McGrath RentCorp (MGRC) Receives Consensus Recommendation of “Buy” from Brokerages
McGrath RentCorp (NASDAQ:MGRC) has been given an average broker rating score of 2.00 (Buy) from the two analysts that provide coverage for the stock, Zacks Investment Research reports. One equities research analyst has rated the stock with a hold recommendation and one has issued a strong buy recommendation on the company. McGrath RentCorp’s rating score has improved by 33.3% in the last three months as a result of various analysts’ upgrades and downgrades.
Brokerages have set a 12 month consensus target price of $70.00 for the company and are predicting that the company will post $0.81 earnings per share for the current quarter, according to Zacks. Zacks has also given McGrath RentCorp an industry rank of 15 out of 257 based on the ratings given to related companies.
MGRC has been the topic of a number of research reports. Zacks Investment Research raised shares of McGrath RentCorp from a “hold” rating to a “strong-buy” rating and set a $61.00 target price on the stock in a research note on Friday, November 2nd. Berenberg Bank assumed coverage on shares of McGrath RentCorp in a research note on Wednesday, September 19th. They issued a “buy” rating and a $70.00 target price on the stock. ValuEngine lowered shares of McGrath RentCorp from a “buy” rating to a “hold” rating in a research report on Tuesday, September 11th. Finally, BidaskClub raised shares of McGrath RentCorp from a “strong sell” rating to a “sell” rating in a research report on Thursday, November 1st.
McGrath RentCorp (NASDAQ:MGRC) last released its earnings results on Tuesday, October 30th. The financial services provider reported $1.01 earnings per share for the quarter, topping the Zacks’ consensus estimate of $0.90 by $0.11. McGrath RentCorp had a net margin of 35.47% and a return on equity of 12.61%. The business had revenue of $143.10 million for the quarter, compared to analyst estimates of $139.87 million. During the same period last year, the company posted $0.69 EPS. The business’s revenue was up 5.7% on a year-over-year basis. As a group, sell-side analysts predict that McGrath RentCorp will post 2.95 earnings per share for the current fiscal year.
The company also recently declared a quarterly dividend, which will be paid on Thursday, January 31st. Stockholders of record on Thursday, January 17th will be given a dividend of $0.34 per share. This represents a $1.36 annualized dividend and a dividend yield of 2.61%. The ex-dividend date of this dividend is Wednesday, January 16th. McGrath RentCorp’s payout ratio is presently 63.55%.
In other news, VP John Lieffrig sold 1,284 shares of McGrath RentCorp stock in a transaction that occurred on Wednesday, November 7th. The shares were sold at an average price of $54.43, for a total transaction of $69,888.12. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, VP Keith E. Pratt sold 1,841 shares of McGrath RentCorp stock in a transaction that occurred on Thursday, November 15th. The shares were sold at an average price of $53.00, for a total transaction of $97,573.00. Following the sale, the vice president now directly owns 25,382 shares in the company, valued at approximately $1,345,246. The disclosure for this sale can be found here. 2.00% of the stock is currently owned by insiders.
Several hedge funds have recently added to or reduced their stakes in the company. Vanguard Group Inc. raised its position in shares of McGrath RentCorp by 1.4% during the 3rd quarter. Vanguard Group Inc. now owns 2,461,158 shares of the financial services provider’s stock valued at $134,059,000 after buying an additional 33,731 shares during the period. BlackRock Inc. raised its position in shares of McGrath RentCorp by 10.7% during the 3rd quarter. BlackRock Inc. now owns 2,425,019 shares of the financial services provider’s stock valued at $132,091,000 after buying an additional 235,373 shares during the period. Renaissance Technologies LLC raised its position in shares of McGrath RentCorp by 6.9% during the 2nd quarter. Renaissance Technologies LLC now owns 694,795 shares of the financial services provider’s stock valued at $43,960,000 after buying an additional 44,900 shares during the period. Northern Trust Corp raised its position in shares of McGrath RentCorp by 8.7% during the 2nd quarter. Northern Trust Corp now owns 557,276 shares of the financial services provider’s stock valued at $35,259,000 after buying an additional 44,682 shares during the period. Finally, Walthausen & Co. LLC purchased a new stake in shares of McGrath RentCorp during the 3rd quarter valued at approximately $18,024,000. 83.06% of the stock is currently owned by hedge funds and other institutional investors.
McGrath RentCorp Company Profile
McGrath RentCorp, a business to business rental company, rents and sells relocatable modular buildings, portable storage containers, electronic test equipment, and liquid and solid containment tanks and boxes in the United States and internationally. It operates through four segments: Mobile Modular, TRS-RenTelco, Adler Tanks, and Enviroplex.
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