First Trust Advisors LP, a Chicago-based investment firm focused on managing assets for institutions and high-net-worth individuals, recently disclosed its reducing positions in Barrett Business Services. The business services provider offers management solutions to small and mid-sized companies through a unique platform that integrates knowledge-based approaches from consulting with tools of human resource outsourcing.
The filing revealed that First Trust Advisors’ ownership in shares of Barrett Business Services decreased by approximately 8.2% during Q4. As of the most recent SEC filing, the fund owned about 0.25% of BBSI’s total outstanding shares valued at $1,597,000.
The reduction in positions comes amid widespread economic uncertainty caused by the COVID-19 pandemic, which has wreaked havoc on the financial markets globally. Amid such unpredictable times, investors are wary of investments deemed risky and insecure.
Despite this setback, the company has continued to offer value to its shareholders by declaring quarterly dividends on June 2nd. Shareholders that were recorded as holding shares on May 19th received a dividend payout of $0.30 per share while those who traded after May 18th missed out on this payout.
Barrett Business Services offers excellent potential for those seeking long-term investment since it focuses primarily on professional employment staffing/recruitment services and mid-sized corporate management solutions uniquely tailored for clients’ needs. With an impressive dividend yield rate of over 1%, the company is poised to return significant returns to investors even amid uncertain times like these.
In conclusion, although First Trust Advisors LP reduced its position in Barrett Business Services in Q4 of last year, current market analysts do not expect such reduction to continue into subsequent quarters as the impressive business model and management service provision will likely attract more investors willing to take advantage of higher yields from stable returns making investing in BBSI worth considering for any investor seeking good long-term returns in this uncertain economic environment.
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Institutional Investors and Hedge Funds Show Interest in Barrett Business Services Inc.
Barrett Business Services, Inc. has been attracting increased attention from institutional investors and hedge funds, as evidenced by recent stock purchases and sales. The company has seen a notable rise in shareholder involvement with BlackRock Inc., Private Capital Management LLC, Dimensional Fund Advisors LP, State Street Corp, and Royal Bank of Canada all acquiring significant holdings in the company’s stock.
BlackRock Inc., for instance, confirmed a 5.1% increase in its position during Q1, resulting in ownership of 564,551 shares worth $43,735,000 after acquiring a further 27,181 shares during the last quarter. Private Capital Management LLC followed suit with an increase of 11.3% to its holdings during Q2 bringing its total to 264,475 shares worth $19,272,000.
Dimensional Fund Advisors LP increased its holdings by 1.3% in Q3 resulting in ownership of 264,293 shares worth $20,614,000 after purchasing an additional 3,282 shares during that period. This was followed by State Street Corp which increased its holdings by 4.7% in Q2 resulting in 203,567 shares now worth $14,834 million.
Finally Royal Bank of Canada acquired an additional 2.2%, bringing its total ownership up to 114,495 shares now valued at $8,931 million.
Given this intensified interest among institutions and hedge funds towards Barrett Business Services; it is unsurprising that many brokerages have recently issued reports on BBSI predicting positive potential gains for buyers.
Despite a fifty day moving average of $84.86 and a two hundred day moving average of $91.17; BBSI appears to remain very steady amidst market volatility with a twelve month low of $65.93 and high of $100.85.
Overall BBSI currently holds a market cap value hovering around $593.49 million, a price-to-earnings ratio of 13.03 and a P/E/G ratio of 0.89; with analysts suggesting that its future performance may prove profitable for investors.
