Insider Selling: Richardson Electronics (NASDAQ:RELL) CFO Sells 9,500 Shares of Stock

Key Points

• Richardson Electronics CFO Robert Ben sold 9,500 shares of the company's stock on October 14th at an average price of $11.45, reducing his stake by 13.28% and retaining 62,034 shares valued at approximately $710,289.
• The company reported earnings of $0.13 per share for the quarter, exceeding analysts' expectations of $0.02, with revenue of $54.61 million compared to estimates of $51.51 million.
• Richardson Electronics declared a quarterly dividend of $0.06 per share, set to be paid on November 26th, representing a dividend yield of 2.1% despite a high dividend payout ratio of 2,400%.

Richardson Electronics, Ltd. (NASDAQ:RELL - Get Free Report) CFO Robert Ben sold 9,500 shares of the stock in a transaction on Tuesday, October 14th. The stock was sold at an average price of $11.45, for a total value of $108,775.00. Following the completion of the sale, the chief financial officer owned 62,034 shares in the company, valued at approximately $710,289.30. The trade was a 13.28% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink.

Richardson Electronics Stock Performance

RELL stock traded down $0.15 during midday trading on Thursday, reaching $11.55. The company's stock had a trading volume of 42,803 shares, compared to its average volume of 61,298. The stock has a fifty day simple moving average of $10.00 and a two-hundred day simple moving average of $9.59. Richardson Electronics, Ltd. has a 1 year low of $7.57 and a 1 year high of $15.51. The firm has a market capitalization of $167.36 million, a price-to-earnings ratio of 1,156.16, a PEG ratio of 1.80 and a beta of 0.97.

Richardson Electronics (NASDAQ:RELL - Get Free Report) last released its earnings results on Wednesday, October 8th. The technology company reported $0.13 earnings per share for the quarter, topping analysts' consensus estimates of $0.02 by $0.11. Richardson Electronics had a return on equity of 2.91% and a net margin of 0.08%.The business had revenue of $54.61 million for the quarter, compared to analyst estimates of $51.51 million. During the same quarter last year, the firm posted $0.04 earnings per share. As a group, analysts forecast that Richardson Electronics, Ltd. will post 0.27 EPS for the current fiscal year.

Richardson Electronics Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, November 26th. Stockholders of record on Friday, November 7th will be paid a dividend of $0.06 per share. The ex-dividend date is Friday, November 7th. This represents a $0.24 annualized dividend and a dividend yield of 2.1%. Richardson Electronics's dividend payout ratio (DPR) is currently 2,400.00%.

Institutional Investors Weigh In On Richardson Electronics

Institutional investors and hedge funds have recently modified their holdings of the company. First Wilshire Securities Management Inc. raised its position in Richardson Electronics by 43.5% during the first quarter. First Wilshire Securities Management Inc. now owns 748,474 shares of the technology company's stock valued at $8,353,000 after acquiring an additional 227,009 shares in the last quarter. Royce & Associates LP increased its position in shares of Richardson Electronics by 7.7% in the first quarter. Royce & Associates LP now owns 1,344,175 shares of the technology company's stock valued at $15,001,000 after buying an additional 95,899 shares in the last quarter. Strs Ohio purchased a new stake in shares of Richardson Electronics in the first quarter valued at approximately $289,000. Trexquant Investment LP increased its position in shares of Richardson Electronics by 78.2% in the first quarter. Trexquant Investment LP now owns 49,317 shares of the technology company's stock valued at $550,000 after buying an additional 21,646 shares in the last quarter. Finally, Nuveen LLC purchased a new stake in shares of Richardson Electronics in the first quarter valued at approximately $239,000. Institutional investors and hedge funds own 71.95% of the company's stock.

Analysts Set New Price Targets

RELL has been the topic of several research reports. Weiss Ratings restated a "sell (d+)" rating on shares of Richardson Electronics in a research note on Wednesday, October 8th. Zacks Research upgraded Richardson Electronics from a "hold" rating to a "strong-buy" rating in a research note on Friday, October 10th. One investment analyst has rated the stock with a Strong Buy rating, two have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Richardson Electronics presently has a consensus rating of "Hold".

Richardson Electronics Company Profile

Richardson Electronics, Ltd. engages in the provision of engineered solutions, power grid and microwave tube, and related consumables worldwide. The Power and Microwave Technologies segment manufactures electron tubes and radio frequency (RF), microwave and power components used in semiconductor manufacturing equipment, RF, and wireless and industrial power applications, as well as various applications including broadcast transmission, CO2 laser cutting, diagnostic imaging, dielectric and induction heating, energy transfer, high voltage switching, plasma, power conversion, radar, and radiation oncology.

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