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Sector Update: Financial

By: MT Newswires
Posted: 1/3/2014 1:47:00 PM
Referenced Stocks: RECN

Financial stocks are higher this afternoon with the NYSE Financial Sector Index gaining 0.3% and the S&P Financial 100 Index rising 0.5%.

In company news, Resources Connection Inc. ( RECN ) rose Friday, with shares of the financial services company recently climbing over 5% and hitting fresh 52 week highs after late yesterday reporting fiscal Q2 net income of $0.18 per share, beating Wall Street estimates by $0.03 per share.

Revenue rose 3.3% year over year to $145.9 million, topping the Capital IQ consensus by around $6.51 million. Weekly revenue trends improved steadily throughout the quarter from $11.2 million during the first week of the period to $11.7 million by week ending Nov. 23.

Gross margin improved 160 basis points from the prior quarter and 20 basis points quarter-over-quarter to 39.3%.

In other sector news,

(+) JRJC, (+21%, hit 52 week highs) Chinese online financial services company halves fiscal Q3 net loss compared to the year-ago quarter, reporting a $1.6 mln net loss on an 83% year over year rise in revenue to $7.6 mln. No analyst estimates were available for comparison.

(-) LAND, (-0.1%) Acquires 1,760-acre farm in Cochise County, Arizona for $6.7 million. The farm-focused real estate firm also signed a 10-year lease with Premier Grain Farms, a family-owned and -operated farming company with properties in three states.