Russell Investments Group Ltd. recently announced that it had reduced its share in Kforce Inc. (NASDAQ:KFRC) by 24.7% during the last quarter, according to its 13F filing with the Securities and Exchange Commission. Kforce is a professional and technical staffing services provider known for offering bespoke solutions through its Technology and Finance and Accounting segments.
The institutional investor reportedly sold 6,613 shares during Q4, leaving Russell Investments with a total of 20,118 shares of Kforce stock valued at $1,108,000 as of its most recent SEC filing. The move is indicative of Russell’s decision to divest from KForce’s stocks after holding about 0.10% of the business services provider.
Kforce reported their Q1 earnings on May 8th that showed $0.82 earnings per share which marked a miss on the consensus estimate by ($0.02). Equities research analysts predict that Kforce Inc. will post $3.57 earnings per share this year.
Despite falling short on Q1 estimates, industry insiders are optimistic about Kforce’s future prospects given their strategic focus areas. The Technology segment offers services such as data management, applications development, network architecture & security, machine learning while Finance and Accounting provides an array of financial processing solutions for businesses.
In conclusion, while Russell Investment may have chosen to reduce their stake in Kforce Inc., the business service provider is optimistic about remaining resilient amid competition by leveraging technological expertise and innovation across key markets globally.
Large Investors Increase Stakes in Professional Staffing Service Company Kforce, Inc.
Kforce, Inc., a professional and technical staffing services provider, has seen changes in its shareholding patterns as several large investors have bought and sold shares of the company. SummerHaven Investment Management LLC has lifted its stake in Kforce by 1.5%, while Natixis Advisors L.P. has raised it by 100.9% during the fourth quarter. Similarly, Great West Life Assurance Co. Can and Annex Advisory Services LLC raised their stakes by 193.2% and 54.8%, respectively, during different periods as well. Victory Capital Management Inc. tops these changes with a massive 318.3% stake increase in Kforce during the third quarter of last year. As per reports, approximately 88% of Kforce’s stock is currently owned by institutional investors.
The market capitalization of Kforce stands at $1 .18 billion, while the company itself recently declared a quarterly dividend of $0.36 per share to be paid on June 30th to shareholders of record on June 16th with ex-dividend on June 15th. The reported change in investor ownership comes after StockNews.com cut down KFRC rating to “hold” from “buy,” stating that Robert W Baird also lowered its price objective from $70 to $65.
Kforce operates through two segments – Technology and Finance and Accounting (FA), which offer professional staffing services in areas ranging from systems and applications architecture and development to data management, business intelligence technology, network architecture, security, artificial intelligence – machine learning.
Trading on NASDAQ under symbol ‘KFRC’, Kforce opened on Friday at $57 .87 with a fifty-two week low/high range between $49 .35-$69 .29 respectively. The quick ratio stands at 2 .19 while there is no worryingly high deficit equity ratio; standing at .12 indicates that any potential debt becomes more feasible for the company to pay back. In terms of price-to-earnings ratio (P/E), it stands at 16 .26, another assurance that the company is relatively undervalued in comparison to industry standards. With technology continuously evolving, and the need for highly technical professionals on the rise, firms like Kforce are expected to continue being reliable options for investors beyond these changes in ownership seen so recently.
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