olivLaw · US equity research
Everforth, Inc. EFOR
Services-Help Supply Services · SIC 7363 · Vertical: Services-Help Supply Services (SIC 7363)
Everforth (formerly ASGN) is an IT services and digital engineering company that delivers consulting and staffing to commercial and government clients in the United States. It is rebranding and unifying its six brands in 2026, while recent figures show soft demand in assignments offset by growth in higher-value consulting. Annual revenue of 4.0 billion USD in 2025 and a 70 percent share from the commercial segment show the scale of the business.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 05 Nov 2026, Everforth, Inc. (EFOR) stock was 35.54 USD (−3.89% on the day), with market capitalisation 1.5 bn USD, P/E 21.8 on diluted EPS of 1.63 USD over the last 12 months, beta 0.83, 52-week range 17.06–53.28 USD. Latest reported quarter (Q3 2026): revenue of 1.0 bn USD (+2.0% YoY), net income of 23.1 m USD (−39.4% YoY), diluted EPS 0.56 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 45.9
- neutral
- Bollinger (20, 2)
- 34.45 – 42.57
- in the lower half of the band · %B 0.13 · band width 21.1%
- SMA 50 / 200
- 35.14 / 31.90
- uptrend (price > SMA50 > SMA200)
- MACD (12, 26, 9)
- 0.37 / 1.11
- MACD below signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | −1.2% | −5.9% | +4.8 pp | — |
| 3 months | +12.6% | −4.6% | +17.2 pp | — |
| 6 months | +70.3% | +0.2% | +70.1 pp | — |
| Year to date | −26.2% | +7.4% | −33.6 pp | — |
| 1 year | −21.0% | +8.2% | −29.2 pp | +51.3% |
| 3 years | −58.8% | +68.4% | −127.2 pp | −37.6% |
| 5 years | −72.2% | +56.5% | −128.7 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q3 2026 · 30 Sept 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 985.0 m | 968.3 m | 1.0 bn | 1.0 bn | 980.1 m | 968.3 m | 1.0 bn | 1.0 bn |
| Cost of revenue | 699.0 m | 692.9 m | 727.3 m | 714.5 m | 696.6 m | 701.7 m | 722.4 m | 739.8 m |
| Gross profit | 286.0 m | 275.4 m | 293.3 m | 296.9 m | 283.5 m | 266.6 m | 284.6 m | 291.6 m |
| SG&A | 197.9 m | 214.5 m | 216.8 m | 212.2 m | 210.5 m | 224.4 m | 226.2 m | 217.7 m |
| Operating income | 74.2 m | 46.6 m | 59.6 m | 67.9 m | 56.2 m | 27.7 m | 41.1 m | 56.6 m |
| Depreciation & amortisation | 23.9 m | 25.6 m | 28.7 m ≈ | 29.3 m ≈ | 29.9 m | 28.0 m | 31.2 m ≈ | 28.9 m ≈ |
| Interest expense | 14.9 m | 15.4 m | 18.2 m | 17.4 m | 16.7 m | 17.1 m | 20.4 m | 20.2 m |
| Pre-tax income | 59.3 m | 31.2 m | 41.4 m | 50.5 m | 39.5 m | 10.6 m | 20.7 m | 36.4 m |
| Income tax | 16.9 m | 10.3 m | 12.1 m | 12.4 m | 14.3 m | 5.1 m | 6.5 m | 13.3 m |
| Net income | 42.4 m | 20.9 m | 29.3 m | 38.1 m | 25.2 m | 5.5 m | 14.2 m | 23.1 m |
| Diluted EPS | 0.94 ≈ | 0.48 | 0.67 | 0.87 | 0.59 ≈ | 0.13 | 0.35 | 0.56 |
| Operating cash flow | 100.2 m | 16.8 m | 124.9 m ≈ | 83.9 m ≈ | 102.3 m | 18.5 m | 52.2 m ≈ | 58.7 m ≈ |
| Capex | 11.3 m | 10.2 m | 9.1 m ≈ | 11.9 m ≈ | 8.6 m | 9.4 m | 5.9 m ≈ | 12.2 m ≈ |
| Share repurchases | 43.9 m | 50.4 m | 9.5 m ≈ | 46.0 m ≈ | 64.2 m | 39.0 m | 11.5 m ≈ | 0 ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 70 percentile of its own 40-quarter history (min 9.2, median 18.7, max 26.5; quarters with earnings only).
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 3.4 bn | 3.4 bn | 3.5 bn | 4.0 bn | 4.6 bn | 4.5 bn | 4.1 bn | 4.0 bn |
| Revenue YoY | +29.5% | +0.5% | +2.5% | +14.5% | +14.3% | −2.8% | −7.9% | −2.9% |
| Net income | 157.7 m | 174.7 m | 200.3 m | 409.9 m | 268.1 m | 219.3 m | 175.2 m | 113.5 m |
| Net income YoY | 0.0% | +10.8% | +14.7% | +104.6% | −34.6% | −18.2% | −20.1% | −35.2% |
| Diluted EPS | 2.98 | 3.28 | 3.76 | 7.66 | 5.23 | 4.50 | 3.83 | 2.60 |
| Diluted EPS YoY | +0.3% | +10.1% | +14.6% | +103.7% | −31.7% | −14.0% | −14.9% | −32.1% |
| net % | 4.6% | 5.1% | 5.7% | 10.2% | 5.9% | 4.9% | 4.3% | 2.9% |
| Free cash flow | 258.7 m | 280.5 m | 392.2 m | 159.0 m | 270.3 m | 417.0 m | 364.7 m | 288.1 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 161.2 m USD
- Financial debt
- 1.2 bn USD
- Net debt
- 1.0 bn USD
- Equity
- 1.8 bn USD
- Total assets
- 3.7 bn USD
- Debt / equity
- 0.65x
- Current ratio
- 2.16x
- ROE
- 6.3%
- ROA
- 3.2%
- FCF margin
- 7.2%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 3.5 bn | 4.0 bn | 4.6 bn | 4.5 bn | 4.1 bn | 4.0 bn | SEC (XBRL)· 25 Feb 2026verified |
| Cost of revenue | 2.6 bn | 2.9 bn | 3.2 bn | 3.2 bn | 2.9 bn | 2.8 bn | SEC (XBRL)· 25 Feb 2026verified |
| Gross profit | 947.2 m | 1.1 bn | 1.4 bn | 1.3 bn | 1.2 bn | 1.1 bn | SEC (XBRL)· 25 Feb 2026verified |
| SG&A | 615.0 m | 735.8 m | 895.0 m | 844.2 m | 821.2 m | 854.0 m | SEC (XBRL)· 25 Feb 2026verified |
| Operating income | 281.2 m | 350.9 m | 409.5 m | 364.1 m | 304.4 m | 230.3 m | SEC (XBRL)· 25 Feb 2026verified |
| Depreciation & amortisation | 89.7 m | 89.6 m | 91.4 m | 100.3 m | 96.3 m | 113.5 m | SEC (XBRL)· 25 Feb 2026verified |
| EBITDA | 370.9 m ≈ | 440.5 m ≈ | 500.9 m ≈ | 464.4 m ≈ | 400.7 m ≈ | 343.8 m ≈ | SEC (XBRL)· 25 Feb 2026derived |
| Interest expense | 39.7 m | 37.5 m | 45.9 m | 66.4 m | 64.3 m | 67.7 m | SEC (XBRL)· 25 Feb 2026verified |
| Pre-tax income | 241.5 m | 313.4 m | 363.6 m | 297.7 m | 240.1 m | 162.6 m | SEC (XBRL)· 25 Feb 2026verified |
| Income tax | 63.9 m | 81.6 m | 96.7 m | 78.4 m | 64.9 m | 49.1 m | SEC (XBRL)· 25 Feb 2026verified |
| Net income | 200.3 m | 409.9 m | 268.1 m | 219.3 m | 175.2 m | 113.5 m | SEC (XBRL)· 25 Feb 2026verified |
| Diluted EPS | 3.76 | 7.66 | 5.23 | 4.50 | 3.83 | 2.60 | SEC (XBRL)· 25 Feb 2026verified |
| Weighted average diluted shares | 53.3 m | 53.5 m | 51.3 m | 48.7 m | 45.7 m | 43.6 m | SEC (XBRL)· 25 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 274.4 m | 529.6 m | 70.3 m | 175.9 m | 205.2 m | 161.2 m | SEC (XBRL)· 25 Feb 2026verified |
| Receivables | 602.8 m | 708.2 m | 853.6 m | 741.5 m | 650.8 m | 674.4 m | SEC (XBRL)· 25 Feb 2026verified |
| Current assets | 994.4 m | 1.3 bn | 981.1 m | 973.3 m | 917.7 m | 916.2 m | SEC (XBRL)· 25 Feb 2026verified |
| Property, plant & equipment, net | 54.9 m | 55.0 m | 66.3 m | 81.4 m | 82.6 m | 84.5 m | SEC (XBRL)· 25 Feb 2026verified |
| Goodwill | 1.4 bn | 1.6 bn | 1.9 bn | 1.9 bn | 1.9 bn | 2.1 bn | SEC (XBRL)· 25 Feb 2026verified |
| Intangibles (excl. goodwill) | 469.9 m | 487.9 m | 569.6 m | 497.9 m | 439.8 m | 453.8 m | SEC (XBRL)· 25 Feb 2026verified |
| Total assets | 3.3 bn | 3.5 bn | 3.6 bn | 3.5 bn | 3.4 bn | 3.7 bn | SEC (XBRL)· 25 Feb 2026verified |
| Accounts payable | 38.3 m | 20.1 m | 35.2 m | 34.0 m | 27.2 m | 47.2 m | SEC (XBRL)· 25 Feb 2026verified |
| Long-term debt | 1.0 bn | 1.0 bn | 1.1 bn | 1.0 bn | 1.0 bn | 1.2 bn | SEC (XBRL)· 25 Feb 2026verified |
| Current liabilities | 416.2 m | 450.9 m | 441.9 m | 394.1 m | 367.1 m | 424.3 m | SEC (XBRL)· 25 Feb 2026verified |
| Total liabilities | 1.7 bn | 1.6 bn | 1.7 bn | 1.7 bn | 1.7 bn | 1.9 bn | SEC (XBRL)· 25 Feb 2026verified |
| Equity | 1.6 bn † | 1.9 bn † | 1.9 bn † | 1.9 bn † | 1.8 bn † | 1.8 bn † | SEC (XBRL)· 25 Feb 2026verified |
† equity attributable to the parent's shareholders: in these years the issuer no longer reports the total including non-controlling interests.
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 424.8 m | 193.7 m | 307.8 m | 456.9 m | 400.0 m | 327.9 m | SEC (XBRL)· 25 Feb 2026verified |
| Capex | 32.6 m | 34.7 m | 37.5 m | 39.9 m | 35.3 m | 39.8 m | SEC (XBRL)· 25 Feb 2026verified |
| Free cash flow | 392.2 m ≈ | 159.0 m ≈ | 270.3 m ≈ | 417.0 m ≈ | 364.7 m ≈ | 288.1 m ≈ | SEC (XBRL)· 25 Feb 2026derived |
| Investing cash flow | -219.0 m | 246.5 m | -510.0 m | -40.5 m | -35.3 m | -343.9 m | SEC (XBRL)· 25 Feb 2026verified |
| Financing cash flow | -29.0 m | -184.4 m | -256.5 m | -310.9 m | -333.2 m | -29.4 m | SEC (XBRL)· 25 Feb 2026verified |
| Share repurchases | 27.9 m | 181.3 m | 281.4 m | 273.1 m | 327.2 m | 170.1 m | SEC (XBRL)· 25 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
Risk
Valuation
olivLaw classification
Score: 53 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
05 Nov 2026Source: olivLaw, closing series
Market cap: 1.5 bn USD
Key indicators
Coverage and freshness
Score by group
- Growth0
- Returns100
- Balance sheet24
- Valuation70
- Quality82
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 29.27 – 160.66 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)62.39 – 160.66 (Mid 93.69)WACC 6.6% · starting FCFF 242.8 m USD · terminal value share of EV 82%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: starting growth implied by the price (fading linearly to terminal growth, everything else fixed): -27.9%
- Peers: EV/EBITDA32.15 – 110.51 (Mid 48.08)3 companies used · median multiple 10.7x · quartiles 8.6x – 19.3xDLHC, MAN, NSP
- Peers: P/E29.27 – 44.14 (Mid 38.06)7 companies used · median multiple 23.4x · quartiles 18.0x – 27.1xAMN, BBSI, HQI, KFRC, MAN, RCMT, RHI
- Dividend discount (DDM)unavailable · the company pays no dividend: a dividend model needs an explicit initiation assumption
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Neutral profile · Score 53/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 3.9% | 83 (vs peers) | 11% |
| Net margin · Quality | 1.7% | 63 (vs peers) | 7% |
| FCF conversion · Quality | 287.6% | 100 (on a fixed band) | 7% |
| Revenue CAGR 3Y · Growth | -4.6% | 0 (on a fixed band) | 9% |
| EPS CAGR 3Y · Growth | -20.8% | 0 (on a fixed band) | 9% |
| Net debt / EBITDA · Balance sheet | 4.2x | 0 (on a fixed band) | 11% |
| Interest coverage · Balance sheet | 2.4x | 14 (on a fixed band) | 7% |
| Current ratio · Balance sheet | 2.1x | 100 (on a fixed band) | 4% |
| P/E (TTM) · Valuation | 21.8x | 63 (vs peers) | 11% |
| EV/EBITDA · Valuation | 9.0x | 54 (on a fixed band) | 11% |
| FCF yield · Valuation | 13.4% | 100 (on a fixed band) | 9% |
| Shareholder yield (distributions) · Returns | 7.9% | 100 (on a fixed band) | 7% |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet24/100 · 3/3 factors with a value
- Growth0/100 · 2/2 factors with a value
- Quality82/100 · 3/3 factors with a value
- Returns· partial100/100 · 1/2 factors with a value
- Valuation70/100 · 3/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
Everforth, Inc. (EFOR). Latest full fiscal year: 2025; data up to 2026-09-30.
Figures computed from the financial statements: revenue 4.0 bn USD in 2025; YoY growth -2.9%; net margin 1.7%; ROE 3.7%; net debt/EBITDA 4.2x.
The estimated value range is 32.15–110.51 USD per share (median of 3 methods, agreement: medium); assumptions are illustrative. Against the central value of 48.08 USD, the price of 35.54 USD leaves a potential of 35.3% (value / price − 1) and a margin of safety of 26.1% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 53/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: returns. Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- ROIC: 3.9%
- FCF conversion: 287.6%
- Current ratio: 2.1x
- FCF yield: 13.4%
- Shareholder yield (distributions): 7.9%
What contradicts it
- Revenue CAGR 3Y: -4.6%
- EPS CAGR 3Y: -20.8%
- Net debt / EBITDA: 4.2x
- Interest coverage: 2.4x
Not assessed (insufficient data or a ratio without meaning): Payout ratio (FCF).
Versus the vertical median
Services-Help Supply Services (SIC 7363) · same industry (4-digit SIC) · compared with 16 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| RHIRobert Half Inc. | 4.4 bn | 35.6 | 9.8% | 2.3% | −7.2% | +59% / −48% |
| MANManpowergroup Inc. | 2.2 bn | 18.2 | 5.8% | 0.6% | +0.6% | +61% / −38% |
| NSPInsperity, Inc. | 1.9 bn | 554.9 | 4.6% | 0.0% | +3.5% | +44% / −55% |
| AMNAmn Healthcare Services, Inc. | 1.8 bn | 17.7 | 15.6% | 3.1% | −8.5% | +185% / −30% |
| EFOREverforth, Inc. | 1.5 bn | 21.8 | 3.7% | 1.7% | −2.9% | −21% / −59% |
| KFRCKforce Inc | 997.7 m | 23.4 | 30.5% | 3.0% | −5.4% | +89% / −20% |
| BBSIBarrett Business Services, Inc. | 728.3 m | 24.2 | 13.9% | 2.4% | +8.4% | −13% / +11% |
| TBITrueBlue, Inc. | 376.8 m | — | -15.9% | -2.6% | +3.1% | +152% / −11% |
| HQIHireQuest, Inc. | 239.2 m | 30.0 | 12.1% | 27.1% | −11.4% | +98% / +16% |
| RCMTRcm Technologies, Inc. | 226.3 m | 13.8 | 39.5% | 5.1% | unavailable | +63% / +18% |
| TTECTTEC Holdings, Inc. | 73.0 m | — | -108.2% | -10.2% | −3.2% | −56% / −92% |
| DLHCDlh Holdings Corp. | 52.6 m | — | -20.8% | -8.5% | −13.0% | −42% / −74% |
| BGSFBgsf, Inc | 37.5 m | — | -4.4% | -2.3% | −10.6% | −24% / −64% |
| STRRStar Equity Holdings, Inc. | 35.0 m | — | -18.2% | -4.3% | +22.9% | −6% / −40% |
| CIRCCircle8 Group Inc. | 23.5 m | — | — | -19.4% | −1.5% | −90% / −95% |
| YFORYY Group Holding Ltd. | 3.9 m | — | -94.1% | -11.8% | +29.4% | −100% / unavailable |
| KELYAKelly Services, Inc. | — | — | -11.9% | -3.1% | −1.9% | +63% / −32% |
1- and 3-year price returns: for EFOR from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 19.38 Total return -45% · Per year -45% | 34.42 Total return -3% · Per year -3% | 52.08 Total return 47% · Per year 47% |
| 3 years | 15.53 Total return -56% · Per year -24% | 31.34 Total return -12% · Per year -4% | 52.52 Total return 48% · Per year 14% |
| 5 years | 12.45 Total return -65% · Per year -19% | 28.54 Total return -20% · Per year -4% | 52.96 Total return 49% · Per year 8% |
- Exit P/E± 7.84
- Net margin± 5.49
- Annual revenue growth± 4.93
- Annual dilution± 0.46
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 31 Jul 2026; since then the company filed 10-Q (30 Oct 2026), 8-K (28 Oct 2026 · results).
In brief
Everforth (formerly ASGN) is an IT services and digital engineering company that delivers consulting and staffing to commercial and government clients in the United States. It is rebranding and unifying its six brands in 2026, while recent figures show soft demand in assignments offset by growth in higher-value consulting. Annual revenue of 4.0 billion USD in 2025 and a 70 percent share from the commercial segment show the scale of the business 1.
SWOT
Strengths
- A deep talent pool and the ability to build tailored teams for clients quickly, as the company describes its model 1.
- Long-standing enterprise client relationships and partnerships with major cloud, AI and cybersecurity providers 1.
- A commercial consulting book-to-bill ratio above 1 suggests a solid order base 3.
Weaknesses
Opportunities
- If clients move from AI pilot projects to scaled deployments, demand for integration and governance services could rise 3.
- Long-term federal contracts and demand for IT modernization could provide visibility and countercyclical support 1.
- Acquisitions of consulting firms could extend capabilities and industry coverage, consistent with the stated strategy 1.
Threats
Risks
- Clients can end contracts at any timehigh
Most client agreements are non-exclusive and can be terminated at will, which could hurt revenue if many clients leave 1.
- Dependence on federal budgetshigh
Changes in government procurement, including efficiency initiatives, have already led to the loss of higher-margin contracts 1.
- Attracting and retaining talentmedium
The company depends on professionals with scarce skills; rising wage costs could reduce profitability if they cannot be passed on to clients 1.
- Outsourcing and single-vendor dependencemedium
Outsourcing some back-office functions to a single vendor could create disruption, unexpected costs and reputational risk 1.
- AI and cybersecurity risksmedium
AI algorithms can contain errors or bias, and a security incident could damage reputation and expose the company to liability 1.
Investment thesis
What would need to be true (bull case)
- If AI integration into business reaches scale, the company could benefit from demand for integration and governance services, where it has stated advantages 3.
- Growth in consulting and a book-to-bill ratio above 1 in the commercial segment could improve revenue visibility and margins over time 13.
- The expanded credit facility and share buyback activity point to financial flexibility that could support investment and acquisitions 3.
What would break the thesis
- Assignments keep declining and quarterly revenue eased in 2026, which could signal a broader slowdown in demand 12.
- Gross margins have compressed and interest expense has risen, which could reduce net income for shareholders 2.
- If government spending cuts continue or clients build AI capabilities in-house, demand could fall in key segments 1.
What to watch
- Commercial segment revenue and gross margin trends, especially in assignmentsQ3 2026
- Revenue and Adjusted EBITDA guidance for the third quarter of 2026 compared with actual resultsQ3 2026
- Federal contract awards and backlog development in light of government budgetsnext 10-K
- Effect of the refinancing and debt costs on net income and free cash flow2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 31 Jul 2026; since then the company filed 10-Q (30 Oct 2026), 8-K (28 Oct 2026 · results).
The business
Everforth is an IT solutions provider for the commercial and government sectors, aiming to become a technology and digital engineering company with six solution areas: cloud and infrastructure, data and AI, software development, customer experience, cybersecurity and enterprise platforms 1. Founded in 1992, it operates through two segments, Commercial and Federal Government, across six industries. Virtually all revenue comes from the United States 1.
The business model combines higher-margin IT consulting with temporary assignments of billable professionals, both drawing on the same talent pool. Clients are Fortune 1000 companies and federal government agencies; no client other than the U.S. federal government exceeded 10 percent of revenue in 2025 1. Growth has come both organically and through acquisitions, and the strategy emphasizes higher-value consulting and partnerships with cloud, AI and security providers 1.
On workforce, the company relies on recruited professionals paid by the hour or contract rate, with benefits offered after minimum service periods. Internal staff include sales directors, account managers, recruiters and corporate employees, and development and retention programs are stated priorities of management 1.
Segments
Commercial
The Commercial Segment, the largest, provides IT consulting, creative digital marketing and permanent placement services to Fortune 1000 and large mid-market clients, organized across five industries 1. Segment revenue in the second quarter of 2026 was 701.7 million USD, with a gross margin of 32.1 percent 23.
Federal Government
The Federal Government Segment delivers solutions in data and AI, cybersecurity, software and enterprise platforms to public and private agencies, under contracts of roughly three to five years and with a significant base of certified staff and security-cleared personnel 1. Segment revenue in the second quarter of 2026 was 305.3 million USD, with a gross margin of 19.6 percent 3.
Market context
The company estimates its total addressable market at about 680 billion USD, including 490 billion USD of commercial IT consulting, 135 billion USD of government IT consulting and 55 billion USD of professional staffing 1. The consulting market is viewed as more dynamic than assignments, which remain sensitive to macroeconomic cycles 12.
Federal contracts and IT modernization support offer relatively countercyclical demand, but government budgets and administrative changes can delay or cancel orders, as happened in 2025 1. For Everforth, demand for AI and cybersecurity could support growth if clients move from pilot projects to scaled deployments 3.
Trends
- AI moving into productionmixed
Management says the client challenge has shifted from access to technology toward integrating AI into workflows and operating models, which could raise demand for IT services 3. The company is investing in AI capabilities, but the risk is that AI value may not materialize at scale or that clients build internal capabilities 1.
- Weak demand in assignmentsheadwind
Assignments fell sharply in 2025, and commercial revenue eased slightly in the second quarter of 2026, with declines across several industries 12. If economic weakness persists, this pressure could continue.
- Financing costs and debtheadwind
Interest-bearing debt has grown and net interest expense rose in the first half of 2026, compressing net income 2. The July 2026 revolver refinancing expands financial flexibility, but the cost of debt remains a pressure 3.
Competitive position
The company competes with other large public and private providers of IT and professional services human capital, locally, regionally, nationally and internationally 1. The market is fragmented with limited barriers to entry, and clients can place orders with competitors because most agreements are not exclusive 1.
The company's stated edge lies in its delivery model without a large bench, which gives a cost advantage, and in long-standing enterprise client relationships 1. Competition for talent and clients could nonetheless intensify as the company expands its consulting footprint 1.
- Large IT services and consulting providers
The source refers to larger publicly and privately held IT human capital and professional services providers without naming them; no ticker can be assigned.
- Traditional consulting agencies
Competition also comes from traditional consulting agencies and specialized boutique firms focused on industries or solutions, named only generically in the risk discussion.
- Government contractors
In the federal segment, competition comes from other government contractors, which the source does not name.
- Clients building in-house capabilities
The risk that clients develop their own AI capabilities could reduce demand for the company's services, a competitive pressure in its own right.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
No news in our archive over the last 180 days.
SEC filings
- Quarterly report30 Oct 2026
- Current report28 Oct 2026Results of operations · Financial statements and exhibits
- Quarterly report31 Jul 2026
- Current report29 Jul 2026Results of operations · Financial statements and exhibits
- Current report09 Jul 2026Material agreement · Creation of a direct financial obligation · Regulation FD disclosure · Financial statements and exhibits
- Current report16 Jun 2026Shareholder vote · Financial statements and exhibits
- Quarterly report30 Apr 2026
- Proxy statement27 Apr 2026
- Current report24 Apr 2026Amendments to articles or bylaws · Financial statements and exhibits
- Current report22 Apr 2026Results of operations · Financial statements and exhibits
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / Everforth, Inc. · 25 Feb 2026
- [2] Form 10-Q, quarter ended 2026-06-30 · SEC / Everforth, Inc. · 31 Jul 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / Everforth, Inc. · 29 Jul 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.