Adcorp Holdings (JSE: ADR) share price, discussion & sentiment

Grabbed more ADR at R6.44 because the temp staffing cycle typically picks up into year-end and the balance sheet's light enough that even modest revenue recovery hits the bottom line hard.

ADR breaking above R6.60 resistance with decent volume behind it, first real momentum we've seen in weeks on this one.

Do you think staffing companies can recover when corporates are cutting headcount. ADR's been getting hammered, sitting at R6.13, and I'm wondering if the margin compression is just cyclical or if clients are moving offshore for cheaper labour. Not sure about this one long term.

ADR's been getting smashed on the back of weak employment data and that rand weakness making offshore earnings less attractive. Staffing sector always lags when corporates start cutting headcount, so earnings compression is real, but the long-term view hasn't changed. Inflation's still eating into margins but once rate cuts actually kick in next year the hiring cycle should pick up again. Rather hold through this than chase something else.

interesting numbers coming through on adcorp's temp division, the margin compression is real but recruitment fees holding up better than i'd have expected given the macro headwinds. fwiw if they can stabilise permanent placement momentum thru the second half the shorts might be wrong on the r6 level, but load-shedding chaos probably keeps hiring on ice for a bit longer imo.

adcorp doing the staffing shuffle while the economy's in a bind, hard to see where the growth kicks in when corporates are tightening belts. at R6.13 you're not getting a screaming bargain either, the chart's been dead weight for ages.

@guppy_jse dividend catch is real, temp book will turn

@guppy_jse dividend is the only thing keeping this afloat tbh, temp book is still weak

dividend yield only works if the book actually stabilizes though, guppy makes a fair point but the temp staffing margins got hit hard last year and that's where adcorp makes its bread. easyequities folk are betting on a rebound but labour demand still looks patchy, could be a long wait for those employment numbers.

temp staffing is cyclical and we're still in a tough spot with load-shedding killing productivity, so client spend stays cautious. but the dividend yield at current levels is decent cushion if you can stomach the volatility, and once the rand stabilizes a bit and rate cuts start looking real, recruitment should pick up. long-term view hasn't changed for me, adcorp's got the market position, just need the cycle to turn.

ADR's been bouncing around R6.30 but the real question is whether staffing plays recover when the economy picks up. Their temp placement business is so dependent on corporates actually hiring again and with load-shedding killing productivity, tough to see a quick turnaround. That said if you're thinking long term, valuations on staffing stocks are pretty beaten down vs where they were. Could be a sneaky accumulation play if you've got patience.

adcorp sitting at r6.30 is basically where it deserves to be until they show they can actually win back corporate clients post-covid. temp staffing is a dogs game anyway, margins get hammered soon as the economy sneezes, but if they can stabilize headcount and stop bleeding clients theyre not expensive at these levels. big dogs dont cook they eat.

interesting numbers actually, adcorp's got margin pressure but the temp staffing model means they can flex costs faster than a lot of industrials when things slow. worth noting they're still cash generative even with load-shedding eating into client capex. imo this trades on whether you think recruitment picks up in 2025 or we're in a longer slog, fwiw.

adcorp sitting at r6.30 and the dividend yield is still decent if they can stabilize the temp staffing book. easyequities crowd seems split but there's solid buy interest whenever it dips. ngl the economic headwinds are real but patience looks like a good idea here, more eyes on the prize once employment numbers pick up.

ADR up 3.10% to R6.65, which is lekker given the recruitment sector's been under pressure. Trading at around 0.8x P/B versus Workforce's 1.2x, so there's a valuation case here if they can stabilize margins on the back of improved placement volumes.

Morning all, ADR looking lively today

Big wall at R6.50. Classic algo game innit

R6.40 now, finally some movement

Do you think they can actually scale revenue before the cash runs out, or is this just another JSE penny stock story. Up 6% today but fundamentals still look thin to me.

ADR's 9.67% jump to R669 warrants scrutiny on whether this reflects genuine operational improvement or market mean reversion. The industrials staffing space remains structurally challenged with thin margins and cyclical exposure, so I'd want to see evidence of sustained contract