Zacks Investment Research cut shares of Resources Connection (NASDAQ:RECN) from a buy rating to a hold rating in a research note released on Thursday morning.
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. “
A number of other research firms have also recently commented on RECN. BidaskClub raised Resources Connection from a hold rating to a buy rating in a research note on Thursday, January 11th. TheStreet raised Resources Connection from a c+ rating to a b rating in a research note on Thursday, January 4th. Robert W. Baird reissued a hold rating and issued a $15.00 target price on shares of Resources Connection in a research note on Friday, November 10th. Finally, JPMorgan Chase & Co. cut Resources Connection from a neutral rating to an underweight rating and set a $16.00 target price on the stock. in a research note on Thursday, January 4th. Two research analysts have rated the stock with a sell rating and three have given a hold rating to the company’s stock. The stock presently has a consensus rating of Hold and a consensus price target of $15.25.
Resources Connection (NASDAQ:RECN) last released its quarterly earnings results on Wednesday, January 3rd. The business services provider reported $0.25 earnings per share for the quarter, topping the consensus estimate of $0.20 by $0.05. The firm had revenue of $156.70 million for the quarter, compared to analysts’ expectations of $152.91 million. Resources Connection had a net margin of 5.19% and a return on equity of 13.14%. The business’s quarterly revenue was up 6.2% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.26 earnings per share. research analysts expect that Resources Connection will post 0.83 EPS for the current year.
The company also recently announced a quarterly dividend, which will be paid on Thursday, March 15th. Investors of record on Thursday, February 15th will be paid a $0.12 dividend. The ex-dividend date is Wednesday, February 14th. This represents a $0.48 dividend on an annualized basis and a yield of 3.04%. Resources Connection’s dividend payout ratio is presently 82.76%.
A number of institutional investors and hedge funds have recently added to or reduced their stakes in RECN. Brandes Investment Partners LP increased its stake in Resources Connection by 133.4% in the fourth quarter. Brandes Investment Partners LP now owns 889,448 shares of the business services provider’s stock valued at $13,742,000 after acquiring an additional 508,340 shares during the last quarter. Greenhouse Funds LLLP bought a new position in Resources Connection in the fourth quarter valued at $3,513,000. Amundi Pioneer Asset Management Inc. purchased a new stake in Resources Connection during the fourth quarter valued at about $3,184,000. BlackRock Inc. boosted its position in Resources Connection by 5.4% during the fourth quarter. BlackRock Inc. now owns 3,866,684 shares of the business services provider’s stock valued at $59,740,000 after buying an additional 198,853 shares during the period. Finally, Grandeur Peak Global Advisors LLC boosted its position in Resources Connection by 649.0% during the third quarter. Grandeur Peak Global Advisors LLC now owns 179,000 shares of the business services provider’s stock valued at $2,488,000 after buying an additional 155,100 shares during the period. 78.68% of the stock is currently owned by institutional investors and hedge funds.
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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