Resources Connection (NASDAQ:RGP) Releases Quarterly Earnings Results, Beats Expectations By $0.08 EPS

Key Points

• Resources Connection reported earnings of ($0.04) per share for the quarter, outperforming analysts' expectations of ($0.15) by $0.11.
• The company recently declared a quarterly dividend of $0.07 per share, reflecting a 5.7% yield based on an annualized dividend of $0.28.
• Analysts have mixed ratings on the stock, with one analyst issuing a "buy" rating and two recommending a "sell," resulting in a consensus rating of "Reduce".

Resources Connection (NASDAQ:RGP - Get Free Report) released its quarterly earnings data on Wednesday. The company reported ($0.07) earnings per share for the quarter, beating the consensus estimate of ($0.15) by $0.08, RTT News reports. The company had revenue of $120.23 million during the quarter, compared to analyst estimates of $119.97 million. Resources Connection had a negative net margin of 34.78% and a positive return on equity of 0.31%.

Resources Connection Trading Up 2.1%

RGP stock opened at $4.95 on Thursday. The company's 50 day moving average is $4.96 and its 200 day moving average is $5.33. The stock has a market cap of $165.18 million, a price-to-earnings ratio of -0.85, a price-to-earnings-growth ratio of 2.69 and a beta of 0.62. Resources Connection has a 1-year low of $4.44 and a 1-year high of $9.96.

Resources Connection Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, September 26th. Stockholders of record on Friday, August 29th were issued a $0.07 dividend. This represents a $0.28 dividend on an annualized basis and a dividend yield of 5.7%. The ex-dividend date of this dividend was Friday, August 29th. Resources Connection's dividend payout ratio is presently -4.81%.

Institutional Investors Weigh In On Resources Connection

A number of institutional investors have recently made changes to their positions in the business. AQR Capital Management LLC boosted its stake in shares of Resources Connection by 13.0% in the 1st quarter. AQR Capital Management LLC now owns 714,138 shares of the company's stock valued at $4,670,000 after purchasing an additional 82,099 shares in the last quarter. Ameriprise Financial Inc. boosted its stake in shares of Resources Connection by 25.5% in the 2nd quarter. Ameriprise Financial Inc. now owns 480,170 shares of the company's stock valued at $2,579,000 after purchasing an additional 97,602 shares in the last quarter. Bridgeway Capital Management LLC boosted its stake in shares of Resources Connection by 3.0% in the 2nd quarter. Bridgeway Capital Management LLC now owns 377,146 shares of the company's stock valued at $2,025,000 after purchasing an additional 11,077 shares in the last quarter. Goldman Sachs Group Inc. increased its stake in shares of Resources Connection by 30.7% in the first quarter. Goldman Sachs Group Inc. now owns 262,248 shares of the company's stock worth $1,715,000 after buying an additional 61,580 shares during the period. Finally, Bank of America Corp DE increased its stake in shares of Resources Connection by 4.3% in the second quarter. Bank of America Corp DE now owns 255,277 shares of the company's stock worth $1,371,000 after buying an additional 10,524 shares during the period. Hedge funds and other institutional investors own 93.23% of the company's stock.

Analysts Set New Price Targets

A number of brokerages have commented on RGP. Wall Street Zen raised shares of Resources Connection from a "strong sell" rating to a "hold" rating in a report on Saturday, July 26th. Northcoast Research initiated coverage on shares of Resources Connection in a report on Wednesday, September 24th. They set a "buy" rating and a $7.00 price objective on the stock. Finally, Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Resources Connection in a report on Wednesday. One investment analyst has rated the stock with a Buy rating and two have given a Sell rating to the company. According to data from MarketBeat, Resources Connection has an average rating of "Reduce" and an average target price of $6.00.

About Resources Connection

Resources Connection, Inc provides consulting services to business customers under the Resources Global Professionals name in North America, Europe, and the Asia Pacific. The company offers services in the areas of transactions, including integration and divestitures, bankruptcy/restructuring, going public readiness and support, financial process optimization, and system implementation; and regulations, such as accounting regulations, internal audit and compliance, data privacy and security, healthcare compliance, and regulatory compliance.