Bank of New York Mellon Corp Takes $2 Million Position in Richardson Electronics, Ltd. $RELL

Key Points

• Bank of New York Mellon acquired 104,950 Richardson Electronics shares worth approximately $2.0 million, giving it a 0.72% stake. Institutional investors and hedge funds collectively own 71.95% of the company.
• Richardson Electronics reported quarterly EPS of $0.21, substantially above the $0.07 analyst consensus, while revenue of $66.2 million also exceeded estimates. Analysts have a consensus “Buy” rating with an average price target of $24.
• The company declared a quarterly dividend of $0.06, equivalent to $0.24 annually and a 1.4% yield. However, insiders sold 133,585 shares worth about $2.6 million over the past three months.

Bank of New York Mellon Corp acquired a new position in Richardson Electronics, Ltd. (NASDAQ:RELL - Free Report) in the second quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 104,950 shares of the technology company's stock, valued at approximately $1,995,000. Bank of New York Mellon Corp owned approximately 0.72% of Richardson Electronics at the end of the most recent quarter.

Other hedge funds have also recently bought and sold shares of the company. Aristides Capital LLC boosted its stake in shares of Richardson Electronics by 4.7% during the 4th quarter. Aristides Capital LLC now owns 20,940 shares of the technology company's stock worth $228,000 after acquiring an additional 940 shares in the last quarter. Empowered Funds LLC raised its stake in shares of Richardson Electronics by 7.6% in the 1st quarter. Empowered Funds LLC now owns 20,596 shares of the technology company's stock valued at $226,000 after acquiring an additional 1,454 shares in the last quarter. Nuveen LLC lifted its holdings in Richardson Electronics by 9.7% in the 4th quarter. Nuveen LLC now owns 16,970 shares of the technology company's stock worth $185,000 after purchasing an additional 1,507 shares during the last quarter. Bridgeway Capital Management LLC lifted its holdings in Richardson Electronics by 2.5% in the 4th quarter. Bridgeway Capital Management LLC now owns 65,753 shares of the technology company's stock worth $715,000 after purchasing an additional 1,587 shares during the last quarter. Finally, Tower Research Capital LLC TRC boosted its position in Richardson Electronics by 298.8% during the second quarter. Tower Research Capital LLC TRC now owns 4,160 shares of the technology company's stock worth $40,000 after purchasing an additional 3,117 shares during the period. 71.95% of the stock is owned by institutional investors and hedge funds.

Richardson Electronics Trading Up 1.7%

Shares of Richardson Electronics stock opened at $17.63 on Wednesday. Richardson Electronics, Ltd. has a 1 year low of $9.37 and a 1 year high of $23.15. The company's fifty day simple moving average is $18.15 and its 200-day simple moving average is $15.75. The company has a market cap of $258.98 million, a price-to-earnings ratio of 40.07, a PEG ratio of 1.37 and a beta of 1.25.

Richardson Electronics (NASDAQ:RELL - Get Free Report) last posted its quarterly earnings results on Wednesday, July 22nd. The technology company reported $0.21 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.07 by $0.14. The company had revenue of $66.20 million for the quarter, compared to analyst estimates of $55.37 million. Richardson Electronics had a net margin of 2.79% and a return on equity of 3.55%. As a group, research analysts forecast that Richardson Electronics, Ltd. will post 0.5 earnings per share for the current fiscal year.

Richardson Electronics Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, August 26th. Shareholders of record on Friday, August 7th were issued a $0.06 dividend. This represents a $0.24 annualized dividend and a yield of 1.4%. The ex-dividend date of this dividend was Friday, August 7th. Richardson Electronics's payout ratio is 54.55%.

Analyst Upgrades and Downgrades

Several equities analysts have commented on RELL shares. Zacks Research upgraded Richardson Electronics from a "hold" rating to a "strong-buy" rating in a report on Friday, July 24th. Weiss Ratings restated a "hold (c)" rating on shares of Richardson Electronics in a research note on Monday, July 20th. Northland Securities raised shares of Richardson Electronics from a "market perform" rating to an "outperform" rating and upped their price objective for the stock from $14.00 to $24.00 in a report on Tuesday, July 28th. Finally, Wall Street Zen upgraded shares of Richardson Electronics from a "hold" rating to a "buy" rating in a research note on Saturday, August 8th. One analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of "Buy" and an average price target of $24.00.

Insider Transactions at Richardson Electronics

In other Richardson Electronics news, Director Jacques Belin sold 5,000 shares of the firm's stock in a transaction dated Tuesday, August 4th. The shares were sold at an average price of $21.46, for a total transaction of $107,300.00. Following the completion of the transaction, the director owned 22,365 shares in the company, valued at $479,952.90. This trade represents a 18.27% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director James Benham sold 3,020 shares of Richardson Electronics stock in a transaction that occurred on Wednesday, August 19th. The shares were sold at an average price of $17.99, for a total value of $54,329.80. Following the sale, the director directly owned 19,345 shares in the company, valued at $348,016.55. The trade was a 13.50% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 133,585 shares of company stock worth $2,565,216. 31.65% of the stock is currently owned by company insiders.

Richardson Electronics Company Profile

Richardson Electronics, Ltd. NASDAQ: RELL is a global manufacturer, distributor and servicer of engineered components and subsystems for a diverse range of industrial, medical and scientific applications. The company specializes in vacuum electron devices, high-voltage power supplies and related electronic components, offering klystrons, traveling wave tubes, magnetrons, X-ray tubes, microwave amplifiers and power conversion products. Its solutions support customers in power grid management, semiconductor processing, medical imaging, scientific instrumentation and telecommunications.

In addition to its manufacturing capabilities, Richardson Electronics maintains a broad distribution network comprising thousands of standard and custom parts.

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