Resources Connection (RECN) Lifted to Buy at ValuEngine

ValuEngine upgraded shares of Resources Connection (NASDAQ:RECN) from a hold rating to a buy rating in a research report sent to investors on Thursday morning.

Several other equities analysts have also recently commented on RECN. TheStreet upgraded shares of Resources Connection from a c+ rating to a b- rating in a research report on Monday, July 2nd. BidaskClub cut shares of Resources Connection from a strong-buy rating to a buy rating in a research report on Saturday, June 30th. Finally, Zacks Investment Research cut shares of Resources Connection from a hold rating to a strong sell rating in a research report on Tuesday, July 24th. Three investment analysts have rated the stock with a sell rating, one has issued a hold rating, one has issued a buy rating and one has given a strong buy rating to the company. The stock presently has a consensus rating of Hold and a consensus price target of $16.00.

Shares of NASDAQ:RECN opened at $17.25 on Thursday. The company has a market capitalization of $528.32 million, a PE ratio of 17.60 and a beta of 1.07. The company has a quick ratio of 2.06, a current ratio of 2.06 and a debt-to-equity ratio of 0.23. Resources Connection has a 12 month low of $12.20 and a 12 month high of $17.95.

Resources Connection (NASDAQ:RECN) last issued its earnings results on Wednesday, July 18th. The business services provider reported $0.27 EPS for the quarter, missing the consensus estimate of $0.28 by ($0.01). The firm had revenue of $184.00 million during the quarter, compared to analyst estimates of $180.05 million. Resources Connection had a net margin of 2.88% and a return on equity of 10.03%. Resources Connection’s quarterly revenue was up 23.5% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.20 earnings per share. research analysts expect that Resources Connection will post 0.8 EPS for the current year.

The company also recently announced a quarterly dividend, which will be paid on Thursday, September 20th. Stockholders of record on Thursday, August 23rd will be given a $0.13 dividend. The ex-dividend date of this dividend is Wednesday, August 22nd. This is a boost from Resources Connection’s previous quarterly dividend of $0.12. This represents a $0.52 annualized dividend and a dividend yield of 3.01%. Resources Connection’s payout ratio is presently 53.06%.

Several large investors have recently modified their holdings of RECN. BlackRock Inc. grew its holdings in shares of Resources Connection by 5.9% during the 2nd quarter. BlackRock Inc. now owns 4,299,275 shares of the business services provider’s stock valued at $72,657,000 after purchasing an additional 239,567 shares during the last quarter. Dimensional Fund Advisors LP grew its holdings in shares of Resources Connection by 0.3% during the 2nd quarter. Dimensional Fund Advisors LP now owns 2,540,337 shares of the business services provider’s stock valued at $42,932,000 after purchasing an additional 8,244 shares during the last quarter. Northern Trust Corp grew its holdings in shares of Resources Connection by 2.2% during the 1st quarter. Northern Trust Corp now owns 389,118 shares of the business services provider’s stock valued at $6,305,000 after purchasing an additional 8,433 shares during the last quarter. Schwab Charles Investment Management Inc. grew its holdings in shares of Resources Connection by 5.2% during the 1st quarter. Schwab Charles Investment Management Inc. now owns 386,379 shares of the business services provider’s stock valued at $6,260,000 after purchasing an additional 19,101 shares during the last quarter. Finally, Deprince Race & Zollo Inc. grew its holdings in shares of Resources Connection by 40.9% during the 2nd quarter. Deprince Race & Zollo Inc. now owns 381,409 shares of the business services provider’s stock valued at $6,446,000 after purchasing an additional 110,687 shares during the last quarter. Institutional investors own 80.13% of the company’s stock.

Resources Connection Company Profile

Resources Connection, Inc provides business consulting services under the Resources Global Professionals name in North America, Europe, and the Asia Pacific. The company offers process transformation and optimization, financial reporting and analysis, technical and operational accounting, and merger and acquisition due diligence and integration services; new accounting standards implementation and remediation support services; and audit readiness, and preparation and response services.

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