Category: Business

Kelly Services (KELYA) – A Miss, But Some Positives

Posted on by [email protected]


Monday, November 10, 2025

Kelly (Nasdaq: KELYA, KELYB) connects talented people to companies in need of their skills in areas including Science, Engineering, Education, Office, Contact Center, Light Industrial, and more. We’re always thinking about what’s next in the evolving world of work, and we help people ditch the script on old ways of thinking and embrace the value of all workstyles in the workplace. We directly employ nearly 350,000 people around the world and connect thousands more with work through our global network of talent suppliers and partners in our outsourcing and consulting practice. Revenue in 2021 was $4.9 billion. Visit kellyservices.com and let us help with what’s next for you.

Joe Gomes, CFA, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Overview. Kelly reported 3Q25 results below expectations, even after scrubbing away a number of one-time events. Lower demand from the federal government and a few large customers negatively impacted results. Nonetheless, Kelly continued to capture growth in certain markets. 

3Q25 Results. 3Q25 revenue fell 9.9% to $935 million from $1.04 billion last year. Consensus was $973 million, and we were at $975 million. Adjusted EBITDA was $16.5 million, or a 1.9% margin, compared to $26.2 million, or a 2,5% margin, in 3Q24. Consensus was $33 million, and we were at $33.5 million. Adjusted EPS was $0.18 vs $0.21 last year. Consensus was $0.42, we were at $0.45.


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Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Release – Kelly Reports Third-Quarter 2025 Earnings

Posted on by [email protected]

Research News and Market Data on KELYA

November 6, 2025

PDF Version

TROY, Mich., Nov. 06, 2025 (GLOBE NEWSWIRE) — Kelly (Nasdaq: KELYA, KELYB), a leading specialty talent solutions provider, today announced results for the third quarter of 2025.

  • Q3 revenue of $935.0 million, down 9.9% year-over-year; excluding discrete U.S. federal government and large customer impacts, underlying revenue down approximately 2.0% year-over-year
  • Underlying revenue reflects continued growth in the Education segment, a consistent rate of decline in the SET segment, and a modest decline in the ETM segment
  • Q3 adjusted SG&A decline of 9.7% reflects increased momentum on structural and demand-driven expense optimization initiatives, including legacy acquisition integration, technology modernization, and process efficiencies
  • Q3 operating loss of $102.1 million including $102.0 million of non-cash goodwill impairment charges; $4.3 million of operating earnings on an adjusted basis
  • Q3 adjusted EBITDA of $16.5 million, adjusted EBITDA margin decreased 70 basis points (“bps”) to 1.8%
  • The Company expects to be active with Class A share repurchases in Q4, reflecting confidence in its strategy and commitment to an opportunistic approach to capital allocation

Chris Layden, chief executive officer, said, “As I step into this role at an important moment in Kelly’s strategic journey, the operating environment is evolving, driven by a dynamic macroeconomic landscape, global and domestic policy shifts, a sluggish labor market, and the AI boom. While Kelly continued to capture growth in more resilient markets where we have chosen to focus, these dynamics became more visible in our results in the third quarter. Our team knows that Kelly can achieve more, and we are addressing near-term opportunities to enhance our execution and agility while continuing to position the company for the future. I look forward to meeting this moment together and leading Kelly to drive profitable growth and lasting value for all our stakeholders.”

Financial Results for the thirteen-week period ended September 28, 2025:

Revenue of $935.0 million, a 9.9% decrease compared to the corresponding quarter of 2024 primarily driven by lower demand in our ETM and SET segments, partially offset by growth of 0.9% in the Education segment. Discrete impacts associated with reduced demand for U.S. federal government contractors and from three large private sector customers totaled approximately 8%, resulting in an underlying revenue decline of approximately 2%.

Operating loss of $102.1 million, compared to earnings of $2.6 million reported in the third quarter of 2024. Current quarter operating loss reflects non-cash goodwill impairment charges totaling $102.0 million related to reduced demand, integration of the Motion Recruitment Partners, LLC (“MRP”) and Softworld acquisitions in the SET segment and realignment in the SET segment. Adjusted earnings1 were $4.3 million in the third quarter of 2025 and $11.7 million in the third quarter of 2024. Adjusted EBITDA1 of $16.5 million, a decrease of 36.7% versus the prior year period. Adjusted EBITDA margin of 1.8%, a decrease of 70 basis points driven primarily by near-term margin pressure in SET and ETM reflecting lower gross margins and timing of revenue trends and related expense management actions.

Income tax expense of $46.4 million, compared to income tax benefit of $2.6 million reported in the third quarter of 2024. Current quarter expense reflects non-cash goodwill impairment charges and a $69.7 million valuation allowance established against a portion of our work opportunity credit carryforwards due to cumulative losses in recent years. On an adjusted basis1, income tax benefit of $3.8 million, compared to income tax benefit of $0.3 million in the third quarter of 2024.

Loss per share was $4.26 including non-cash goodwill impairment charges totaling $2.37 per share, net of tax, and a valuation allowance charge on deferred tax assets of $1.98 per share, compared to earnings per share of $0.02 in the third quarter of 2024. On an adjusted basis1, earnings per share were $0.18 in the third quarter of 2025 compared to $0.21 per share in the corresponding quarter of 2024.

Financial Results for the 39-week period ended September 28, 2025:

Revenue of $3.2 billion, a 1.9% increase compared to the corresponding period in 2024 resulting primarily from the May 2024 acquisition of MRP. Excluding the impact of the acquisition, revenue was down 4.2% on an organic basis and includes approximately 5.0% revenue decline due to discrete impacts associated with reduced demand for U.S. federal government contractors and from three large private sector customers, and growth of 5.0% in the Education segment.

Operating loss of $69.1 million, compared to earnings of $41.6 million reported over the same period in 2024. Current year operating loss reflects non-cash goodwill impairment charges totaling $102.0 million related to reduced demand, integration of the MRP and Softworld acquisitions in the SET segment and realignment in the SET segment. Adjusted earnings1 were $51.0 million in the first nine months of 2025 and $62.9 million in the corresponding period of 2024. Adjusted EBITDA1 of $88.4 million, a decrease of 11.5% versus the prior year period. Adjusted EBITDA margin of 2.8%, a decrease of 40 basis points driven primarily by near-term margin pressure in SET and ETM reflecting timing of revenue trends and related expense management actions.

Income tax expense of $49.1 million, compared to income tax expense of $2.5 million reported over the same period in 2024. Current expense reflects non-cash goodwill impairment charges and a $69.7 million valuation allowance established against a portion of our work opportunity credit carryforwards due to cumulative losses in recent years. On an adjusted basis1, income tax expense of $3.4 million, compared to income tax expense of $7.6 million in the corresponding period of 2024.

Loss per share was $3.56 including non-cash goodwill impairment charges of $2.38 per share, net of tax, and a valuation allowance charge on deferred tax assets of $1.98 per share, compared to earnings per share of $0.85 in the same period of 2024. On an adjusted basis1, earnings per share were $1.16 for the first nine months of 2025 compared to $1.47 per share in the corresponding period of 2024 reflecting higher net interest expense following the MRP acquisition and lower operating earnings.
_________________________________________
1 Adjusted measures represent non-GAAP financial measures. Refer to our reconciliation of non-GAAP financial measures to the most closely related GAAP measure included in this document.

Fiscal 2025 Fourth Quarter Financial Outlook:

For the 2025 fiscal fourth quarter, the Company assumes no material change in the macroeconomic or industry dynamics relative to the third quarter, and a positive resolution to the current federal government shutdown during the quarter. The Company’s fourth quarter outlook is as follows:

  • Total year-over-year revenue decline of 12% to 14%, including approximately 8% of impact due to reduced demand for federal contractors and from discrete large customers. The underlying revenue decline of 4% to 6% increased relative to the third quarter due to strong growth in the fourth quarter of last year and includes a modest impact related to the government shutdown.
  • Adjusted EBITDA margin of approximately 3%, reflecting year-over-year decline similar to the third quarter of 2025, and a sequential increase from the third quarter consistent with 2024, despite the relative revenue pressure.

Quarterly Cash Dividend:

Kelly also reported that on November 3, its board of directors declared a dividend of $0.075 per share. The dividend is payable on December 3, 2025 to stockholders of record as of the close of business on November 19, 2025.

In conjunction with its earnings release, Kelly has published a financial presentation and will host a live webcast of a conference call at 9 a.m. ET on November 6 to review the financial and operation results from the quarter. The presentation and a link to the live webcast will be accessible through the Company’s public website on the Investor Relations page under Events & Presentations. The webcast will be recorded, and a replay will be available within one hour of completion of the event through the same link as the live webcast.

Forward-Looking Statements:

This release contains statements that are forward looking in nature and, accordingly, are subject to risks and uncertainties. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that are not historical facts, including statements about Kelly’s financial expectations, are forward-looking statements. Factors that could cause actual results to differ materially from those contained in this release include, but are not limited to, (i) changing market and economic conditions, (ii) disruption in the labor market and weakened demand for human capital resulting from technological advances, loss of large corporate customers and government contractor requirements, (iii) the impact of laws and regulations (including federal, state and international tax laws), (iv) unexpected changes in claim trends on workers’ compensation, unemployment, disability and medical benefit plans, (v) litigation and other legal liabilities (including tax liabilities) in excess of our estimates, (vi) our ability to achieve our business’s anticipated growth strategies, (vii) our future business development, results of operations and financial condition, (viii) damage to our brands, (ix) dependency on second parties for the execution of critical functions, (x) conducting business in foreign countries, including foreign currency fluctuations, (xi) availability of temporary workers with appropriate skills required by customers, (xii) cyberattacks or other breaches of network or information technology security, and (xiii) other risks, uncertainties and factors discussed in this release and in the Company’s filings with the Securities and Exchange Commission. In some cases, forward-looking statements can be identified by words or phrases such as “may,” “will,” “expect,” “anticipate,” “target,” “aim,” “estimate,” “intend,” “plan,” “believe,” “potential,” “continue,” “is/are likely to” or other similar expressions. All information provided in this press release is as of the date of this press release and we undertake no duty to update any forward-looking statement, whether as a result of new information, future events, or otherwise, except as required by law.

About Kelly®

Kelly Services, Inc. (Nasdaq: KELYA, KELYB) helps companies recruit and manage skilled workers and helps job seekers find great work. Since inventing the staffing industry in 1946, we have become experts in the many industries and local and global markets we serve. With a network of suppliers and partners around the world, we connect more than 400,000 people with work every year. Our suite of outsourcing and consulting services ensures companies have the people they need, when and where they are needed most. Headquartered in Troy, Michigan, we empower businesses and individuals to access limitless opportunities in industries such as science, engineering, technology, education, manufacturing, retail, finance, and energy. Revenue in 2024 was $4.3 billion. Learn more at kellyservices.com.

KLYA-FIN

ANALYST & MEDIA CONTACT:
Scott Thomas
(248) 251-7264
[email protected]

View full release here.

The ODP Corporation (ODP) – Reports 3Q Results

Posted on by [email protected]


Thursday, November 06, 2025

Office Depot, Inc., together with its subsidiaries, supplies a range of office products and services. It offers merchandise, such as general office supplies, computer supplies, business machines and related supplies, and office furniture through its chain of office supply stores under the Office Depot, Foray, Ativa, Break Escapes, Worklife, and Christopher Lowell brand names. The company also provides graphic design, printing, reproduction, mailing, shipping, and other services through design, print, and ship centers. It has operations throughout North America, Europe, Asia, and Central America. The company also sells its products and services through direct mail catalogs, contract sales force, Internet sites, and retail stores, through a mix of company-owned operations, joint ventures, licensing and franchise agreements, alliances, and other arrangements. As of December 31, 2008, Office Depot operated 1,267 North American retail division office supply stores and 162 international division retail stores, as well as participated under licensing and merchandise arrangements in 98 stores. The company was founded in 1986 and is based in Boca Raton, Florida.

Joe Gomes, CFA, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

3Q25 Results. In likely the last quarterly report before being acquired, ODP released 3Q25 results in-line with our projections. Revenue of $1.625 billion was down 9% y-o-y. We were at $1.675 billion. Adjusted EBITDA came in at $62 million, flat y-o-y, and compared to our $66 million estimate. Net income was $23 million, or $0.72/sh, in-line with our $23 million estimate. Adjusted net income $36 million, or $1.14/sh, compared to $24 million, or $0.71/sh, in 3Q24.

Business Solutions. Segment sales of $862 million were down 6% y-o-y due to the soft economy. However, revenue trends improved 200 basis points y-o-y, driven by success in onboarding new customers, including 600 new hotel properties, targeted sales initiatives, and incremental growth in the hospitality sector. The Company is making progress on potential new agreements with several leading hospitality management companies. Segment OpInc. totaled $14 million versus $28 million in 3Q24.


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*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Superior Group of Companies (SGC) – The Quarter Highlights Attractive Profit Growth Potential

Posted on by [email protected]


Tuesday, November 04, 2025

Michael Kupinski, Director of Research, Equity Research Analyst, Digital, Media & Technology , Noble Capital Markets, Inc.

Jacob Mutchler, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

In-line quarter. While revenues were a tad lighter than we hoped, the company over delivered on its SG&A cuts. As such, adj. EBITDA was in line with expectations. The modest revenue variance was completely due to softer Contact Center revenue. A portion of the revenue decline was due to the loss of a client, but there appears to be a strong pipeline of business. As such,  Contact Center revenue trends should improve in subsequent quarters.

Cost cutting initiatives take center stage. SG&A expenses declined in each of the company’s operating segments, with cuts that exceeded expectations in each segment, as well. We believe that the cost reductions set the company up well for significant margin expansion as the market environment returns toward “normalcy.”


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Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Resources Connection (RGP) – A Transition At The Top

Posted on by [email protected]


Tuesday, November 04, 2025

Resources Connection, Inc. provides agile consulting services in North America, Europe, and the Asia Pacific. The company offers finance and accounting services, including process transformation and optimization, financial reporting and analysis, technical and operational accounting, merger and acquisition due diligence and integration, audit readiness, preparation and response, implementation of new accounting standards, and remediation support. It also provides information management services, such as program and project management, business and technology integration, data strategy, and business performance management. In addition, the company offers corporate advisory, strategic communications, and restructuring services; and corporate governance, risk, and compliance management services, such as contract and regulatory compliance, enterprise risk management, internal controls management, and operation and information technology (IT) audits. Further, it provides supply chain management services comprising strategy development, procurement and supplier management, logistics and materials management, supply chain planning and forecasting, and unique device identification compliance; and human capital services, including change management, organization development and effectiveness, compensation and incentive plan strategies, and optimization of human resources technology and operations. Additionally, the company offers legal and regulatory supporting services for commercial transactions, global compliance initiatives, law department operations, and law department business strategies and analytics. It also provides policyIQ, a proprietary cloud-based governance, risk, and compliance software application. 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.

Joe Gomes, CFA, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

A CEO Transition. Yesterday, Resources Connection announced the appointment of Board member Roger Carlile to serve as President and CEO, effective immediately. The leadership change comes as the Company seeks to advance its strategic transformation. Concurrently, former President and CEO  Kate Duchene has transitioned to Executive Advisor through  January 3, 2026.

Carlile at RGP. Mr. Carlile joined RGP’s Board of Directors in June 2024. Since joining the Board, Mr. Carlile has been working with the Company on the growth strategy with a focus on CFO Advisory and Digital Transformation consulting solutions. As CEO, Mr. Carlile brings a strong combination of skills, as both a former CFO of a public consulting firm and the founder and former CEO of a high-growth consulting firm, and has proven expertise in professional services management, investor engagement, and capital allocation strategies.


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Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.

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*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Information Services Group (III) – AI Powered Momentum

Posted on by [email protected]


Tuesday, November 04, 2025

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 700 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,300 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For additional information, visit www.ISG-One.com

Joe Gomes, CFA, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

3Q25. Operating performance in 3Q25 exceeded expectations. Revenue came in at $62.4 million, up 1.8% y-o-y and up 8.8% excluding divested operations. Adjusted EBITDA grew 19% to $8.4 million and adjusted EBITDA margin expanded nearly 200 basis points to 13.5%, again ex divested ops. ISG reported GAAP net income of 3.1 million, or EPS of $0.03/sh, compared to $1.1 million, or EPS of $0.02/sh, last year. Adjusted EPS was $0.09 versus $0.05 last year.

AI and Recurring Revenue. Management noted revenue derived from AI-related activities accounted for some $20 million of overall revenue in the quarter. Recurring revenue was $28 million, up 9% year-over-year, representing 45% of overall revenue. We expect both AI-related revenue and overall recurring revenue to increase going forward. 


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Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

DLH Holdings (DLHC) – Some Good, Some Not So Good

Posted on by [email protected]


Monday, November 03, 2025

DLH delivers improved health and readiness solutions for federal programs through research, development, and innovative care processes. The Company’s experts in public health, performance evaluation, and health operations solve the complex problems faced by civilian and military customers alike, leveraging digital transformation, artificial intelligence, advanced analytics, cloud-based applications, telehealth systems, and more. With over 2,300 employees dedicated to the idea that “Your Mission is Our Passion,” DLH brings a unique combination of government sector experience, proven methodology, and unwavering commitment to public health to improve the lives of millions. For more information, visit www.DLHcorp.com.

Joe Gomes, CFA, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

New Data. DLH filed an 8-K disclosing some preliminary financial data for the fiscal year ended September 30, 2025, and updates on its CMOP (the good) and Head Start (not so good) contracts. Bad news first: DLH has lost the Head Start contract, which went to a small business. This contract generated $40 million of revenue in fiscal 2024 and $28.4 million in the first nine months of fiscal 2025. With the government shutdown ongoing, the status of protests from unsuccessful bidders is unclear.

CMOP. On the positive side, DLH has been awarded a sole-source ID/IQ to continue providing pharmacy and logistics services for 4 CMOP locations. The contract has a ceiling value of $90 million and has a maximum performance period through April 2027. The Company expects the quarterly revenue contribution from these contracts to be approximately $28 million, in-line with current revenue volume on this contract.


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Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Release – Kelly Announces Third-Quarter 2025 Conference Call

Posted on by [email protected]

Research News and Market Data on KELYA

October 23, 2025

PDF Version

TROY, Mich., Oct. 23, 2025 (GLOBE NEWSWIRE) — Kelly, a leading global specialty talent solutions provider, will release its third-quarter earnings before the market opens on Thursday, November 6, 2025. In conjunction with its earnings release, Kelly will publish a financial presentation and host a live webcast of a conference call with financial analysts at 9 a.m. ET on November 6 to review the results from the quarter and answer questions.

The presentation and a link to the live webcast will be accessible through the Company’s public website on the Investor Relations page under Events & Presentations. The webcast will be recorded, and a replay will be available within one hour of completion of the event through the same link as the live webcast.

About Kelly

Kelly Services, Inc. (Nasdaq: KELYA, KELYB) helps companies recruit and manage skilled workers and helps job seekers find great work. Since inventing the staffing industry in 1946, we have become experts in the many industries and local and global markets we serve. With a network of suppliers and partners around the world, we connect more than 400,000 people with work every year. Our suite of outsourcing and consulting services ensures companies have the people they need, when and where they are needed most. Headquartered in Troy, Michigan, we empower businesses and individuals to access limitless opportunities in industries such as science, engineering, technology, education, manufacturing, retail, finance, and energy. Revenue in 2024 was $4.3 billion. Learn more at kellyservices.com.

KLYA-FIN

Analyst & Media Contact:
Scott Thomas
(248) 251-7264
[email protected]

HBT Financial Expands Midwest Footprint with $170 Million CNB Bank Shares Merger

Posted on by [email protected]

HBT Financial, Inc. (NASDAQ: HBT) announced a definitive agreement to acquire CNB Bank Shares, Inc. (OTC: CNBN) in a cash-and-stock deal valued at roughly $170.2 million, marking a significant strategic expansion in the community banking space. The transaction reflects HBT’s disciplined growth model and highlights continued consolidation among Midwest-based financial institutions.

The merger, expected to close in the first quarter of 2026, will create a combined company with about $6.9 billion in total assets, $4.7 billion in loans, and $5.9 billion in deposits. Post-closing, the new banking entity will operate 84 branches throughout Illinois, eastern Iowa, and Missouri—furthering HBT’s regional diversification across key metropolitan markets, including Chicago and St. Louis.

Transaction Structure and Valuation

Under the terms of the agreement, CNBN shareholders can elect to receive 1.0434 shares of HBT stock, $27.73 in cash per share, or a mix of both, subject to allocation limits. Based on HBT’s 15-day volume weighted average price of $24.44 as of October 17, 2025, the transaction equates to an implied purchase price of $25.92 per CNBN share. Upon completion, former CNBN shareholders will collectively own roughly 15% of HBT’s outstanding common stock.

The deal’s all-in valuation represents a prudent premium relative to CNBN’s recent trading levels while allowing HBT to fund the acquisition through a balanced consideration structure. The merger’s financial terms suggest a price-to-tangible book ratio in the 1.45x–1.55x range, consistent with recent peer transactions in the community banking sector.

Strategic Rationale and Market Outlook

For HBT, the acquisition deepens its deposit base in central Illinois and expands its reach into higher-growth urban corridors. It also enhances scale—both economically and operationally—adding efficiency to product distribution and technology deployment. CNB’s strong commercial loan portfolio and stable funding mix are expected to complement HBT’s disciplined credit culture, supporting accretive earnings growth post-integration.

Management expects the transaction to be additive to HBT’s earnings per share within the first full year after closing, with modest tangible book value dilution that can be earned back within a reasonable timeframe. The company’s strong capital position and consistent profitability metrics provide flexibility to absorb integration costs and offset potential short-term pressures.

On CNBN’s side, the merger offers shareholders liquidity through the NASDAQ-listed HBT stock and participation in a larger, more diversified Midwestern franchise. The combination should also benefit CNB’s customers through expanded product offerings and access to broader operational resources.

Leadership and Governance

To maintain local continuity, HBT has agreed to appoint CNBN directors James T. Ashworth and Nancy Ruyle to the boards of HBT Financial and Heartland Bank and Trust Company. The alignment of leadership under HBT’s community-first philosophy is expected to ease cultural integration—a critical factor in regional bank mergers.

Bottom Line

HBT’s acquisition of CNB Bank Shares continues its steady M&A track record, marking its eleventh transaction since 2007. By combining two relationship-focused institutions with complementary footprints, the deal strengthens HBT’s positioning in an increasingly competitive small and mid-cap financial landscape. For investors, it reinforces HBT’s strategy of measured expansion and capital discipline, positioning the company for sustainable earnings growth across Midwest markets.

Resources Connection (RGP) – Post Call Commentary

Posted on by cpatches


Monday, October 13, 2025

Resources Connection, Inc. provides agile consulting services in North America, Europe, and the Asia Pacific. The company offers finance and accounting services, including process transformation and optimization, financial reporting and analysis, technical and operational accounting, merger and acquisition due diligence and integration, audit readiness, preparation and response, implementation of new accounting standards, and remediation support. It also provides information management services, such as program and project management, business and technology integration, data strategy, and business performance management. In addition, the company offers corporate advisory, strategic communications, and restructuring services; and corporate governance, risk, and compliance management services, such as contract and regulatory compliance, enterprise risk management, internal controls management, and operation and information technology (IT) audits. Further, it provides supply chain management services comprising strategy development, procurement and supplier management, logistics and materials management, supply chain planning and forecasting, and unique device identification compliance; and human capital services, including change management, organization development and effectiveness, compensation and incentive plan strategies, and optimization of human resources technology and operations. Additionally, the company offers legal and regulatory supporting services for commercial transactions, global compliance initiatives, law department operations, and law department business strategies and analytics. It also provides policyIQ, a proprietary cloud-based governance, risk, and compliance software application. 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.

Joe Gomes, CFA, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Some Positives. The Company continues on its transformation path and is seeing encouraging signs, in our opinion. For example, the Company saw a return to growth in revenue for both the Europe & Asia- Pac segment and the Outsourced Services segment, with 5% and 4% growth over the prior year quarter. Revenue from the top 10 clients also grew year-over-year, and the enterprise-wide average bill rate increased to $120 on a constant currency basis, up from $118 a year ago.

Ongoing Cost Focus. The other side of the transformation plan is a focus on cost control. RGP continues to make good progress on its SG&A, as reflected in the quarter’s numbers. Post quarter, on September 30, 2025, in the face of continued end market sluggishness, RGP commenced a global reduction in its management and administrative workforce intended to enhance efficiencies through reduced costs and streamlined operations. Management expects approximately $6 million to $8 million of annual cost savings associated with this effort.


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Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Resources Connection (RGP) – First Look at 1Q26

Posted on by [email protected]


Thursday, October 09, 2025

Resources Connection, Inc. provides agile consulting services in North America, Europe, and the Asia Pacific. The company offers finance and accounting services, including process transformation and optimization, financial reporting and analysis, technical and operational accounting, merger and acquisition due diligence and integration, audit readiness, preparation and response, implementation of new accounting standards, and remediation support. It also provides information management services, such as program and project management, business and technology integration, data strategy, and business performance management. In addition, the company offers corporate advisory, strategic communications, and restructuring services; and corporate governance, risk, and compliance management services, such as contract and regulatory compliance, enterprise risk management, internal controls management, and operation and information technology (IT) audits. Further, it provides supply chain management services comprising strategy development, procurement and supplier management, logistics and materials management, supply chain planning and forecasting, and unique device identification compliance; and human capital services, including change management, organization development and effectiveness, compensation and incentive plan strategies, and optimization of human resources technology and operations. Additionally, the company offers legal and regulatory supporting services for commercial transactions, global compliance initiatives, law department operations, and law department business strategies and analytics. It also provides policyIQ, a proprietary cloud-based governance, risk, and compliance software application. 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.

Joe Gomes, CFA, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

A Beat. Resources Connection reported first quarter revenue, gross margin, and SG&A expenses better than expected, although the top line continued to decline y-o-y, as expected. RGP is engaging with clients on more consulting opportunities, which have higher bill rates, larger deal size, and often create more extension and cross selling. However, the macro environment remains unpredictable, which makes clients hesitant to begin new projects.

Details. 1Q26 revenue came in at $120.2 million, down from $136.9 million in 1Q25, but above the $120 million high-end of management’s guidance. Gross margin came in at 39.5%, a significant y-o-y improvement from 36.5% in 1Q25 and above the 36-37% guidance range. SG&A expense of $47.9 million improved from $48.9 million in 1Q25. RGP recorded a GAAP net loss of $2.4 million, or $0.07/sh, compared to a $5.7 million, or $0.17/sh, net loss, in 1Q25. Adjusted EPS was $0.03/sh versus breakeven last year. 


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This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

Steelcase (SCS) – A Better Than Expected 2Q26

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Friday, September 26, 2025

Joe Gomes, CFA, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

2Q26. In what is likely the Company’s final quarterly report as a public company, Steelcase reported better than expected results. Results benefitted from continued strengthening of demand from large corporate customers and International growth driven by India, China, and the United Kingdom. Improved International volume drove a $5 million reduction in y-o-y adjusted operating loss in the International segment. These were Steelcase’s highest quarterly results over the past five years.

Financials. Revenue of $897.1 million rose 4.8% y-o-y and exceeded the $890 million high end of management’s guidance. We were at $875 million. Gross margin of 34.4% was flat y-o-y and exceeded the 33.5% high end of guidance. Adjusted EBITDA totaled $99.6 million, or 11.1% of revenue, up from $89.5 million and 10.5% in 2Q25. Adjusted EPS was $0.45, versus $0.39 last year and above management’s $0.40 high end guide. We were at $0.36.


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Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision. 

The ODP Corporation (ODP) – To Be Acquired for $28/sh

Posted on by [email protected]


Tuesday, September 23, 2025

Office Depot, Inc., together with its subsidiaries, supplies a range of office products and services. It offers merchandise, such as general office supplies, computer supplies, business machines and related supplies, and office furniture through its chain of office supply stores under the Office Depot, Foray, Ativa, Break Escapes, Worklife, and Christopher Lowell brand names. The company also provides graphic design, printing, reproduction, mailing, shipping, and other services through design, print, and ship centers. It has operations throughout North America, Europe, Asia, and Central America. The company also sells its products and services through direct mail catalogs, contract sales force, Internet sites, and retail stores, through a mix of company-owned operations, joint ventures, licensing and franchise agreements, alliances, and other arrangements. As of December 31, 2008, Office Depot operated 1,267 North American retail division office supply stores and 162 international division retail stores, as well as participated under licensing and merchandise arrangements in 98 stores. The company was founded in 1986 and is based in Boca Raton, Florida.

Joe Gomes, CFA, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

An Acquisition. Yesterday morning, The ODP Corporation announced it entered into a definitive agreement to be acquired by an affiliate of Atlas Holdings for $28/sh. The purchase price represents a premium of 34% to Friday’s closing price. ODP’s Board is supporting the transaction, which is expected to close by the end of 2025.

Who Is Atlas Holdings? Founded in 2002 by Andrew Bursky and Tim Fazio, Greenwich, CT-based Atlas Holdings owns and operates a global family of manufacturing and distribution businesses that together generate more than $20 billion in annual revenue. Atlas has experience in the office supplies sector through its LSC Communications unit, a leader in organizational solutions through brands such as Pendaflex.


Get the Full Report

Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.