Richardson Electronics (NASDAQ:RELL) Shares Break Above 200 Day Moving Average – Here’s What Happened

Shares of Richardson Electronics, Ltd. (NASDAQ:RELL) crossed above its 200-day moving average during trading on Thursday. The stock has a 200-day moving average of $17.21 and traded as high as $19.00. Richardson Electronics shares last traded at $17.50, with a volume of 261,122 shares trading hands.

Analyst Ratings Changes

Several research analysts recently weighed in on the stock. Northland Securities set a $26.00 price objective on shares of Richardson Electronics in a research note on Tuesday, October 13th. Weiss Ratings upgraded Richardson Electronics from a “hold (c)” rating to a “buy (b-)” rating in a report on Thursday, October 8th. Wall Street Zen upgraded Richardson Electronics from a “hold” rating to a “buy” rating in a report on Saturday, August 8th. Finally, Zacks Research downgraded Richardson Electronics from a “strong-buy” rating to a “hold” rating in a research report on Monday, September 28th. Two equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $26.00.

Richardson Electronics Price Performance

The firm has a 50-day simple moving average of $17.99 and a 200 day simple moving average of $17.22. The stock has a market capitalization of $263.08 million, a P/E ratio of 30.48, a P/E/G ratio of 0.90 and a beta of 1.32.

Richardson Electronics (NASDAQ:RELL) last announced its quarterly earnings data on Wednesday, October 7th. The technology company reported $0.27 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.09 by $0.18. Richardson Electronics had a return on equity of 4.82% and a net margin of 3.57%. The company had revenue of $64.92 million for the quarter, compared to the consensus estimate of $58.98 million. Sell-side analysts anticipate that Richardson Electronics, Ltd. will post 0.78 earnings per share for the current fiscal year.

Richardson Electronics Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, November 25th. Investors of record on Friday, November 6th will be issued a dividend of $0.06 per share. The ex-dividend date of this dividend is Friday, November 6th. This represents a $0.24 dividend on an annualized basis and a yield of 1.4%. Richardson Electronics’s dividend payout ratio is 41.38%.

Insiders Place Their Bets

In other news, CFO Robert Ben sold 9,000 shares of the stock in a transaction dated Tuesday, August 4th. The stock was sold at an average price of $21.61, for a total transaction of $194,490.00. Following the transaction, the chief financial officer directly owned 60,534 shares in the company, valued at approximately $1,308,139.74. This represents a 12.94% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Jacques Belin sold 5,000 shares of the firm’s stock in a transaction on Tuesday, August 4th. The stock was sold at an average price of $21.46, for a total transaction of $107,300.00. Following the completion of the sale, the director directly owned 22,365 shares in the company, valued at approximately $479,952.90. This trade represents a 18.27% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 133,585 shares of company stock valued at $2,565,216 over the last three months. Corporate insiders own 31.65% of the company’s stock.

Institutional Investors Weigh In On Richardson Electronics

A number of institutional investors and hedge funds have recently added to or reduced their stakes in RELL. Hsbc Holdings PLC purchased a new stake in Richardson Electronics in the 2nd quarter worth about $208,000. Empowered Funds LLC purchased a new stake in shares of Richardson Electronics during the 2nd quarter worth $419,000. Algert Global LLC boosted its position in Richardson Electronics by 88.4% during the second quarter. Algert Global LLC now owns 22,235 shares of the technology company’s stock valued at $423,000 after purchasing an additional 10,433 shares in the last quarter. Connor Clark & Lunn Investment Management Ltd. bought a new stake in shares of Richardson Electronics in the 2nd quarter valued at about $293,000. Finally, BlackRock Inc. bought a new position in shares of Richardson Electronics during the 2nd quarter worth approximately $18,874,000. Institutional investors own 71.95% of the company’s stock.

About Richardson Electronics

Richardson Electronics Ltd. (NASDAQ: RELL) is a global provider of engineered solutions, electronic components and replacement parts for specialized industrial and healthcare applications. The company serves original equipment manufacturers, government agencies, medical facilities, distributors and other commercial customers through its product portfolio and technical support services.

Its Power and Microwave Technologies business supplies components and systems used in power conversion, renewable energy, semiconductor manufacturing, aerospace and defense, telecommunications, and other industrial markets.