Richardson Electronics (NASDAQ:RELL) Upgraded by Wall Street Zen to “Buy” Rating

Wall Street Zen upgraded shares of Richardson Electronics (NASDAQ:RELL) from a hold rating to a buy rating in a report published on Saturday morning.

Several other brokerages have also commented on RELL. Northland Securities raised Richardson Electronics from a “market perform” rating to an “outperform” rating and upped their price target for the company from $14.00 to $24.00 in a research note on Tuesday, July 28th. Weiss Ratings reissued a “hold (c)” rating on shares of Richardson Electronics in a research report on Monday, July 20th. Finally, Zacks Research upgraded shares of Richardson Electronics from a “hold” rating to a “strong-buy” rating in a report on Friday, July 24th. One analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and one has given a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Buy” and an average target price of $24.00.

Richardson Electronics Stock Performance

RELL stock opened at $20.66 on Friday. Richardson Electronics has a one year low of $9.37 and a one year high of $23.15. The firm has a market cap of $300.81 million, a PE ratio of 46.96, a PEG ratio of 1.64 and a beta of 1.28. The firm’s 50 day moving average price is $17.85 and its 200-day moving average price is $14.77.

Richardson Electronics (NASDAQ:RELL) last issued its quarterly earnings data on Wednesday, July 22nd. The technology company reported $0.21 earnings per share for the quarter, topping the consensus estimate of $0.07 by $0.14. The company had revenue of $66.20 million during the quarter, compared to analyst estimates of $55.37 million. Richardson Electronics had a return on equity of 3.55% and a net margin of 2.79%. Equities research analysts predict that Richardson Electronics will post 0.5 EPS for the current fiscal year.

Richardson Electronics Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, August 26th. Shareholders of record on Friday, August 7th will be given a $0.06 dividend. This represents a $0.24 annualized dividend and a yield of 1.2%. The ex-dividend date of this dividend is Friday, August 7th. Richardson Electronics’s payout ratio is currently 54.55%.

Insider Buying and Selling

In other Richardson Electronics news, CFO Robert J. Ben sold 9,000 shares of the business’s stock in a transaction dated Tuesday, August 4th. The shares were sold at an average price of $21.61, for a total transaction of $194,490.00. Following the sale, the chief financial officer directly owned 60,534 shares in the company, valued at $1,308,139.74. This represents a 12.94% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Robert H. Kluge sold 29,000 shares of the stock in a transaction dated Thursday, July 30th. The stock was sold at an average price of $17.90, for a total transaction of $519,100.00. Following the sale, the director directly owned 51,365 shares in the company, valued at $919,433.50. This represents a 36.09% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 135,701 shares of company stock worth $2,596,497 over the last 90 days. 33.40% of the stock is owned by insiders.

Institutional Trading of Richardson Electronics

Several hedge funds have recently modified their holdings of the stock. BlackRock Inc. purchased a new position in Richardson Electronics in the second quarter valued at $18,874,000. Deutsche Bank AG purchased a new stake in Richardson Electronics during the 2nd quarter worth about $230,000. AIGH Capital Management LLC acquired a new stake in Richardson Electronics in the 2nd quarter valued at about $3,810,000. Bank of New York Mellon Corp acquired a new stake in Richardson Electronics in the 2nd quarter valued at about $1,995,000. Finally, GSA Capital Partners LLP purchased a new position in shares of Richardson Electronics in the 2nd quarter valued at about $630,000. 71.95% of the stock is currently owned by institutional investors and hedge funds.

About Richardson Electronics

Richardson Electronics, Ltd. (NASDAQ:RELL) is a global manufacturer, distributor and servicer of engineered components and subsystems for a diverse range of industrial, medical and scientific applications. The company specializes in vacuum electron devices, high-voltage power supplies and related electronic components, offering klystrons, traveling wave tubes, magnetrons, X-ray tubes, microwave amplifiers and power conversion products. Its solutions support customers in power grid management, semiconductor processing, medical imaging, scientific instrumentation and telecommunications.

In addition to its manufacturing capabilities, Richardson Electronics maintains a broad distribution network comprising thousands of standard and custom parts.