Northland Capmk Has Optimistic Outlook of RELL Q3 Earnings

Key Points

• Northland Capmk has increased its Q3 2026 earnings estimate for Richardson Electronics from $0.08 to $0.10 per share, while projecting FY2026 earnings at $0.32 EPS.
• Richardson Electronics reported $0.13 EPS for the last quarter, significantly above the consensus estimate of $0.02, with revenues hitting $54.61 million.
• The company announced a quarterly dividend of $0.06 per share, representing an annualized yield of 2.1%, indicating a high dividend payout ratio of 2,400%.

Richardson Electronics, Ltd. (NASDAQ:RELL - Free Report) - Equities researchers at Northland Capmk boosted their Q3 2026 earnings estimates for Richardson Electronics in a research report issued to clients and investors on Friday, October 10th. Northland Capmk analyst B. Brooks now forecasts that the technology company will post earnings of $0.10 per share for the quarter, up from their previous estimate of $0.08. The consensus estimate for Richardson Electronics' current full-year earnings is $0.27 per share. Northland Capmk also issued estimates for Richardson Electronics' Q4 2026 earnings at $0.09 EPS and FY2026 earnings at $0.32 EPS.

Separately, Weiss Ratings restated a "sell (d+)" rating on shares of Richardson Electronics in a report on Wednesday, October 8th. Two research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Reduce".

Richardson Electronics Trading Down 5.1%

Shares of Richardson Electronics stock opened at $11.25 on Monday. The company's 50-day moving average price is $9.89 and its two-hundred day moving average price is $9.56. Richardson Electronics has a 52 week low of $7.57 and a 52 week high of $15.51. The stock has a market cap of $163.01 million, a PE ratio of 1,126.13, a price-to-earnings-growth ratio of 1.73 and a beta of 0.97.

Richardson Electronics (NASDAQ:RELL - Get Free Report) last issued its quarterly earnings results on Wednesday, October 8th. The technology company reported $0.13 EPS for the quarter, topping the consensus estimate of $0.02 by $0.11. Richardson Electronics had a net margin of 0.08% and a return on equity of 2.91%. The firm had revenue of $54.61 million for the quarter, compared to analysts' expectations of $51.51 million. During the same period in the previous year, the business earned $0.04 earnings per share.

Richardson Electronics Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, November 26th. Stockholders of record on Friday, November 7th will be issued a $0.06 dividend. The ex-dividend date is Friday, November 7th. This represents a $0.24 dividend on an annualized basis and a dividend yield of 2.1%. Richardson Electronics's dividend payout ratio is currently 2,400.00%.

Insider Buying and Selling at Richardson Electronics

In other news, EVP Kathleen Mcnally sold 8,417 shares of the company's stock in a transaction dated Tuesday, August 12th. The stock was sold at an average price of $10.01, for a total value of $84,254.17. Following the transaction, the executive vice president owned 45,719 shares in the company, valued at $457,647.19. This represents a 15.55% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 33.40% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Richardson Electronics

A number of large investors have recently made changes to their positions in the business. Tower Research Capital LLC TRC increased its holdings in shares of Richardson Electronics by 298.8% in the 2nd quarter. Tower Research Capital LLC TRC now owns 4,160 shares of the technology company's stock valued at $40,000 after purchasing an additional 3,117 shares during the period. Engineers Gate Manager LP acquired a new position in shares of Richardson Electronics in the 2nd quarter valued at about $103,000. Bridgeway Capital Management LLC increased its holdings in shares of Richardson Electronics by 46.5% in the 2nd quarter. Bridgeway Capital Management LLC now owns 49,536 shares of the technology company's stock valued at $478,000 after purchasing an additional 15,725 shares during the period. Raymond James Financial Inc. bought a new stake in shares of Richardson Electronics in the 2nd quarter valued at approximately $57,000. Finally, First Wilshire Securities Management Inc. grew its stake in shares of Richardson Electronics by 12.0% in the 2nd quarter. First Wilshire Securities Management Inc. now owns 838,077 shares of the technology company's stock valued at $8,087,000 after buying an additional 89,603 shares in the last quarter. Institutional investors and hedge funds own 71.95% of the company's stock.

About Richardson Electronics

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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