GEE Group Inc. [AMEX: JOB] stock went on a downward path that fall over -20.56% on Wednesday, amounting to a one-week price decrease of less than -30.89%. The company report on April 15, 2021 that GEE Group Announces Pricing of $50 Million Underwritten Public Offering.
GEE Group Inc. (NYSE American:JOB)(“GEE”or the “Company”) a provider of professional staffing services and solutions, announced the pricing of an underwritten public offering of 83,333,333 shares of its common stock at a public offering price of $0.60 per share, for gross proceeds of approximately $50,000,000, before deducting the underwriting discount and commissions and offering expenses payable by the Company. GEE has granted the underwriters a 45-day option to purchase up to an additional 12,499,999 shares of the Company’s common stock to cover over-allotments, if any, at the public offering price, less the underwriting discount. All of the shares of common stock are being offered by the Company.
The Company intends to use the net proceeds of this offering, together with available cash to repay approximately $55,000,000 in aggregate outstanding indebtedness under its existing Revolving Credit, Term Loan and Security Agreement and the remainder, if any, for general corporate purposes, including working capital and potential acquisitions.
Over the last 12 months, JOB stock rose by 157.50%. The average equity rating for JOB stock is currently 2.00, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $15.50 million, with 17.67 million shares outstanding and 13.12 million shares in the current float. Compared to the average trading volume of 641.68K shares, JOB stock reached a trading volume of 3132176 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on GEE Group Inc. [JOB]:
Alliance Global Partners have made an estimate for GEE Group Inc. shares, keeping their opinion on the stock as Buy, with their previous recommendation back on July 02, 2020. While these analysts kept the previous recommendation, Maxim Group raised their target price from $10 to $8. The new note on the price target was released on October 10, 2017, representing the official price target for GEE Group Inc. stock. Previously, the target price had yet another drop from $11 to $9, while Maxim Group kept a Buy rating on JOB stock. On January 06, 2016, analysts decreased their price target for JOB shares from 14 to 12.
The Average True Range (ATR) for GEE Group Inc. is set at 0.16, with the Price to Sales ratio for JOB stock in the period of the last 12 months amounting to 0.12. The Price to Book ratio for the last quarter was 0.55, with the Price to Cash per share for the same quarter was set at 0.77.
JOB Stock Performance Analysis:
GEE Group Inc. [JOB] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -30.89. With this latest performance, JOB shares dropped by -50.00% in over the last four-week period, additionally sinking by -14.80% over the last 6 months – not to mention a rise of 157.50% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for JOB stock in for the last two-week period is set at 27.28, with the RSI for the last a single of trading hit 18.25, and the three-weeks RSI is set at 33.46 for GEE Group Inc. [JOB]. The present Moving Average for the last 50 days of trading for this stock 1.5341, while it was recorded at 1.1020 for the last single week of trading, and 1.1771 for the last 200 days.
Insight into GEE Group Inc. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and GEE Group Inc. [JOB] shares currently have an operating margin of -0.54 and a Gross Margin at +30.36. GEE Group Inc.’s Net Margin is presently recorded at -11.05.
Return on Total Capital for JOB is now -0.66, given the latest momentum, and Return on Invested Capital for the company is -14.09. Return on Equity for this stock declined to -44.70, with Return on Assets sitting at -10.86. When it comes to the capital structure of this company, GEE Group Inc. [JOB] has a Total Debt to Total Equity ratio set at 274.47. Additionally, JOB Total Debt to Total Capital is recorded at 73.30, with Total Debt to Total Assets ending up at 58.52. Long-Term Debt to Equity for the company is recorded at 260.38, with the Long-Term Debt to Total Capital now at 69.53.
Reflecting on the efficiency of the workforce at the company, GEE Group Inc. [JOB] managed to generate an average of -$55,609 per employee. Receivables Turnover for the company is 7.04 with a Total Asset Turnover recorded at a value of 0.98.GEE Group Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.50 and a Current Ratio set at 1.50.
JOB Stock EPS
With the latest financial reports released by the company, GEE Group Inc. posted -0.34/share EPS, while the average EPS was predicted by analysts to be reported at -0.29/share. When compared, the two values demonstrate that the company fail the estimates by a Surprise Factor of -17.20%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for JOB.
GEE Group Inc. [JOB] Insider Position Details
There are presently around $2 million, or 15.00% of JOB stock, in the hands of institutional investors. The top three institutional holders of JOB stocks are: THRIVENT FINANCIAL FOR LUTHERANS with ownership of 1,392,831, which is approximately -31.535% of the company’s market cap and around 25.73% of the total institutional ownership; RENAISSANCE TECHNOLOGIES LLC, holding 392,336 shares of the stock with an approximate value of $0.33 million in JOB stocks shares; and BRIDGEWAY CAPITAL MANAGEMENT, LLC, currently with $0.11 million in JOB stock with ownership of nearly 72.809% of the company’s market capitalization.
Positions in GEE Group Inc. stocks held by institutional investors increased at the end of May and at the time of the May reporting period, where 7 institutional holders increased their position in GEE Group Inc. [AMEX:JOB] by around 359,709 shares. Additionally, 6 investors decreased positions by around 996,949 shares, while 5 investors held positions by with 996,156 shares. The mentioned changes placed institutional holdings at 2,352,814 shares, according to the latest SEC report filing. JOB stock had 3 new institutional investments in for a total of 163,104 shares, while 2 institutional investors sold positions of 28,053 shares during the same period.