BG Staffing Gets Good Workers Temporary Tasks

This week my Safari portfolio seeks a company in the industrials sector.

That sector includes twenty-three industries all related to designing, fabricating and servicing stuff we want and use. The industrials industries range from aerospace and defense to waste management with all the transportation, business services, and equipment required in between.

Today I'm reviewing a staffing and outsourcing services company named BG Staffing, Inc. It's trading ticker symbol is BGSF

BG Staffing Inc. provides temporary staffing services in the U.S. in Multifamily, Professional, & Commercial. Its temporary staffing services consist of on-demand or short-term staffing assignments, contract staffing, & on-site management administration.

The company was formerly known as LTN Staffing, LLC and changed its name to BG Staffing, Inc. in November 2013. BG Staffing, Inc. is headquartered in Plano, Texas.

Three primary keys measure dividend equities or funds like BG Staffing Inc.: 

(1) Price

(2) Dividends

(3) Returns

After those three, I'll use four more keys to unlock an equity or fund in which to invest.

The three primary keys, however, tell whether a company has made, is making, and will make money. 

BGSF Price

BG Staffing Inc.'s price at Friday's market close was $16.75 per share.  A year ago its price was $13.50. Thus it gained  $3.25 per share in the past year.  If BGSF does the same this year its share price will increase from $16.75 to $20.00, or about 19%.

BGSF Dividends

BG Staffing Inc.'s most recent quarterly dividend was $0.25 declared  February first, and payable February 20th.  

The annual dividend for 2018 is estimated to be $1.00 payable in February, May, August, and November at $0.25 per quarter.

The yield from that $1.00 annual dividend was almost 6% at Friday's $16.75 price.

Gains For BGSF?

Adding the $1.00 dividend to the $3.25 estimated year over year price gain shows a potential $4.25 gross gain for the coming year.  

Now subtract the cost to trade BG Staffing Inc. (BGSF) shares. 

A  $1,000.00 invested at Friday's $16.75 price bought 60 shares. 

Those 60 shares are hit with broker fees of $5 at purchase and another $5 at sale for a per share cost of about $0.17 per share

Subtracting that $0.17 brokerage cost from the estimated $4.25 gross leaves a net gain to 2019 of $4.08

X 60 shares 

= $244.80

or a 24.35% net gain on a $1,005.00 investment.

Therefore, BG Staffing Inc. (whose ticker symbol is BGSF), shows a possible 24.35% gain by my simple year over year calculation with a 6% dividend included. 

Two analysts cover this stock and both say it will outperform. Their consensus price target into 2019 is $19.00 or $1.00 lower than my year-over-year estimate of $20.00.

These forward-looking numbers are conjecture based on past year performance. The actual results remain to be seen. They could turn out to prove to be far lower. More study is required for you to determine if BG Staffing Inc. is worth your time and money.

Disclaimer: For more information and to get a two-week free sample of my stock portfolios just click on this link. Click ...

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