Zacks Investment Research Downgrades Resources Connection, Inc. (RECN) to Sell
Resources Connection, Inc. (NASDAQ:RECN) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued to investors on Tuesday.
According to Zacks, “Resources Connection, Inc. is a professional services firm that provides experienced accounting and finance, human resources management and information technology professionals to clients on a project-by-project basis. In accounting and finance, they assist clients with discrete projects requiring specialized professional expertise, such as mergers and acquisitions due diligence, financial analyses and tax-related projects. They also provide human resources management services and information technology services. “
Other research analysts have also issued reports about the company. TheStreet lowered Resources Connection from a “b-” rating to a “c+” rating in a research report on Friday, May 26th. Deutsche Bank AG decreased their price objective on Resources Connection from $14.00 to $12.00 and set a “sell” rating on the stock in a research report on Friday. Two equities research analysts have rated the stock with a sell rating and two have assigned a hold rating to the company. Resources Connection currently has a consensus rating of “Hold” and a consensus price target of $15.50.
Shares of Resources Connection (RECN) opened at 13.35 on Tuesday. Resources Connection has a one year low of $12.41 and a one year high of $19.80. The firm has a market cap of $395.99 million, a price-to-earnings ratio of 23.84 and a beta of 1.20. The stock has a 50 day moving average price of $13.60 and a 200 day moving average price of $15.01.
Resources Connection (NASDAQ:RECN) last announced its quarterly earnings data on Thursday, July 20th. The business services provider reported $0.20 EPS for the quarter, missing the Zacks’ consensus estimate of $0.22 by $0.02. The firm had revenue of $148.60 million during the quarter, compared to the consensus estimate of $148.46 million. Resources Connection had a net margin of 3.20% and a return on equity of 8.08%. The firm’s quarterly revenue was down 2.6% on a year-over-year basis. During the same quarter in the previous year, the business posted $0.23 earnings per share. On average, equities research analysts forecast that Resources Connection will post $0.70 EPS for the current year.
Several hedge funds and other institutional investors have recently bought and sold shares of RECN. BNP Paribas Arbitrage SA raised its position in Resources Connection by 1.2% in the first quarter. BNP Paribas Arbitrage SA now owns 8,542 shares of the business services provider’s stock valued at $143,000 after buying an additional 104 shares in the last quarter. Louisiana State Employees Retirement System raised its position in Resources Connection by 1.7% in the first quarter. Louisiana State Employees Retirement System now owns 12,100 shares of the business services provider’s stock valued at $203,000 after buying an additional 200 shares in the last quarter. Arizona State Retirement System raised its position in Resources Connection by 2.0% in the first quarter. Arizona State Retirement System now owns 15,495 shares of the business services provider’s stock valued at $260,000 after buying an additional 300 shares in the last quarter. Mason Street Advisors LLC raised its position in Resources Connection by 7.7% in the first quarter. Mason Street Advisors LLC now owns 6,950 shares of the business services provider’s stock valued at $116,000 after buying an additional 499 shares in the last quarter. Finally, Comerica Bank raised its position in Resources Connection by 3.7% in the first quarter. Comerica Bank now owns 32,829 shares of the business services provider’s stock valued at $468,000 after buying an additional 1,161 shares in the last quarter. Institutional investors and hedge funds own 83.91% 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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