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Resources Connection, Inc. (RGP)
NASDAQIndustrialsConsulting ServicesSnapshot 2026-06-16
Watch· this week
$4.39+0.69%
Close 2026-06-16 · 1-day change
Recent financial performance sits well below its industry cohort — worth keeping an eye on, though it has not freshly broken.
The bottom line
Recent financial performance is weak. Earnings quality cannot be assessed since the company was unprofitable over the past year. Management's recent track record has been unsteady, with frequent changes. Risk is elevated, and the sector backdrop is a headwind. Peer multiples imply a price about 78% above where it trades (it looks cheap on this basis); the read is cheap, value-trap risk. This pattern occurs because it trades below peer multiples, but recent financials are weak. The read is provisional.
as of 2026-06-16
Quick facts
- Exchange
- NASDAQ
- Sector
- Industrials
- Industry
- Consulting Services
- Market cap
- $159.63M
- Employees
- 3,100
- IPO date
- 2000-09-01
- Next earnings
- 2026-07-23
Price
Daily closes. Earnings/event dots are placed inline.
Adjusted daily closes (split & dividend). Scroll over the chart to zoom; click a range to reset.
EarningsMaterial event
What's priced in
(what the market already expects)What it's worth (estimated)
A consensus fair price across 2 valuation methods, at three horizons. Current price $4.39. Estimates are diagnostics, not price targets. Short-horizon estimates are close to coin-flips, so confidence is a method-agreement read, not a prediction.
12-month· primaryinexpensive
$20.07consensus
Range $15.14 – $25.00
vs price: -78% below
Method agreement — · 2 methods
No-growth: today's peer multiple on trailing earnings. The headline read.
3-yearinexpensive
$10.13consensus
Range $5.92 – $14.34
vs price: -57% below
Method agreement — · 2 methods
Embeds projected growth. Leans optimistic by design. Upside context.
5-yearinexpensive
How much to trust our fair value
We take the 12-month fair value above and grade our own number — how the market prices this name versus what we'd justify, and where the two diverge.
Cheap vs peerslow confidence
At $4.36 RGP trades at 0× p/s, below its 2× p/s peer median. Our $20 fair value sits above the price; low confidence. Not investment advice.
Multiple (P/S)
0.3x
peer 1.9x · own history —
Premium
0.2x peer
Growth the price needs
-78%
our forecast -14%
Our fair value
$19.56
range $14.89 – $24.22
WhyEarnings too small for P/EPeer anchor overstates the discount
How this stock is priced
One valuation read at a 12-month horizon, plus how price compares to peers and the company's own history.
Long-term · 1–3 yr
inexpensivecheap — value-trap risk12-month view
What's priced inJustified
The price implies about 78% below a flat-multiple fair value, below our forecast of about -14%. This describes what's priced in, not a forecast of the move.
TTM earnings are negative, so the read leans on sales- and cash-flow-based methods rather than P/E. This is a data condition, not a forward call.
Low fragilityrisk posture, not a price call
No fragility gates fired.
Historical context
How strong is the business
(quality & execution)Factor signals
Each factor is a parallel diagnostic with a clear read of what it shows and how names like it have historically fared. Never aggregated into a single score.
Recent financial performance
weakOperating income rose in 2 of the last 3 quarter-over-quarter moves. Historically, Industrials names rated weak grew net income 58% of the time over the next year (vs 62% for the rest of the cohort, n=3678).
27th pctl · Industrials
Earnings quality
loss makingOver the trailing year it converted -0.16x of net income into operating cash flow.
Macro sensitivity
Most sensitive to the broad stock market.
- the broad stock market: This stock moves with the broad market (high beta).
Not enough signal to read sensitivity to the US dollar, long-term interest rates, Fed net liquidity, real (inflation-adjusted) rates.
Management & capital allocation
volatileEarnings setup & market context
The next print and the backdrop around it (sector regime and the AI cycle). Context for the path, not a forecast of returns.
Earnings setup · pre-print positioning
forward-looking
Strongly bearishEPS revised -266.7% / 30d, n=1for period ending 2026-08-31
Why this setup
Consensus revisions
EPS estimate $0.03 → $-0.05 (-266.7% / 30d). 0 raised, 0 cut, 1 covering analysts.
Rating actions
0 upgrades, 0 downgrades / 30d. 50% of analysts rate Buy.
Sector context
Intermediate · WeeklySector phase: industrials is in maturing, with decelerating (~3.2 years in phase).
Sector regime (90d momentum): headwind.Secular epoch: Growth by revenue growth · theme aerospace-recovery.Management scorecard
How management runs the business: capital, margins, balance sheet, and how reliably they guide and deliver.
Long-term · 1–3 yr
Overall: weak
- Capital allocation
- weak
- Earnings discipline
- weak
- Margin discipline
- weak
- Balance sheet
- weak
- Post-call reaction
- weak
A guidance track record builds as the company issues and delivers on guidance.
How bumpy is the path
(risk while you hold it)Risk: how this stock moves
What a normal day, a bad day, and the worst of the last year would mean for a $10,000 position.
Intermediate · WeeklyLong-term · 1–3 yr
On a typical day, $10k can swing ±$186.
How much price usually moves either way.
On a bad day, this stock has moved -$436.
A rough but not unusual down day (about the 95th percentile).
In the worst 12 months, $10k could have lost $3,979.
Deepest peak-to-trough drop in the last year.
elevatedas of 2026-06-16
Past results, not a forecast. Not investment advice.
What would change the read
(catalysts & re-read triggers)What changed
The most important moves since the prior daily snapshot.
Short-term · Daily
- No material changes since the prior snapshot.
No material changes since the prior snapshot.
as of 2026-06-16
What to watch next
Specific, dated things to watch for, each with what would confirm it and what would prove it wrong.
Intermediate · Weekly
- UpsideMedium confidenceQuartersactive 4d
Watch for sector growth speeding up above 5%.
Why it matters: If sector growth gets better, Resources Connection may earn more money.
What confirms / what disproves
Confirms:Sector revenue growth exceeds 5% in the next quarter.
Disproves:Sector revenue growth stays below 5% or keeps slowing down.
Sector context
as of 2026-06-15
News catalysts
Recent news graded against this company's own objectives — whether it reinforces or challenges the thesis, and how confirmed it is.
No graded news catalysts for RGP yet.
This sector is also watching
- Watch for impacts from upcoming FOMC decisions
- Watch for revenue growth speeding up in Industrials
What could change this view
Conditional scenarios: if X happens, the view would shift in this direction. These are not predictions.
Intermediate · Weekly
Upside triggers
- If sector bellwethers like VRSK, EFX, and BAH keep beating earnings and guiding higher, the Industrials sector momentum should keep lifting RGP and other Industrials names. Worth watching these names for early signals.
- If RGP beats again next quarter like it did this past one (a solid beat of +18% on the 2026-02-28 print), the momentum tends to extend, with Street estimates ratcheting up and the stock typically following.
- If the Fed starts cutting rates from the current 3.62%, that would be a tailwind for RGP and other Industrials names, since rate-sensitive parts of the market tend to rally when the Fed eases.
Downside triggers
- If sector bellwethers like VRSK, EFX, and BAH start missing or guiding lower, the Industrials tailwind helping RGP and other Industrials names could fade. Watch these names for early warning.
- If GDP growth slows materially from the current 2.6% (say, below 2%), it hits RGP and other Industrials names harder than the average stock, since the sector is growth-sensitive.
Recent events
(material 8-K / filing activity)Material updates
Recent SEC 8-K filings ranked by likely impact, confidence, and recency.
- 2026-05-051mo agoItem 5.02
Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers On May 5, 2026, Resources Connection, Inc. (the “Company”) announced the retirement of A. Robert Pisano and Robert Kistinger from the Company’s Board of Directors (the “Board”) effective immediately prior to the Company’s 2026 Annual Meeting of Stockholders. Both Messrs. Pisano and Kistinger intend to remain on the Board until the Company’s 2026 Ann…
Executive changeneutral
Score history
Whether the overall read has been drifting up or down lately, and how it's changed since last week.
-0.7 vs last weeklatest as of 2026-06-17
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.