<ARTICLE> 5 <CIK> 0000906609 <NAME> The Morgan Group, Inc. <MULTIPLIER> 1,000 <CURRENCY> U.S. Dollars <PERIOD-TYPE> 9-MOS <FISCAL-YEAR-END> DEC-31-1998 <PERIOD-START> JAN-01-1998 <PERIOD-END> SEP-30-1998 <EXCHANGE-RATE> 1.000 <CASH> 126 <SECURITIES> 0 <RECEIVABLES> 16,000 <ALLOWANCES> 268 <INVENTORY> 0 <CURRENT-ASSETS> 19,302 <PP&E> 7,332 <DEPRECIATION> 2,671 <TOTAL-ASSETS> 34,090 <CURRENT-LIABILITIES> 16,527 <BONDS> 0 <COMMON> 41 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <OTHER-SE> 13,046 <TOTAL-LIABILITY-AND-EQUITY> 34,090 <SALES> 114,629 <TOTAL-REVENUES> 114,629 <CGS> 0 <TOTAL-COSTS> 113,038 <OTHER-EXPENSES> 0 <LOSS-PROVISION> 421 <INTEREST-EXPENSE> 460 <INCOME-PRETAX> 1,131 <INCOME-TAX> 424 <INCOME-CONTINUING> 707 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 707 <EPS-PRIMARY> 0.28 <EPS-DILUTED> 0.28