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Barrett Business Services Inc (BBSI) Fair Value & Analysis

Industrials · US · Market cap $817M · ISIN US0684631080

What is Barrett Business Services Inc really worth?

BB Barrett Business Services Inc logo Barrett Business Services Inc BBSI · US
Price$33.83
Fair Value$38.11
Upside+12.7%
Quality69/100

A solid business, trading 11% below our fair value of $38.11.

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Strengths

Healthy Growth (revenue 5y +7.1 %/yr)
Low debt · generates free cash flow

Risks

!Thin margins · 3.2% net margin
!Mixed vs. peers (7/15)
!Narrow moat 44/100
!Weak on future: 25 out of 100
!Weak on dividend: 19 out of 100

For context

·0.95% dividend yield
Evidence: High Range $24.46 – $49.47

Fair value as of: Aug 20, 2026

From 26 valuation models · updated 16 days ago

Share price −15.6% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • A fairly wide model range ($24.46 to $49.47) leaves room in how you read the outcome.
  • The price sits in the lower half of our model range, the side with the larger margin of safety.
  • The data supports the verdict: every model runs on fully documented inputs.

Price vs Fair Value (5 years)

$48.78 $13.95 Fair Value $38.11 Jun 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 20, 2026.

How to read this chart

60‑month range $13.95 – $48.78 · fair‑value band $24.46 – $49.47 · the $33.83 price screens below the $38.11 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 20, 2026.

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Analysis

Barrett Business Services Inc (BBSI) currently trades at $33.83, while our model-based Fair Value estimate is $38.11, implying the stock looks roughly 11.2% undervalued today. The Quality Score stands at 69/100 (solid quality), in the Industrials sector. Bull case: the Multiples group reads highest at a median of $37.69 per share, and 15 of the 26 models we run sit above the $33.83 price. Bear case: the Dividend Discount group reads lowest at $4.26, and 11 of the 26 models stay below the price. Evidence for this calculation is high.

Over the trailing twelve months, Barrett Business Services Inc generated revenue of $1.3B at a net margin of 3.2%. Revenue grew 4.9% year over year. It earns a return on equity of 19.4%. The balance sheet holds a net cash position of $70.6M. Fundamentals as of Aug 20, 2026

Our scenario range runs from $24.46 (bear case) to $49.47 (bull case); at $33.83, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 31% below its 52-week high and 34% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at 22% fair-value upside, at 13%, BBSI screens richer than that median.

Fair Value models

This estimate rests on fiscal year 2025 figures, and about 8 months have passed since. In that time the company retained roughly $0.8221 per share, which is 2.2 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
FCF DCF $22.60 $32.54 $46.51 80
Growth DCF $22.57 $31.78 $44.19 79
Owner Earnings $21.30 $30.55 $43.56 77
All 26 models by family
DCF Models
FCF DCF $22.60 $32.54 $46.51 80
Owner Earnings $21.30 $30.55 $43.56 77
5Y Revenue Exit $24.55 $38.27 $56.18 72
5Y EBITDA Exit $26.34 $41.74 $60.17 75
5Y P/E Exit $30.14 $49.12 $69.74 70
10Y Revenue Exit $22.90 $34.67 $51.24 66
10Y EBITDA Exit $24.57 $36.91 $54.12 68
10Y P/E Exit $26.82 $41.69 $61.03 63
Earnings-Based
Graham-Dodd $15.08 $55.71 $75.26 64
Lynch FV $13.35 $19.07 $24.79 61
PEG = 1.0 $13.35 $19.07 $24.79 57
EPV $18.45 $20.46 $22.14 74
Dividend Discount
Gordon GGM $2.59 $4.66 $6.42 68
DDM Multi-Stage $2.59 $4.26 $4.98 67
Multiples
P/E Multiple $34.92 $46.56 $58.20 63
P/S Multiple $28.27 $37.69 $47.11 58
P/B Multiple $28.27 $37.69 $47.11 55
EV/EBIT $36.00 $46.76 $57.51 66
EV/EBITDA $31.68 $41.00 $50.32 67
EV/Revenue $26.76 $36.63 $46.50 54
Asset-Based
NCAV (Graham) $4.91 $6.57 $9.81 54
Growth DCF
Growth DCF $22.57 $31.78 $44.19 79
Rev-Margin DCF $24.55 $38.13 $54.47 72
Economic Profit
Residual Income $12.78 $17.76 $80.32 64
ROIC Compounder $19.59 $23.17 $27.14 72
Growth Earnings
Growth-Adj P/E $24.89 $35.55 $46.22 67

Widest divergence: Multiples ($37.69) versus Dividend Discount ($4.26). Highest evidence: FCF DCF (80).

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Key figures & financial health

P/E ratio 22.1
P/S ratio 0.97 P/E × margin
EPS (TTM) $1.53 price ÷ EPS = P/E 22.1
Dividend yield 0.9% payout 20.9%
Net margin 4.4% FY2025
Return on equity 19.4% TTM
More key figures
Profitability
Return on assets (EBIT) 7.8% avg 5y
Operating margin −2.1% TTM
Growth
Revenue (TTM) $1.3B TTM
Revenue growth (YoY) +4.9% 3y avg +5.6%
EPS growth (YoY) +0.2%
Balance sheet & cash flow
Free cash flow $47.2M FY2025
Net cash $70.6M FY2025

Figures from reported company fundamentals · as of Aug 20, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 69/100

Of which business quality 66 · Market factors (momentum, volatility) 40

Profitability 64
Margins and returns on capital today
Quality Growth 51
Are margins and returns improving?
Cashflow 42
Earnings quality: real cash, not paper profit
Fin. Strength 76
Balance sheet, leverage, solvency risk
Investment 75
Disciplined investing over empire-building
Low Volatility 53
Calm price path (market factor)
Momentum 44
Price trend over the last 3–12 months (market factor)
52W Momentum 18
Distance to the 52-week high (market factor)
Net Issuance 100
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Barrett Business Services, Inc. provides business management solutions for small and mid-sized companies in the United States. It develops a management platform that integrates a knowledge-based approach from the management consulting industry with tools from the human resource outsourcing industry.

Full company description

Barrett Business Services, Inc. provides business management solutions for small and mid-sized companies in the United States. It develops a management platform that integrates a knowledge-based approach from the management consulting industry with tools from the human resource outsourcing industry. The company also offers professional employer services under which it enters into a client services agreement to establish a co-employment relationship with each client company, assuming responsibility for payroll, payroll taxes, workers compensation coverage, and other administration functions for the client's existing workforce. In addition, it provides staffing and recruiting services, such as on-demand or short-term staffing assignment, contract staffing, direct placement, and long-term or indefinite-term on-site management services. The company serves customers in various industries, including construction, waste management and remediation services, manufacturing, transportation and warehousing, health care, leisure and hospitality, retail, professional and advisory services, and wholesale trade industries. Barrett Business Services, Inc. was incorporated in 1965 and is headquartered in Vancouver, Washington.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Barrett Business Services Inc reported revenue of $1.2B in FY2025 versus $955M in FY2021, a compound +6.7%/yr. Reported net income was $54.4M in FY2025, compounding +9.4%/yr from FY2021.

Growth Quality 74/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
$1.2B
Latest YoY
+8.4%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+5.6%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+7.1%
Avg. revenue growth/yr (32Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+8.2%
Value creation/yr (5Y) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year.
+12.0% (11.1 + 0.9)
Revenue +6.7%/yr
FY21 $955M
FY22 $1.1B
FY23 $1.1B
FY24 $1.1B
FY25 $1.2B
Net income +9.4%/yr
FY21 $38.1M
FY22 $47.3M
FY23 $50.6M
FY24 $53.0M
FY25 $54.4M
Character of growth · EPS growth decomposed (2015-2025) +12.1 % p.a.
Revenue per share +5.8 %

of which total revenue +4.5 % · buybacks/dilution +1.2 %

EBIT margin +2.9 %
Tax rate +0.3 %
Residual (interest, one-offs) +2.6 %

Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).

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Cite: Fair Value Calculator (2026). "Barrett Business Services Inc Fair Value". https://www.fairvalue-calculator.com/stock/BBSI

Peer Group

Staffing & Employment Services · 80 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 69 · Top 25%
Fair Value upside +13% · Above median
Return on equity (TTM) 19% · Above median
Return on assets 5% · Above median
Net margin (TTM) 3% · Above median
Operating margin (TTM) −2% · Bottom 25%
Revenue growth 5% · Above median
Dividend yield (TTM) 0.9% · Bottom 25%
Debt / equity 0.02× · Lower than median

Valuation Multiples vs Staffing & Employment Services median · lower = cheaper

P/E (TTM) 22.1× · Pricier than median
P/B 3.39× · Pricier than 75% of peers
P/S (TTM) 0.65× · Pricier than 75% of peers
P/FCF 17.3× · Pricier than 75% of peers
EV/EBITDA 11.4× · Pricier than 75% of peers
PEG 1.46× · Pricier than median

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE50 · sector 49
FUTURE25 · sector 1
PAST78 · sector 41
HEALTH99 · sector 95
DIVIDEND19 · sector 59

Insider activity: 66/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Staffing & Employment Services stocks, each showing price versus our Fair Value estimate (as of Aug 20, 2026).

Stock Price Fair Value vs Fair Value
Adecco Group ADEN CHF 24.06 CHF 24.15 +0%
Korn Ferry, KFY $83.30 $114.56 +38%
Robert Half Inc RHI $43.55 $20.51 −53%
TriNet Group TNET $69.61 $97.07 +39%
ManpowerGroup Inc MAN $61.19 $23.19 −62%
Insperity, Inc NSP $51.40 $17.34 −66%
FESCO Group 600861 ¥13.02 ¥45.46 +249%
Grupa Pracuj S.A GPP 53.50 PLN 65.45 PLN +22%
Maharah for Human Resources Company 1831 4.68 SAR 6.87 SAR +47%
Kforce Inc KFRC $57.71 $31.40 −46%

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Frequently asked questions

Is Barrett Business Services Inc (BBSI) overvalued or undervalued?
As of Aug 20, 2026, our model estimates a fair value of $38.11 versus a price of $33.83, about +13% upside (undervalued).
What is the fair value of BBSI?
Our model-based fair value for Barrett Business Services Inc is $38.11 (as of Aug 20, 2026), built from audited fundamentals. The current price: $33.83.
What is the quality score of BBSI?
Barrett Business Services Inc has a Quality Score of 69/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Barrett Business Services Inc (BBSI)?
Barrett Business Services Inc reported trailing-twelve-month revenue of about $1.3B (latest available figure, as of Aug 20, 2026).
What is the net profit margin of BBSI?
The net profit margin of Barrett Business Services Inc is about 3.2%, meaning it keeps roughly 3.2% of revenue as net income. Based on the latest reported figures.
Does Barrett Business Services Inc pay a dividend?
Barrett Business Services Inc currently shows a dividend yield of about 0.95% relative to its recent price (as of Aug 20, 2026).
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