WallStSmart

Resources Connection Inc (RGP) Stock Analysis — PE Ratio, PS Ratio, Intrinsic Value & 2030 Price Target

Resources Connection Inc stock (RGP) is currently trading at $3.68. Resources Connection Inc PS ratio (Price-to-Sales) is 0.25. Analyst consensus price target for RGP is $6.88. WallStSmart rates RGP as Underperform.

  • RGP PE ratio analysis and historical PE chart
  • RGP PS ratio (Price-to-Sales) history and trend
  • RGP intrinsic value — DCF, Graham Number, EPV models
  • RGP stock price prediction 2025 2026 2027 2028 2029 2030
  • RGP fair value vs current price
  • RGP insider transactions and insider buying
  • Is RGP undervalued or overvalued?
  • Resources Connection Inc financial analysis — revenue, earnings, cash flow
  • RGP Piotroski F-Score and Altman Z-Score
  • RGP analyst price target and Smart Rating
RGP

Resources Connection Inc

NASDAQINDUSTRIALS
$3.68
$0.03 (-0.81%)
52W$3.42
$6.44
Target$6.88+87.0%

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WallStSmart

Smart Analysis

Resources Connection Inc (RGP) · 10 metrics scored

Smart Score

46
out of 100
Grade: D+
Hold
Investment Rating

Category Performance

WallStSmart pulls financial metrics like revenue growth, profit margins, and valuation ratios and scores each one from 0 to 10 based on how strong or weak it is. Those 10 scores are grouped into 4 categories: Growth, Profitability, Valuation, and Quality — which form the 4 axes of the spider chart you see. The categories are then combined into a final score out of 100, but not equally. Growth and Profitability together count for 60% of the total, because a fast-growing profitable business matters more than just a cheap one. That final number maps to a rating (Strong Buy, Buy, Hold, Avoid) and a letter grade, giving you one clear Stock Rating.

Investment Thesis

Strong fundamentals in peg ratio, price/sales, price/book. Concerns around market cap and return on equity. Mixed signals suggest waiting for clearer direction before acting.

Resources Connection Inc (RGP) Key Strengths (4)

Avg Score: 10.0/10
PEG RatioValuation
0.8010/10

Growing significantly faster than its price suggests

Price/SalesValuation
0.2510/10

Paying less than $1 for every $1 of annual revenue

Price/BookValuation
0.6410/10

Trading below book value, meaning the market prices it less than net assets

Institutional Own.Quality
85.30%10/10

85.30% of shares held by major funds and institutions

Supporting Valuation Data

Forward P/E
11.96
Attractive
Price/Sales (TTM)
0.247
Undervalued
EV/Revenue
0.117
Undervalued
RGP Target Price
$6.88
69% Upside

Resources Connection Inc (RGP) Areas to Watch (6)

Avg Score: 0.7/10
Return on EquityProfitability
-50.90%0/10

Company is destroying shareholder value

Revenue GrowthGrowth
-19.10%0/10

Revenue declining -19.10%, a shrinking business

EPS GrowthGrowth
-10.90%0/10

Earnings declining -10.90%, profits shrinking

Profit MarginProfitability
-26.10%0/10

Company is losing money with a negative profit margin

Operating MarginProfitability
0.19%1/10

Near-zero operating margins, business under pressure

Market CapQuality
$125M3/10

Micro-cap company with very limited liquidity and high volatility

Resources Connection Inc (RGP) Detailed Analysis Report

Overall Assessment

This company scores 46/100 in our Smart Analysis, earning a D+ grade. Out of 10 metrics analyzed, 4 register as strengths (avg 10.0/10) while 6 fall into concern territory (avg 0.7/10). The category breakdown reveals uneven performance, with some areas requiring attention.

The Bull Case

The strongest argument centers on PEG Ratio, Price/Sales, Price/Book. Valuation metrics including PEG Ratio (0.80), Price/Sales (0.25), Price/Book (0.64) suggest the stock is attractively priced.

The Bear Case

The primary concerns are Return on Equity, Revenue Growth, EPS Growth. Growth concerns include Revenue Growth at -19.10%, EPS Growth at -10.90%, which may limit upside. Profitability pressure is visible in Return on Equity at -50.90%, Operating Margin at 0.19%, Profit Margin at -26.10%.

Key Dynamics to Monitor

Three factors to monitor going forward. First, whether Return on Equity improves, as this is the primary drag on the overall score. Second, margin trajectory, with Return on Equity at -50.90% needing improvement to support the investment thesis. Third, growth sustainability, with Revenue Growth at -19.10% needing to reaccelerate.

Risk Considerations

Based on the metric profile, this is a higher risk investment. There are more areas of concern than strength, warranting a more conservative position size. Investors should size positions according to their risk tolerance and maintain diversification.

Bottom Line

Fundamental challenges outweigh strengths at current levels. Return on Equity and Revenue Growth are the primary drags. Consider waiting for meaningful improvement before committing capital.

Disclaimer: Smart Analysis is a scoring system developed by WallStSmart Team. Scores update daily using multi-model valuation framework. Always conduct your own research and consult with financial advisors before making investment decisions.

RGP Price-to-Sales(PS) Ratio Chart

Historical valuation based on market cap ÷ trailing 12-month revenue

RGP's Price-to-Sales ratio of 0.25x sits near its historical average of 0.24x (43th percentile), suggesting the market is pricing in steady-state growth. The current valuation is 1% below its historical high of 0.25x set in Mar 2026, and 7% above its historical low of 0.23x in Mar 2026.

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WallStSmart Analysis Synopsis

Data-driven financial summary for Resources Connection Inc (RGP) · INDUSTRIALSCONSULTING SERVICES

The Big Picture

Resources Connection Inc is in a turnaround phase, with management focused on restoring profitability. Revenue reached 507M with 19% decline year-over-year. The company is currently unprofitable, posting a -26.1% profit margin.

Key Findings

Cash Flow Positive

Generating 16M in free cash flow and 16M in operating cash flow. Earnings are translating into actual cash generation.

Revenue Decline

Revenue contracted 19% YoY. Worth determining whether this is cyclical or structural.

Operating at a Loss

The company is unprofitable with a -26.1% profit margin. The path to breakeven will be the key catalyst.

What to Watch Next

Dividend sustainability with a current yield of 9.4%. Watch payout ratio and free cash flow coverage.

Sector dynamics: monitor CONSULTING SERVICES industry trends, competitive moves, and regulatory changes that could impact Resources Connection Inc.

Bottom Line

Resources Connection Inc is in turnaround mode. The path to profitability remains the critical question. Speculative investors may see opportunity in the recovery story, but conservative investors should wait for consistent positive earnings before committing capital.

This synopsis is generated from publicly available financial data. It is not financial advice. Always conduct your own research and consult a qualified financial advisor before making investment decisions.

Insider Transactions

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About Resources Connection Inc(RGP)

Exchange

NASDAQ

Sector

INDUSTRIALS

Industry

CONSULTING SERVICES

Country

USA

Resources Connection, Inc. provides consulting services to business clients under the name Resources Global Professionals in North America, Europe and Asia Pacific. The company is headquartered in Irvine, California.