ADECCO: Will the share price break free in 2026?

In 2025, shares in recruitment agency ADECCO were unfortunately not particularly popular with investors, even though the agency is pursuing its goals in a focused manner and taking market share from its biggest competitors. However, securities firms are becoming increasingly optimistic and raising their price targets. In addition, management is giving confident interviews and emphasizing the company's improving market position. However, the new dividend policy has caused some discontent, albeit unjustifiably. ADECCO has been generous up to now, but now wants to distribute 40% to 50% of its adjusted annual profit and is foregoing a fixed lower limit. A minimum dividend is not suitable "for a cyclical business like ours," said CEO Denis Machuel in a recent interview. ADECCO needs financial leeway to finance growth and compensate shareholders at the same time. The stock market did not (yet) respond well to this statement, but even a dividend yield of over 4% is still very good for dividend hunters, right?

Initially, we were also somewhat disappointed by this statement. But on closer inspection, the CEO is absolutely right! A thriving company can only flourish if it has its balance sheet, including its debt, under control. Sooner or later, the stock market is also likely to appreciate this with higher share prices. Furthermore, it can be assumed that such statements will not only cause share price losses, but on the contrary, will lead to optimism, share price gains, and even dividend increases! The CEO is confident about the Akkodis division. However, in order to exploit its full potential, the situation in Germany's automotive sector needs to improve. At the same time, the business is being broadened to include customers from the defense industry, among others. Accordingly, 2026 should finally be a breakthrough year for ADECCO! Our price target remains at CHF 33!