Shares of Stock Advisor recommendation Resources Connection (NASDAQ:RECN) (aka Resources Global) slid 5.5% last week in the wake of an earnings report in which profits growth flatlined despite revenues rising 15% year over year.

The report on Resources Global's performance in its second fiscal quarter of 2006 disappointed Wall Street analysts, who had been hoping to see the company post $0.32 per share in profits. In fact, the company was hard-pressed to report even $0.31 -- the same per-share number as it achieved one year ago and representing a 3% increase in overall net profits for the company. (The reason the companywide profits boost didn't translate into more earnings per diluted share: The share count increased by 3.6%, negating the improvement in profits at the per-share level.)

Resources Global provides human resources to companies on a project basis. It boasts a blue-chip client roster, populated with names such as Southwest (NYSE:LUV), Inside Value pick Tyco (NYSE:TYC), and ConocoPhillips (NYSE:COP). When one of its clients needs to ramp up its accounting, IT, or legal department on short notice but doesn't want to commit to long-term hires, Resource Connection plays the role of "highly qualified long-term temp agency," sending its CPA, techie, or lawyer associates to help out.

Recent quarters have seen Resources Global receiving a lot of such calls, as clients cry out to be saved from the Sarbanes-Oxley bugaboo. But the volume of new work does appear to be trailing off. Over the past several quarters, there's been a clear trend of slowing revenue growth -- 30% year-over-year growth last quarter was nice, but not as nice as the 40% the quarter previous, the 50% in the quarter before that, or the 85% growth in the quarter before that. You get the picture.

That said, nine analysts follow the stock, and together, they've hit very close to the mark in predicting this company's earnings over the past year. When these guys say that Resources Global can halt the revenue slide and maintain 25% earnings growth over each of the next five years, I'm inclined to buy that argument.

So assume they're right. If they are, then what we have here is a company valued at about $1.2 billion and generating $60 million in free cash flow over the past 12 months (not counting this past quarter, for which the company -- shame, shame -- failed to provide a cash flow statement.) That's a price-to-free cash flow ratio of 20 on a company with 25% projected earnings growth and a 25% return on equity to boot. In this Fool's book, even if the Sarbanes-fueled business growth does dry up, that price looks more than fair.

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Fool contributor Rich Smith has no position in any company named above.