Kforce (NASDAQ:KFRC) Shares Gap Down Following Weak Earnings

Shares of Kforce Inc. (NASDAQ:KFRC - Get Free Report) gapped down prior to trading on Tuesday following a dissappointing earnings announcement. The stock had previously closed at $42.76, but opened at $39.70. Kforce shares last traded at $39.05, with a volume of 15,221 shares trading hands.

The business services provider reported $0.45 EPS for the quarter, missing the consensus estimate of $0.48 by ($0.03). The company had revenue of $330.03 million for the quarter, compared to the consensus estimate of $334.61 million. Kforce had a net margin of 3.59% and a return on equity of 30.34%. Kforce's revenue for the quarter was down 6.2% compared to the same quarter last year. During the same period last year, the company earned $0.58 earnings per share.

Kforce Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, June 27th. Shareholders of record on Friday, June 13th will be issued a $0.39 dividend. The ex-dividend date is Friday, June 13th. This represents a $1.56 annualized dividend and a yield of 4.03%. Kforce's dividend payout ratio is currently 61.18%.

Analyst Upgrades and Downgrades

Several analysts have recently issued reports on the company. StockNews.com lowered Kforce from a "buy" rating to a "hold" rating in a report on Friday. UBS Group decreased their price target on shares of Kforce from $47.00 to $40.00 and set a "neutral" rating for the company in a research report on Wednesday. Finally, Truist Financial dropped their price target on shares of Kforce from $58.00 to $50.00 and set a "hold" rating on the stock in a research report on Tuesday, April 15th.

Institutional Trading of Kforce

A number of institutional investors and hedge funds have recently modified their holdings of the business. Tributary Capital Management LLC raised its position in Kforce by 9.3% in the first quarter. Tributary Capital Management LLC now owns 462,268 shares of the business services provider's stock worth $22,600,000 after acquiring an additional 39,338 shares during the period. Signaturefd LLC increased its stake in Kforce by 1,069.1% in the first quarter. Signaturefd LLC now owns 795 shares of the business services provider's stock valued at $39,000 after acquiring an additional 727 shares during the last quarter. MQS Management LLC bought a new position in shares of Kforce during the 1st quarter valued at about $589,000. Alps Advisors Inc. raised its holdings in shares of Kforce by 7.7% during the 1st quarter. Alps Advisors Inc. now owns 42,503 shares of the business services provider's stock valued at $2,078,000 after buying an additional 3,050 shares in the last quarter. Finally, Envestnet Asset Management Inc. lifted its position in Kforce by 5.4% in the 1st quarter. Envestnet Asset Management Inc. now owns 175,433 shares of the business services provider's stock worth $8,577,000 after buying an additional 8,995 shares during the last quarter. 92.77% of the stock is owned by hedge funds and other institutional investors.

Kforce Price Performance

The firm has a market capitalization of $739.40 million, a P/E ratio of 14.44 and a beta of 0.76. The business's 50-day simple moving average is $46.84 and its 200 day simple moving average is $53.10. The company has a quick ratio of 2.06, a current ratio of 2.06 and a debt-to-equity ratio of 0.16.

Kforce Company Profile

Kforce Inc provides professional staffing services and solutions in the United States. It operates through two segments, Technology, and Finance and Accounting (FA). The Technology segment provides talent solutions to its clients primarily in the areas of information technology, such as systems/applications architecture and development, data management and analytics, business and artificial intelligence, machine learning, project and program management, and network architecture and security.