Sidoti Forecasts Lower Earnings for Richardson Electronics

Key Points

• Sidoti lowered Richardson Electronics’ Q2 2027 EPS forecast to $0.09 from $0.10, while estimating full-year 2028 EPS at $0.61. Analysts collectively maintain a “Hold” rating with a $14.00 average price target.
• Richardson Electronics recently exceeded quarterly expectations, reporting $0.21 EPS versus the $0.07 consensus and revenue of $66.20 million compared with estimates of $55.37 million.
• The company declared a quarterly dividend of $0.06 per share, equivalent to an annualized $0.24 dividend and a 1.3% yield. Institutional investors own approximately 71.95% of the stock, while insiders own 33.40%.

Richardson Electronics, Ltd. (NASDAQ:RELL - Free Report) - Sidoti cut their Q2 2027 earnings per share estimates for shares of Richardson Electronics in a research note issued to investors on Friday, July 24th. Sidoti analyst A. Soderstrom now expects that the technology company will post earnings of $0.09 per share for the quarter, down from their previous forecast of $0.10. The consensus estimate for Richardson Electronics' current full-year earnings is $0.39 per share. Sidoti also issued estimates for Richardson Electronics' Q4 2027 earnings at $0.11 EPS, Q1 2028 earnings at $0.15 EPS and FY2028 earnings at $0.61 EPS.

Richardson Electronics (NASDAQ:RELL - Get Free Report) last announced its quarterly earnings data on Wednesday, July 22nd. The technology company reported $0.21 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.07 by $0.14. The company had revenue of $66.20 million for the quarter, compared to analysts' expectations of $55.37 million. Richardson Electronics had a return on equity of 3.57% and a net margin of 2.79%.

A number of other brokerages have also recently commented on RELL. Weiss Ratings reiterated a "hold (c)" rating on shares of Richardson Electronics in a research note on Monday, July 20th. Northland Securities set a $14.00 price objective on shares of Richardson Electronics in a research note on Friday, April 10th. Two analysts have rated the stock with a Hold rating, According to data from MarketBeat, the company has an average rating of "Hold" and an average target price of $14.00.

Richardson Electronics Stock Performance

NASDAQ:RELL opened at $17.96 on Monday. The stock has a market capitalization of $261.50 million, a PE ratio of 40.82, a P/E/G ratio of 1.84 and a beta of 1.26. Richardson Electronics has a 1-year low of $9.37 and a 1-year high of $23.15. The firm has a fifty day simple moving average of $17.40 and a 200 day simple moving average of $14.20.

Institutional Investors Weigh In On Richardson Electronics

Several institutional investors and hedge funds have recently bought and sold shares of RELL. Annis Gardner Whiting Capital Advisors LLC bought a new position in shares of Richardson Electronics in the 1st quarter valued at $1,095,000. First Wilshire Securities Management Inc. lifted its position in shares of Richardson Electronics by 13.9% during the 1st quarter. First Wilshire Securities Management Inc. now owns 671,998 shares of the technology company's stock worth $7,358,000 after buying an additional 82,054 shares during the last quarter. Lazard Asset Management LLC bought a new stake in shares of Richardson Electronics during the 1st quarter worth $697,000. Marshall Wace LLP acquired a new stake in Richardson Electronics in the fourth quarter valued at about $626,000. Finally, Walleye Capital LLC acquired a new stake in Richardson Electronics in the fourth quarter valued at about $497,000. Institutional investors own 71.95% of the company's stock.

Insiders Place Their Bets

In other Richardson Electronics news, Director Kenneth Halverson sold 10,000 shares of Richardson Electronics stock in a transaction on Tuesday, May 5th. The stock was sold at an average price of $14.69, for a total value of $146,900.00. Following the completion of the transaction, the director directly owned 14,345 shares of the company's stock, valued at $210,728.05. The trade was a 41.08% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Kathleen Mcnally sold 6,636 shares of Richardson Electronics stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $16.85, for a total value of $111,816.60. Following the completion of the transaction, the executive vice president directly owned 45,719 shares of the company's stock, valued at $770,365.15. This represents a 12.68% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 33.40% of the stock is owned by company insiders.

Richardson Electronics Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Wednesday, August 26th. Investors of record on Friday, August 7th will be given a dividend of $0.06 per share. The ex-dividend date of this dividend is Friday, August 7th. This represents a $0.24 dividend on an annualized basis and a yield of 1.3%. Richardson Electronics's dividend payout ratio is currently 54.55%.

Richardson Electronics Company Profile

Richardson Electronics, Ltd. NASDAQ: RELL is a global manufacturer, distributor and servicer of engineered components and subsystems for a diverse range of industrial, medical and scientific applications. The company specializes in vacuum electron devices, high-voltage power supplies and related electronic components, offering klystrons, traveling wave tubes, magnetrons, X-ray tubes, microwave amplifiers and power conversion products. Its solutions support customers in power grid management, semiconductor processing, medical imaging, scientific instrumentation and telecommunications.

In addition to its manufacturing capabilities, Richardson Electronics maintains a broad distribution network comprising thousands of standard and custom parts.

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