Regal Rexnord (NYSE:RRX) Downgraded by Wall Street Zen to Buy

Wall Street Zen cut shares of Regal Rexnord (NYSE:RRX) from a strong-buy rating to a buy rating in a research note issued to investors on Saturday.

Several other analysts also recently issued reports on RRX. Barclays boosted their price objective on Regal Rexnord from $237.00 to $245.00 and gave the stock an “overweight” rating in a report on Monday, March 23rd. JPMorgan Chase & Co. increased their price target on shares of Regal Rexnord from $230.00 to $240.00 and gave the stock an “overweight” rating in a research report on Tuesday, May 26th. Wolfe Research set a $250.00 target price on shares of Regal Rexnord in a research note on Thursday, July 9th. Weiss Ratings reiterated a “hold (c)” rating on shares of Regal Rexnord in a report on Tuesday, April 21st. Finally, Citigroup upped their price objective on shares of Regal Rexnord from $240.00 to $260.00 and gave the stock a “buy” rating in a report on Tuesday. Seven investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat.com, Regal Rexnord has an average rating of “Moderate Buy” and an average target price of $243.45.

Regal Rexnord Stock Down 2.2%

RRX opened at $207.29 on Friday. The stock’s fifty day moving average is $211.75 and its 200-day moving average is $197.27. The company has a market capitalization of $13.80 billion, a PE ratio of 48.21, a P/E/G ratio of 1.94 and a beta of 1.08. Regal Rexnord has a one year low of $127.96 and a one year high of $247.80. The company has a debt-to-equity ratio of 0.69, a quick ratio of 1.08 and a current ratio of 2.17.

Regal Rexnord (NYSE:RRX) last issued its quarterly earnings results on Thursday, May 7th. The company reported $2.17 earnings per share for the quarter, beating analysts’ consensus estimates of $2.11 by $0.06. Regal Rexnord had a net margin of 4.78% and a return on equity of 9.49%. The company had revenue of $1.48 billion during the quarter, compared to the consensus estimate of $1.43 billion. During the same period in the prior year, the company earned $2.15 EPS. Regal Rexnord’s revenue was up 4.3% on a year-over-year basis. On average, equities analysts predict that Regal Rexnord will post 10.64 EPS for the current fiscal year.

Regal Rexnord Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, July 14th. Stockholders of record on Tuesday, June 30th were issued a dividend of $0.35 per share. This represents a $1.40 annualized dividend and a dividend yield of 0.7%. The ex-dividend date of this dividend was Tuesday, June 30th. Regal Rexnord’s dividend payout ratio (DPR) is presently 32.56%.

Insiders Place Their Bets

In other Regal Rexnord news, CFO Robert Rehard sold 6,499 shares of Regal Rexnord stock in a transaction on Friday, May 22nd. The shares were sold at an average price of $200.00, for a total transaction of $1,299,800.00. Following the sale, the chief financial officer owned 27,965 shares in the company, valued at $5,593,000. The trade was a 18.86% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Robin A. Walker-Lee sold 1,297 shares of the company’s stock in a transaction dated Monday, May 11th. The shares were sold at an average price of $213.85, for a total transaction of $277,363.45. Following the completion of the sale, the director directly owned 5,503 shares in the company, valued at approximately $1,176,816.55. The trade was a 19.07% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 30,305 shares of company stock worth $6,341,869 over the last 90 days. Corporate insiders own 0.63% of the company’s stock.

Institutional Investors Weigh In On Regal Rexnord

Several large investors have recently made changes to their positions in RRX. AIA Group Ltd bought a new stake in Regal Rexnord during the 3rd quarter worth approximately $1,477,000. JPMorgan Chase & Co. raised its holdings in Regal Rexnord by 97.0% during the 3rd quarter. JPMorgan Chase & Co. now owns 260,853 shares of the company’s stock worth $37,419,000 after purchasing an additional 128,468 shares during the last quarter. Easterly Investment Partners LLC raised its stake in shares of Regal Rexnord by 719.4% during the fourth quarter. Easterly Investment Partners LLC now owns 75,354 shares of the company’s stock worth $10,574,000 after buying an additional 66,158 shares during the last quarter. Zurcher Kantonalbank Zurich Cantonalbank lifted its stake in shares of Regal Rexnord by 42.1% in the 4th quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 25,793 shares of the company’s stock valued at $3,619,000 after purchasing an additional 7,647 shares during the period. Finally, Vontobel Holding Ltd. lifted its stake in Regal Rexnord by 5.2% in the fourth quarter. Vontobel Holding Ltd. now owns 276,266 shares of the company’s stock valued at $38,766,000 after buying an additional 13,564 shares during the period. Institutional investors own 99.72% of the company’s stock.

Regal Rexnord Company Profile

Regal Rexnord Corporation (NYSE: RRX) is a global industrial manufacturer specializing in electric motors, power generation equipment and automated motion control systems. The company designs, engineers and produces a broad portfolio of products that includes energy-efficient electric motors, variable frequency drives, gearboxes, couplings, bearings and power transmission components. These offerings support critical applications in industries such as heating, ventilation and air conditioning (HVAC), refrigeration, data centers, water treatment, food and beverage processing, mining, oil and gas, and material handling.

The company’s operations are organized into multiple business segments that address distinct customer needs.