Recruit Holdings Co.

RCRUY

Staffing & Employment Services · Industrials

Price

$21.03

-0.16 (-0.76%)

Market Cap

$146.81B

Exchange

Other OTC

Winston Score

Winston is happy

A high-quality business with solid fundamentals.

Data as of Aug 13, 2026 · filings through Mar 31, 2026

Share count falling — buybacks

−12.9% over 4y

The company has reduced its share count over this period, returning value to shareholders through buybacks.

Diluted shares outstanding: 8.21B (2022) → 7.15B (2026)

Recruit Holdings is a Japanese company that helps people find jobs and businesses find workers. Its most well-known product is Indeed, the world's largest job search website, which connects millions of job seekers with employers every day. The company also runs HR software platforms, real estate listing services, and travel booking sites, mainly in Japan and globally through its internet businesses.

Recruit makes money through a mix of employer subscriptions, pay-per-click job listings, and software licenses sold to businesses. It operates worldwide, with Indeed and Glassdoor giving it a dominant position in online job advertising — a market where scale and data create a strong competitive advantage. The company's high gross margin of roughly 59% reflects its shift toward software and digital platforms rather than traditional staffing. The main risk is that hiring slowdowns, like those seen in the tech sector in recent years, can quickly reduce employer spending on job ads and hurt revenue growth.

Winston Score History

Growth Profile

For growth stock investors

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+13.5% YoY

YoY Growth Rate

Steady revenue growth

EPS Growth

+64.6% YoY

YoY Growth Rate

EPS growth accelerating

R&D Spend

$0/ year

↓ Declining (-100% vs prior year)

0.0% of revenue

Below sector average (4%)

R&D spend declining — could signal cost-cutting or efficiency

Insider Activity

80.4%ownership

Insiders own a meaningful stake in the company

Cash Position

Cash flow positive

$867.0B cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

Company generates more cash than it spends — no dilution risk from fundraising

Growth + cash flow

Recruit Holdings Co. is a rare growth stock that's already generating positive cash flow while growing at 14%. The Winston Score doesn't fully credit this transition from "burner" to "earner."

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

Every number that matters to educated investors.

Each metric is explained in plain language so you know exactly what you're looking at. Start your free trial now.

Quality

Gross Margin

60.1%

Premium pricing power — 60.1% gross margin

Operating Margin

15.5%

Healthy — 15.5% operating margin

ROCE

9.3%

Below par — 9.3% return on capital

ROIC between 5% and 15%. They earn 5 to 15 cents back per year on every dollar invested.

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Growth

Sales YoY

+5.4%

Slow sales growth (+5.4% YoY)

EPS YoY

+31.0%

Earnings growing fast (+31.0% YoY)

Earnings growing 25%+ a year. The compounder zone.

EPS Consistency

8/8 quarters

Every recent quarter grew earnings vs last year

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Cash Flow

Cash Conversion

135%

Turns 135% of profit into real cash

FCF Margin

17.9%

Converts sales into free cash efficiently (17.9%)

FCF margin between 10% and 20%. Every $100 in sales becomes $10 to $20 in real cash.

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Stability

Debt / Equity

0.03

Conservative — low debt load (0.03)

Interest Cover

74.55x

Comfortably covers interest (74.6x)

Interest coverage above 8. Profits cover interest many times over.

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Valuation

P/E Ratio (TTM)

0.3x

Attractive valuation — P/E 0.3

P/E under 10. The price tag is small relative to last year's profit.

P/E vs Forward

+0.0

GROWING

Earnings roughly flat

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

Dividends

Dividend Yield

0.15%

Small dividend — 0.15% yield

Modest yield. The bulk of any return needs to come from price appreciation.

Dividend Growth

-24.3%

Dividend cut (-24.3% YoY) — warning sign

Full breakdown available with your free trial

See every metric, trend, and what it means for this stock.

Try free

🔒 See full fundamentals and if they are improving or declining — click here for your free trial now.

Start free trial