Resources Connection Inc, known by the ticker symbol RGP, is a small cap consulting services firm, operating in the Industrials business sector. This is my first ever report on RGP for this Viital stock portfolio. I have not reported on RGP since making it my twenty-third selection for my Volio Portfolio on February 8, 2021.

Resources Connection Inc provides consulting and business initiative support services primarily through its operative subsidiary, Resources Global Professionals. 

Image Source: Pixabay

The company offers transformation and improvement, financial reporting and analysis, strategy development, and program and project management services and support. 

Its clients operate in the accounting, finance, corporate governance, risk and compliance management, corporate advisory, strategic communications and restructuring, information management, human capital, supply chain management, and legal and regulatory sectors.

The company has a strategic alliance with Kotter International, Inc to accelerate joint business development initiatives. 

The company was formerly known as RC Transaction Corp. and changed its name to Resources Connection, Inc. in August 2000. 

Resources Connection, Inc. was founded in 1996 and is headquartered in Irvine, California.

Three key data points gauge any dividend equity or fund such as Resources Connection Inc  (RGP):

(1) Price

(2) Dividends

(3) Returns

Those three basic keys best tell whether any company has made, is making, and will make money. 

RGP Price

Resources' price per share was $18.36 as of yesterday's market close. One year ago its price was $12.20. Therefore RGP share price rose $6.16 or just over 50% in the past year.

If RGP's stock trades in the range of $12.00 to $25.00 this next year, its recent $18.36 share price might rise by $3.64 to reach $22.00  by January 14, 2023. This estimate is within $0.33 of  the median of the 1 yr RGP  price estimates from three analysts covering the stock for brokerages

RGP Dividends

Resources' most recent quarterly dividend of  $0.14 was paid to shareholders December 16th to those of record November 17th. That Q dividend payout, carried forward, amounts to $0.56 annually and yields 3.05% per yesterday's $18.38. closing price. 

Resources Connection Inc (RGP) has paid regular quarterly  dividend payouts since September 15, 2010. That stretch will see 12 years come September.

RGP Returns

Adding the $0.56 annual estimated RGP forward-looking dividend to median of three analysts  on-year share price estimates of $3.64 shows an $4.20 potential gross gain, per share, to be reduced by any costs to trade RGP shares.  

At yesterday's $18.36 price per share, a little under $1000 would buy 54 shares.

A $10 broker fee (if charged) would be paid half at purchase and half at sale and might cost us about $0.19 per share.

Subtract that maybe $0.19 brokerage cost from my estimated $4.20 gross gain per share results in a net gain of $4.01 X 54 shares = $216.54 for a 21.65% net gain on a $991.44 investment.

So it is that Resources Connection Inc (RGP) shows a possible 21.65% net gain including a 3.05% forward estimated dividend yield. 

Over the next year at this time a $1000 investment in Resources Connection Inc  RGP) could generate $30.50 in cash dividends alone. Note that a single share of RGP stock bought at yesterday's closing price was $18.36. Therefore,RGP's share price is just over half the dividend income from $1000.00 invested. So, by my dogcatcher ideal, now is  a good point to pick up Resources Connection Inc  (RGP)  shares. The estimated next-year dividend from $1K invested is over 1.3 66% higher than RGP's single share price. Consider yourself alerted. It's a sign!  

All of the estimates above are speculation based on the past history of Resources Connection Inc  (RGP). Only time and money invested in this stock will determine its market value.