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DCF valuation

What is Resources Connection, Inc. worth?

With the base-case assumptions below, a discounted cash flow model on Resources Connection, Inc.'s reported free cash flow gives $2.64 per share. The share price was $3.79 on September 25, 2026, 43% above that value.

Inputs from the filings

Free cash flow, fiscal 2026
$619K
Average free cash flow, last 5 years
$32.7M
Cash
$82.4M
balance sheet of May 30, 2026
Debt
$0
not reported, counted as 0
Diluted shares, fiscal 2026
33,551,000
Revenue growth per year, last 5 years
-6.4%

Three sets of assumptions

CaseGrowth yrs 1-5Growth yrs 6-10After year 10Discount rateValue per shareValue vs price
Bear-10.0%-4.0%2.0%10.0%$2.57-32%
Base-5.0%-1.0%2.5%9.0%$2.64-30%
Bull0.0%1.5%3.0%8.0%$2.77-27%

Sensitivity: base case value per share

Discount rate down the side, growth after year 10 across the top. Everything else as in the base case.

1.5%2.0%2.5%3.0%3.5%
7.0%$2.69$2.70$2.72$2.74$2.77
8.0%$2.65$2.66$2.67$2.69$2.70
9.0%$2.63$2.64$2.64$2.65$2.66
10.0%$2.61$2.62$2.62$2.63$2.63
11.0%$2.60$2.60$2.60$2.61$2.61

Where the presets come from

Base: years 1 to 5 grow at Resources Connection, Inc.'s revenue growth rate over the last 5 fiscal years (-6.4% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.

Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.

Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.

This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.

Adjust the assumptions

Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.

Adjust the assumptions

Resources Connection, Inc. company page