On Assignment sees Q1 adjusted EPS 41c-44c, consensus 44c Sees Q1 revenue $432M-$439M, consensus $461.7M. The revenues estimates include approximately $2.5M-$3.5M for the adverse effect of the inclement weather in the first quarter. The above estimates also include the effects of the payroll tax reset, which occurs at the beginning of every year. This reset results in an estimated sequential increase in cost of sales of $4.0M-$4.5M and a sequential increase in SG&A expenses of approximately $3M.
On Assignment price target raised to $45 from $35 at Piper Jaffray Piper Jaffray raised its price target for On Assignment shares to $45 saying temporary staffing demand is improving. It sees positive catalysts for the stock and keeps an Overweight rating on the name.