Regal Rexnord (NYSE:RRX) Shares Gap Up Following Strong Earnings

Regal Rexnord Co. (NYSE:RRXGet Free Report) shares gapped up prior to trading on Thursday following a stronger than expected earnings report. The stock had previously closed at $140.76, but opened at $151.56. Regal Rexnord shares last traded at $149.82, with a volume of 96,395 shares traded.

The company reported $2.28 earnings per share for the quarter, topping analysts’ consensus estimates of $2.26 by $0.02. The company had revenue of $1.61 billion during the quarter, compared to the consensus estimate of $1.63 billion. Regal Rexnord had a positive return on equity of 9.92% and a negative net margin of 0.20%. The company’s revenue was up 29.2% on a year-over-year basis. During the same quarter last year, the firm earned $2.64 earnings per share.

Regal Rexnord Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, April 12th. Investors of record on Thursday, March 28th will be paid a $0.35 dividend. This represents a $1.40 dividend on an annualized basis and a yield of 0.95%. The ex-dividend date of this dividend is Wednesday, March 27th. Regal Rexnord’s dividend payout ratio (DPR) is presently -777.78%.

Analysts Set New Price Targets

A number of research firms have issued reports on RRX. TheStreet cut Regal Rexnord from a “b-” rating to a “c” rating in a research report on Thursday, November 2nd. KeyCorp reduced their target price on Regal Rexnord from $184.00 to $148.00 and set an “overweight” rating on the stock in a report on Thursday, November 2nd. Finally, Wolfe Research upgraded Regal Rexnord from a “peer perform” rating to an “outperform” rating and set a $151.00 target price on the stock in a report on Monday, December 11th. One analyst has rated the stock with a hold rating and four have issued a buy rating to the company. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $177.50.

Get Our Latest Report on RRX

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in RRX. Manchester Capital Management LLC raised its holdings in shares of Regal Rexnord by 31.2% during the 4th quarter. Manchester Capital Management LLC now owns 3,575 shares of the company’s stock valued at $529,000 after buying an additional 850 shares in the last quarter. Inceptionr LLC purchased a new position in shares of Regal Rexnord during the 4th quarter valued at about $376,000. Empire Life Investments Inc. bought a new position in Regal Rexnord during the 4th quarter worth approximately $15,434,000. Nicholas Investment Partners LP grew its position in Regal Rexnord by 26.4% during the 4th quarter. Nicholas Investment Partners LP now owns 43,794 shares of the company’s stock worth $6,482,000 after acquiring an additional 9,140 shares during the last quarter. Finally, Roubaix Capital LLC bought a new position in Regal Rexnord during the 4th quarter worth approximately $2,700,000. Institutional investors own 96.67% of the company’s stock.

Regal Rexnord Trading Up 5.2 %

The firm has a 50-day moving average of $139.13 and a 200-day moving average of $138.75. The company has a debt-to-equity ratio of 1.05, a quick ratio of 1.59 and a current ratio of 2.58. The firm has a market capitalization of $9.82 billion, a P/E ratio of -822.28, a price-to-earnings-growth ratio of 1.28 and a beta of 1.09.

Regal Rexnord Company Profile

(Get Free Report)

Regal Rexnord Corporation manufactures and sells industrial powertrain solutions, power transmission components, electric motors and electronic controls, air moving products, and specialty electrical components and systems worldwide. It operates in four segments: Commercial Systems, Industrial Systems, Climate Solutions, and Motion Control Solutions.

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