Hirequest Inc logo

Hirequest Inc(HQI)

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ADVISORIES YOU CAN VERIFY
QUALITY SIGNAL RECENCY
2-STAR RATING
Consider higher Upturn Star rating
BUY for 33 days
PROFIT SINCE LAST BUY
+24.38%
LAST CLOSE
$16.68
09/15/2026
(24-hour delay)

Advisory History & Simulated Performance *

*as per simulation (see disclosures)
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Upturn Advisory & Investor View for HQI

09/15/2026: HQI (2-star) has a low Upturn Star Rating. Not recommended to BUY.

Hirequest Inc is a national franchisor in the temporary staffing industry that utilizes a capital-light model to generate royalty and support fee income. Its main strengths include low operating overhead and a scalable architecture that allows for growth via strategic acquisitions and franchise expansion. The company's primary investment story centers on its ability to roll up smaller staffing brands into its efficient, centralized system. However, investors should be mindful of risks related to economic cyclicality, heavy reliance on franchisee performance, and competition from large national firms. The stock may suit value-oriented investors who appreciate steady, fee-based cash flows and are comfortable with the volatility inherent in smaller-cap staffing companies.

How to Read the Upturn Advisory

The Upturn Star Rating and the current BUY, SELL, or PASS advisory are generated by Upturn’s AI advisory engine based on proprietary signal analysis, price behavior, advisory history, and historical signal performance.

Company fundamentals, valuation, risks, and news provide supporting context about the business.

Investor Fit

Investor styleFitWhy
Growth investorMixed fitThe company offers moderate growth potential through franchise expansion but lacks the rapid scaling of high-tech firms.
Momentum investorMixed fitMomentum depends on the prevailing trend in the staffing sector and overall market conditions.
Value investorStrong fitThe company's asset-light model and consistent cash flow may appeal to value investors looking for fundamental stability.
Dividend investorMixed fitThe dividend is steady but the yield is not the primary driver of total returns compared to larger, more established companies.
Low-risk investorWeak fitSmall-cap staffing companies can experience significant price volatility during economic cycles.

Risk Profile

Risk factorLevelWhy it matters
Price volatilityMedium / highSmall-cap stocks in the staffing sector are sensitive to macroeconomic shifts.
Valuation riskMediumThe stock's valuation is tied to its ability to continue acquiring and growing franchises effectively.
Competition risk (Direct staffing peers)Medium / highLarge competitors have deeper pockets for marketing and technology investment.
Business qualityMediumFranchise-based models are dependent on the quality of individual franchisees.
Dividend incomeLowDividends are not the company's primary focus for shareholder returns.
Execution riskMediumIntegrating new acquisitions into the franchise model is critical to long-term success.

Price Behavior

Strong Uptrend
PRICE PATH

Strong Uptrend

The stock has maintained a strong upward price trend across the last three quarters.

Choppy
PRICE STABILITY

Choppy

The stock has experienced frequent reversals and pronounced short-term price swings.

Analysis of Past Performance

Type Stock
Historic Profit -16.34%
Avg. Invested days 24
Today’s Advisory Consider higher Upturn Star rating
Upturn Advisory Rating upturn star rating icon
Upturn Advisory Performance Upturn Advisory Performance icon 2.0
Stock Returns Performance Upturn Returns Performance icon 1.0
Upturn Profits based on simulation icon Profits based on simulation
Upturn last close icon Last Close 09/15/2026

Upturn Scorecard

Upturn Star Rating

HQI receives a 4-star rating, supported by strong unit economics, and solid company fundamentals. The rating is constrained by weak price momentum.

Company Fundamentals

HQI has solid overall fundamentals (4 stars), with solid financial health, solid growth momentum, and moderate ownership. In FY2025 versus FY2024, strong earnings growth (+72.4%) and strong cash generation (FCF margin 39.1%) are partially offset by negative revenue growth (-11.4%).

Financial Health Rating

HQI's financial health is supported by strong liquidity, including working-capital and asset support (WC/assets 37.4%). Operating efficiency is moderate (3 stars), which helps explain the 4-star overall score.

Growth Momentum Score

Earnings growth is HQI's strongest growth driver at +72.4% FY2025 versus FY2024 (strong, 5 stars). By comparison, while revenue growth (-11.4%, negative) and free-cash-flow growth (+0.2%, moderate) hold the profile back, so recent growth is not broad-based across the business.

Ownership

Institutional ownership is 11.6% and approximately 37.3% of outstanding shares are publicly tradable, supporting liquidity and institutional participation. Insider ownership of 61.39% supports management-shareholder alignment.

Top 5 Institutional Investors

BlackRock Inc 1.83%
Bandera Partners LLC 1.71%
Vanguard Capital Management, LLC 1.66%
Geode Capital Management, LLC 1.02%
NewEdge Investment Solutions 0.67%

Unit Economics (Per $1K Revenue)

HQI generates approximately $1,000 of gross profit, $227 of operating income, and $391 of free cash flow for every $1,000 of revenue. Based on FY2025 results. Strong cash conversion and healthy margins support the rating, although capital efficiency remains below the highest tier.

Economic Dimensions

Effective Tax Rate: 1.49%

Quantitative Style Profile

HQI has a high-quality profile. Weak momentum is the primary drawback, while valuation that is moderately attractive rather than deeply discounted.

Style Classification

Quality Focused

Quality TiltSmall / Mid Cap Risk

Key Highlights

Company Size Small-Cap Stock
Market Capitalization 224.33M USD
Price to earnings Ratio 26.92
1Y Target Price 19
Price to earnings Ratio 26.92
1Y Target Price 19
Volume (30-day avg) 27.5K shares
Beta 1.15
52 Weeks Range 7.28 - 18.94
Updated Date 09/15/2026
52 Weeks Range 7.28 - 18.94
Updated Date 09/15/2026
Dividends yield (FY) 1.50%
Basic EPS (TTM) 0.6

How Company Makes Money

Business areaWhat it includesRetail investor read
Franchise RoyaltiesOngoing percentage-based fees collected from franchisees for the use of the brand and support services.The company earns money consistently as its franchisees generate revenue.
Support Service FeesCentralized payroll and insurance processing fees paid by franchisees.Provides stable, recurring income based on the volume of temporary employees working.

Analyzing Revenue: Products, Geography and Growth

Revenue by Products

Product revenue - Year on Year

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Valuation

Trailing PE 26.92
Forward PE 17.83
Enterprise Value 224.04M
Price to Sales(TTM) 7.44
Enterprise Value 224.04M
Price to Sales(TTM) 7.44
Enterprise Value to Revenue 7.43
Enterprise Value to EBITDA 17.99
Shares Outstanding 13.89M
Shares Floating 5.18M
Shares Outstanding 13.89M
Shares Floating 5.18M
Percent Insiders 61.39
Percent Institutions 11.59

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Financial Metrics

🧭 Investment Snapshot

Total Revenue (Scale)

Information icon Total money earned from selling products or services before any costs. It is needed to understand the scale of the business and its ability to generate income.

Net Income (Profit)

Information icon Final profit after all expenses, interest, and taxes are deducted. It is needed to determine the overall profitability available to shareholders.

Free Cash Flow (Cash Strength)

Information icon Cash remaining after operating activities and capital expenditures, showing cash available for growth. It is needed to evaluate the company’s ability to invest, pay dividends, or reduce debt.

📈 Growth & Strength

Operating Income (Core Profit)

Information icon Profit from core operations after deducting all operating expenses. It is needed to measure how efficiently the company runs its primary business activities.

EBITDA (Cash Earnings)

Information icon Earnings before interest, taxes, depreciation, and amortization, indicating operating cash potential. It is needed to compare operating performance across companies without accounting or financing differences.

Gross Profit (Unit Profitability)

Information icon Revenue minus cost of revenue, showing profit after direct production costs. It is needed to evaluate core business profitability before overhead expenses.

🛡️ Financial Safety

Cash (Liquidity Buffer)

Information icon Total cash and cash equivalents on hand. It is needed to evaluate immediate liquidity and financial flexibility.

Total Debt (Leverage Risk)

Information icon Total debt including both short-term and long-term components. It is needed to assess the company’s leverage and financial risk.

Net Working Capital (Short-Term Health)

Information icon Current assets minus current liabilities, indicating short-term liquidity strength. It is needed to assess whether the company can meet its short-term obligations.

🧱 Balance Sheet Strength

Stockholder Equity (Net Worth)

Information icon Total equity value held by shareholders. It is needed to understand the net worth of the company from the owners’ perspective.

Total Assets (Asset Base)

Information icon The full value of everything the company owns, including cash, inventory, equipment, and investments. It is needed to understand the resource base used to generate revenue.

Income Before Tax (Pre-Tax Earnings)

Information icon Income before provision for income taxes. It is needed to analyze profitability independent of tax structures.

⚙️ Cost & Drag Factors

Cost of Revenue (Production Cost)

Information icon Direct costs required to produce and deliver the products or services sold. It is needed to assess efficiency in production and service delivery.

Total Operating Expenses (Operating Cost)

Information icon Indirect costs of running the business such as salaries, marketing, and administration. It is needed to understand how much it costs to sustain ongoing business operations.

Income Tax Expense (Tax Drag)

Information icon Amount of taxes paid or payable to the government. It is needed to evaluate the impact of taxation on overall profitability.

About Hirequest Inc

Exchange NASDAQ
Headquarters Goose Creek, SC, United States
IPO Launch date 2002-06-06
Chairman, President & CEO Mr. Richard F. Hermanns
Sector Industrials
Industry Staffing & Employment Services
Full time employees 88
Full time employees 88

HireQuest, Inc. provides staffing solutions in the United States. The company offers direct-dispatch, executive search, commercial staffing, unskilled and semi-skilled industrial, construction personnel, skilled and semi-skilled industrial personnel, clerical and administrative personnel, permanent placement, commercial and non-CDL drivers, skilled personnel, and executive placement and consultant services. It offers its services under the HireQuest Direct, HireQuest, Snelling, DriverQuest, HireQuest Health, Northbound Executive Search, and MRI trade names. The company serves construction, recycling, warehousing, logistics, auctioneering, manufacturing, hospitality, landscaping, and retail industries, as well as dental practices. HireQuest, Inc. was founded in 2002 and is headquartered in Goose Creek, South Carolina.