Resources Connection, Inc. provides consulting services to business customers under the Resources Global Professionals name in North America, Europe, and the Asia Pacific.
Resources Connection Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$15.00|
|52 Week High||US$10.61|
|52 Week Low||US$16.50|
|1 Month Change||-1.25%|
|3 Month Change||4.75%|
|1 Year Change||26.26%|
|3 Year Change||-10.98%|
|5 Year Change||1.97%|
|Change since IPO||87.50%|
Recent News & Updates
Resources Connection: Shares Primed To Finally Break Out
Shares have been consolidating for more than a decade now. Sound restructuring and renewed demand look to be moving the needle here. We will enter on a clear breakout.
Resources Connection (NASDAQ:RGP) Has Announced A Dividend Of US$0.14
The board of Resources Connection, Inc. ( NASDAQ:RGP ) has announced that it will pay a dividend on the 23rd of...
A Look At The Fair Value Of Resources Connection, Inc. (NASDAQ:RGP)
Today we will run through one way of estimating the intrinsic value of Resources Connection, Inc. ( NASDAQ:RGP ) by...
|RGP||US Professional Services||US Market|
Return vs Industry: RGP underperformed the US Professional Services industry which returned 28.7% over the past year.
Return vs Market: RGP underperformed the US Market which returned 33.7% over the past year.
Stable Share Price: RGP is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: RGP's weekly volatility (6%) has been stable over the past year.
About the Company
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. It also provides transformations services comprising finance transformation, digital transformation, supply chain management, cloud migration, and data design and analytics.
Resources Connection Fundamentals Summary
|RGP fundamental statistics|
Is RGP overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|RGP income statement (TTM)|
|Cost of Revenue||US$388.11m|
Last Reported Earnings
May 29, 2021
Next Earnings Date
|Earnings per share (EPS)||0.78|
|Net Profit Margin||4.01%|
How did RGP perform over the long term?See historical performance and comparison
3.7%Current Dividend Yield
Is Resources Connection undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: RGP ($15) is trading below our estimate of fair value ($17.06)
Significantly Below Fair Value: RGP is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: RGP is good value based on its PE Ratio (19.7x) compared to the US Professional Services industry average (25.8x).
PE vs Market: RGP is poor value based on its PE Ratio (19.7x) compared to the US market (17.8x).
Price to Earnings Growth Ratio
PEG Ratio: RGP is good value based on its PEG Ratio (0.9x)
Price to Book Ratio
PB vs Industry: RGP is good value based on its PB Ratio (1.5x) compared to the US Professional Services industry average (3x).
How is Resources Connection forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: RGP's forecast earnings growth (21.9% per year) is above the savings rate (2%).
Earnings vs Market: RGP's earnings (21.9% per year) are forecast to grow faster than the US market (14.9% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: RGP's revenue (9% per year) is forecast to grow slower than the US market (9.7% per year).
High Growth Revenue: RGP's revenue (9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: RGP's Return on Equity is forecast to be low in 3 years time (10.8%).
How has Resources Connection performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RGP has a large one-off loss of $11.5M impacting its May 29 2021 financial results.
Growing Profit Margin: RGP's current net profit margins (4%) are lower than last year (4%).
Past Earnings Growth Analysis
Earnings Trend: RGP's earnings have declined by 1.7% per year over the past 5 years.
Accelerating Growth: RGP's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: RGP had negative earnings growth (-11%) over the past year, making it difficult to compare to the Professional Services industry average (19%).
Return on Equity
High ROE: RGP's Return on Equity (7.7%) is considered low.
How is Resources Connection's financial position?
Financial Position Analysis
Short Term Liabilities: RGP's short term assets ($235.3M) exceed its short term liabilities ($100.9M).
Long Term Liabilities: RGP's short term assets ($235.3M) exceed its long term liabilities ($90.2M).
Debt to Equity History and Analysis
Debt Level: RGP's debt to equity ratio (13%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if RGP's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: RGP's debt is well covered by operating cash flow (92.9%).
Interest Coverage: RGP's interest payments on its debt are well covered by EBIT (22.3x coverage).
What is Resources Connection current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: RGP's dividend (3.73%) is higher than the bottom 25% of dividend payers in the US market (1.34%).
High Dividend: RGP's dividend (3.73%) is in the top 25% of dividend payers in the US market (3.58%)
Stability and Growth of Payments
Stable Dividend: RGP's dividends per share have been stable in the past 10 years.
Growing Dividend: RGP's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (72%), RGP's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: RGP's dividends in 3 years are forecast to be well covered by earnings (34.5% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Kate Duchene (58 yo)
Ms. Kate W. Duchene has been Chief Executive Officer of Resources Connection, Inc. since December 19, 2016. Ms. Duchene serves as Executive Vice President and Chief Legal Officer of Resources Connection LL...
CEO Compensation Analysis
Compensation vs Market: Kate's total compensation ($USD2.91M) is above average for companies of similar size in the US market ($USD1.69M).
Compensation vs Earnings: Kate's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Experienced Management: RGP's management team is considered experienced (2.4 years average tenure).
Experienced Board: RGP's board of directors are seasoned and experienced ( 12.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.4%.
Resources Connection, Inc.'s employee growth, exchange listings and data sources
- Name: Resources Connection, Inc.
- Ticker: RGP
- Exchange: NasdaqGS
- Founded: 1996
- Industry: Research and Consulting Services
- Sector: Commercial Services
- Market Cap: US$497.801m
- Shares outstanding: 33.19m
- Website: https://rgp.com
Number of Employees
- Resources Connection, Inc.
- 17101 Armstrong Avenue
- Suite 100
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/09/16 22:48|
|End of Day Share Price||2021/09/16 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.