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Should Value Investors Buy Resources Connection (RGP) Stock?
RGPResources nection(RGP) ZACKS·2025-01-29 15:46

Core Viewpoint - The article emphasizes the attractiveness of Resources Connection (RGP) as a strong value stock based on various valuation metrics and its earnings outlook [4][8]. Valuation Metrics - RGP has a Zacks Rank of 2 (Buy) and an A for Value, indicating strong potential for value investors [4]. - The stock's P/E ratio is 9.77, significantly lower than the industry average of 16.34 [4]. - RGP's PEG ratio stands at 0.65, compared to the industry average of 1.22, suggesting it is undervalued relative to its expected earnings growth [5]. - The P/B ratio for RGP is 0.87, which is attractive compared to the industry's average P/B of 2.05 [6]. - RGP's P/CF ratio is 9.44, lower than the industry average of 13.90, indicating a favorable cash flow outlook [7]. Investment Outlook - The combination of RGP's strong valuation metrics and positive earnings outlook positions it as one of the market's strongest value stocks [8].