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RCM Technologies, Inc. (RCMT) Stock Declines While Market Improves: Some Information for Investors

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RCM Technologies, Inc. (RCMT - Free Report) closed the latest trading day at $18.58, indicating a -0.59% change from the previous session's end. The stock fell short of the S&P 500, which registered a gain of 0.09% for the day. At the same time, the Dow lost 0.1%, and the tech-heavy Nasdaq gained 0.16%.

Shares of the company witnessed a loss of 13.59% over the previous month, trailing the performance of the Business Services sector with its gain of 1.04% and the S&P 500's gain of 2.83%.

The investment community will be closely monitoring the performance of RCM Technologies, Inc. in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $0.56, reflecting a 19.15% increase from the same quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $69.9 million, up 4.27% from the year-ago period.

For the full year, the Zacks Consensus Estimates project earnings of $2.28 per share and a revenue of $278.04 million, demonstrating changes of +8.06% and +5.62%, respectively, from the preceding year.

It's also important for investors to be aware of any recent modifications to analyst estimates for RCM Technologies, Inc. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Currently, RCM Technologies, Inc. is carrying a Zacks Rank of #4 (Sell).

Digging into valuation, RCM Technologies, Inc. currently has a Forward P/E ratio of 8.2. This represents a discount compared to its industry's average Forward P/E of 16.42.

The Staffing Firms industry is part of the Business Services sector. Currently, this industry holds a Zacks Industry Rank of 151, positioning it in the bottom 41% of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow RCMT in the coming trading sessions, be sure to utilize Zacks.com.


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