Resources Connection (RECN) Upgraded to “Buy” at Zacks Investment Research
Zacks Investment Research upgraded shares of Resources Connection (NASDAQ:RECN) from a hold rating to a buy rating in a research report report published on Wednesday. The firm currently has $17.00 price objective on the business services provider’s stock.
According to Zacks, “Resources Connection, Inc. is a multinational professional services firm that helps business leaders execute internal initiatives. The company provides experienced accounting and finance, human resources management and information technology professionals to clients on a project-by-project basis. Partnering with business leaders, Resources Connection drives internal change across all parts of a global enterprise – accounting, finance, risk management and internal audit, corporate advisory, strategic communications and restructuring, information management, human capital, supply chain management, healthcare solutions, and legal and regulatory services. “
RECN has been the subject of a number of other research reports. Robert W. Baird reiterated a hold rating and issued a $15.00 price target on shares of Resources Connection in a research note on Friday, November 10th. BidaskClub cut shares of Resources Connection from a buy rating to a hold rating in a research note on Tuesday, December 12th. JPMorgan Chase & Co. cut shares of Resources Connection from a neutral rating to an underweight rating and set a $16.00 price target for the company. in a research note on Thursday, January 4th. Finally, TheStreet upgraded shares of Resources Connection from a c+ rating to a b rating in a research note on Thursday, January 4th. Two investment analysts have rated the stock with a sell rating and three have assigned a hold rating to the stock. Resources Connection has a consensus rating of Hold and an average target price of $15.25.
Resources Connection (NASDAQ:RECN) last announced its earnings results on Wednesday, January 3rd. The business services provider reported $0.25 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of $0.20 by $0.05. Resources Connection had a net margin of 2.98% and a return on equity of 8.25%. The business had revenue of $156.70 million during the quarter, compared to analysts’ expectations of $152.91 million. During the same quarter in the prior year, the company posted $0.26 earnings per share. The firm’s revenue was up 6.2% on a year-over-year basis. analysts forecast that Resources Connection will post 0.83 EPS for the current fiscal year.
The company also recently declared a quarterly dividend, which will be paid on Thursday, March 15th. Shareholders of record on Thursday, February 15th will be paid a $0.12 dividend. This represents a $0.48 dividend on an annualized basis and a yield of 3.04%. The ex-dividend date of this dividend is Wednesday, February 14th. Resources Connection’s dividend payout ratio is currently 82.76%.
A number of hedge funds have recently made changes to their positions in the business. Grandeur Peak Global Advisors LLC lifted its stake in Resources Connection by 16.6% in the fourth quarter. Grandeur Peak Global Advisors LLC now owns 208,700 shares of the business services provider’s stock valued at $3,224,000 after acquiring an additional 29,700 shares during the last quarter. MetLife Investment Advisors LLC acquired a new stake in Resources Connection in the fourth quarter valued at $187,000. Municipal Employees Retirement System of Michigan lifted its stake in Resources Connection by 50.4% in the fourth quarter. Municipal Employees Retirement System of Michigan now owns 16,740 shares of the business services provider’s stock valued at $259,000 after acquiring an additional 5,610 shares during the last quarter. Macquarie Group Ltd. lifted its stake in Resources Connection by 29.1% in the fourth quarter. Macquarie Group Ltd. now owns 18,808 shares of the business services provider’s stock valued at $291,000 after acquiring an additional 4,236 shares during the last quarter. Finally, Greenhouse Funds LLLP acquired a new stake in Resources Connection in the fourth quarter valued at $3,513,000. Hedge funds and other institutional investors own 78.68% of the company’s stock.
Resources Connection Company Profile
Resources Connection, Inc is a multinational consulting firm. The Company’s operating entities primarily provide services under the name Resources Global Professionals (RGP). The Company provides consulting and business initiative support services to its global client base in the areas of accounting; finance; corporate governance, risk and compliance (GRC) management; corporate advisory, strategic communications and restructuring; information management; human capital; supply chain management, and legal and regulatory.
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