidence. Competition from large global staffing firms and lower-cost or AI-enabled recruiting platforms could pressure fees. The valuation looks optically high on trailing earnings precisely because those earnings sit near a trough, so a slower-than-expected recovery would leave the multiple exposed.
Walnut is informational, not investment advice. This page is descriptive and not a recommendation to buy or sell KFY or RHI; figures are approximate and dated (as of October 2026). Verify current data before investing.