RCM Technologies (NASDAQ:RCMT) Upgraded to Buy at Wall Street Zen

Key Points

• RCM Technologies was upgraded from hold to buy by Wall Street Zen, adding to a mixed analyst picture that still leaves the stock at an overall Hold rating with an average $36 price target.
• The company’s shares were up 2.4% to $25.66, well below the 52-week high of $32.50 but above the 52-week low of $17.26.
• RCM Technologies recently posted better-than-expected earnings, reporting $0.80 EPS versus the $0.58 consensus, while revenue also came in ahead of estimates at $86.48 million.

RCM Technologies (NASDAQ:RCMT - Get Free Report) was upgraded by Wall Street Zen from a "hold" rating to a "buy" rating in a report issued on Sunday.

Several other analysts have also weighed in on RCMT. Zacks Research lowered RCM Technologies from a "strong-buy" rating to a "hold" rating in a report on Friday, June 5th. Weiss Ratings reissued a "hold (c)" rating on shares of RCM Technologies in a report on Friday, March 27th. Finally, Benchmark boosted their price objective on RCM Technologies from $32.00 to $36.00 and gave the company a "buy" rating in a report on Wednesday, April 8th. One research analyst has rated the stock with a Buy rating and two have given a Hold rating to the company's stock. According to MarketBeat.com, RCM Technologies presently has an average rating of "Hold" and an average price target of $36.00.

RCM Technologies Stock Up 2.4%

RCMT opened at $25.66 on Friday. RCM Technologies has a 52 week low of $17.26 and a 52 week high of $32.50. The company has a market cap of $181.88 million, a PE ratio of 12.10 and a beta of 0.34. The company has a quick ratio of 1.92, a current ratio of 1.92 and a debt-to-equity ratio of 0.65. The business has a 50 day moving average price of $26.46 and a two-hundred day moving average price of $22.05.

RCM Technologies (NASDAQ:RCMT - Get Free Report) last announced its earnings results on Friday, April 3rd. The business services provider reported $0.80 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.58 by $0.22. The business had revenue of $86.48 million for the quarter, compared to analyst estimates of $84.46 million. RCM Technologies had a return on equity of 37.76% and a net margin of 5.03%. As a group, research analysts anticipate that RCM Technologies will post 2.23 EPS for the current year.

Insider Buying and Selling

In other RCM Technologies news, CFO Kevin D. Miller sold 4,734 shares of RCM Technologies stock in a transaction that occurred on Monday, April 27th. The stock was sold at an average price of $32.00, for a total value of $151,488.00. Following the completion of the transaction, the chief financial officer directly owned 439,066 shares in the company, valued at $14,050,112. The trade was a 1.07% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Chairman Bradley Vizi sold 13,666 shares of the business's stock in a transaction that occurred on Tuesday, April 7th. The stock was sold at an average price of $27.55, for a total value of $376,498.30. Following the transaction, the chairman owned 1,497,477 shares of the company's stock, valued at approximately $41,255,491.35. This represents a 0.90% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 36,437 shares of company stock valued at $1,068,434. 28.00% of the stock is currently owned by insiders.

Hedge Funds Weigh In On RCM Technologies

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Renaissance Technologies LLC boosted its position in shares of RCM Technologies by 3.6% during the first quarter. Renaissance Technologies LLC now owns 434,877 shares of the business services provider's stock worth $8,324,000 after buying an additional 15,304 shares during the period. Vanguard Group Inc. boosted its position in shares of RCM Technologies by 3.1% during the third quarter. Vanguard Group Inc. now owns 279,889 shares of the business services provider's stock worth $7,431,000 after buying an additional 8,532 shares during the period. Pacific Ridge Capital Partners LLC boosted its position in shares of RCM Technologies by 40.7% during the fourth quarter. Pacific Ridge Capital Partners LLC now owns 258,231 shares of the business services provider's stock worth $5,280,000 after buying an additional 74,760 shares during the period. Dimensional Fund Advisors LP boosted its position in shares of RCM Technologies by 1.1% during the first quarter. Dimensional Fund Advisors LP now owns 169,945 shares of the business services provider's stock worth $3,253,000 after buying an additional 1,774 shares during the period. Finally, Punch & Associates Investment Management Inc. boosted its position in shares of RCM Technologies by 12.8% during the first quarter. Punch & Associates Investment Management Inc. now owns 153,511 shares of the business services provider's stock worth $2,938,000 after buying an additional 17,433 shares during the period. 43.20% of the stock is currently owned by institutional investors and hedge funds.

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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