RCM Technologies (NASDAQ:RCMT) Shares Pass Above 200-Day Moving Average - What's Next?

Key Points

• RCM Technologies shares moved above their 200-day moving average, reaching $40.40 and last trading at $40.11 versus the $27.55 average.
• Analysts raised price targets to $45, with the stock carrying a consensus “Buy” rating; recent quarterly EPS of $0.82 and revenue of $93.82 million both exceeded expectations.
• Insiders sold 219,997 shares worth approximately $8.24 million over the past 90 days, while institutional investors own 43.2% of the company.

RCM Technologies, Inc. (NASDAQ:RCMT - Get Free Report) shares crossed above its 200-day moving average during trading on Friday . The stock has a 200-day moving average of $27.55 and traded as high as $40.40. RCM Technologies shares last traded at $40.11, with a volume of 68,151 shares traded.

Analysts Set New Price Targets

A number of research analysts have recently weighed in on RCMT shares. Benchmark increased their price objective on RCM Technologies from $36.00 to $45.00 and gave the company a "buy" rating in a report on Monday, August 17th. B. Riley Financial upped their target price on RCM Technologies from $40.00 to $45.00 and gave the company a "buy" rating in a research report on Monday, August 17th. Weiss Ratings reiterated a "hold (c+)" rating on shares of RCM Technologies in a report on Friday, July 17th. Wall Street Zen raised shares of RCM Technologies from a "hold" rating to a "strong-buy" rating in a research report on Sunday, August 16th. Finally, Zacks Research upgraded shares of RCM Technologies from a "hold" rating to a "strong-buy" rating in a research note on Monday, August 24th. One analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and one has assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of "Buy" and a consensus price target of $45.00.

RCM Technologies Price Performance

The stock has a 50 day simple moving average of $33.38 and a two-hundred day simple moving average of $27.55. The firm has a market cap of $285.18 million, a PE ratio of 17.44 and a beta of 0.32. The company has a debt-to-equity ratio of 0.48, a quick ratio of 1.92 and a current ratio of 1.92.

RCM Technologies (NASDAQ:RCMT - Get Free Report) last issued its quarterly earnings data on Thursday, August 13th. The business services provider reported $0.82 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.62 by $0.20. The business had revenue of $93.82 million during the quarter, compared to analysts' expectations of $81.75 million. RCM Technologies had a return on equity of 37.92% and a net margin of 5.13%. Sell-side analysts expect that RCM Technologies, Inc. will post 2.6 earnings per share for the current year.

Insider Buying and Selling at RCM Technologies

In other news, insider Michael Saks sold 11,792 shares of the firm's stock in a transaction that occurred on Friday, August 14th. The shares were sold at an average price of $33.56, for a total transaction of $395,739.52. Following the sale, the insider owned 99,307 shares of the company's stock, valued at $3,332,742.92. This trade represents a 10.61% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Chairman Bradley Vizi sold 74,719 shares of RCM Technologies stock in a transaction that occurred on Monday, August 17th. The shares were sold at an average price of $38.86, for a total transaction of $2,903,580.34. Following the transaction, the chairman directly owned 1,402,477 shares of the company's stock, valued at approximately $54,500,256.22. This trade represents a 5.06% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 219,997 shares of company stock valued at $8,238,837. 28.00% of the stock is owned by company insiders.

Institutional Trading of RCM Technologies

A number of hedge funds have recently added to or reduced their stakes in the company. BNP Paribas Financial Markets increased its holdings in RCM Technologies by 44.1% in the second quarter. BNP Paribas Financial Markets now owns 1,892 shares of the business services provider's stock valued at $45,000 after buying an additional 579 shares in the last quarter. California State Teachers Retirement System raised its position in shares of RCM Technologies by 570.9% in the second quarter. California State Teachers Retirement System now owns 1,778 shares of the business services provider's stock worth $50,000 after acquiring an additional 1,513 shares during the period. JPMorgan Chase & Co. boosted its stake in shares of RCM Technologies by 1,241.0% during the 2nd quarter. JPMorgan Chase & Co. now owns 2,320 shares of the business services provider's stock worth $55,000 after acquiring an additional 2,147 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. purchased a new stake in shares of RCM Technologies during the 3rd quarter worth about $60,000. Finally, Lazard Asset Management LLC acquired a new stake in shares of RCM Technologies during the 2nd quarter valued at about $77,000. 43.20% of the stock is owned by hedge funds and other institutional investors.

About RCM Technologies

RCM Technologies, Inc NASDAQ: RCMT is an information technology consulting firm that specializes in delivering secure, enterprise-level technology solutions. The company's core offerings include IT infrastructure design and integration, data center modernization, cloud migration and management, cybersecurity services, and digital collaboration platforms. RCM Technologies serves clients across federal and commercial markets, tailoring its services to meet the strict security and compliance requirements of government agencies as well as the performance and scalability needs of private-sector organizations.

Founded in the mid-1980s and headquartered in Dresher, Pennsylvania, RCM Technologies has built a reputation for end-to-end project delivery, from initial assessment and design through implementation and ongoing managed support.

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