Aaron's Holdings Company, Inc. (NYSE:PRG) to Issue Quarterly Dividend of $0.13

Key Points

• Aaron's Holdings Company, Inc. declared a quarterly dividend of $0.13, payable on September 4th to shareholders of record as of August 19th, reflecting a 1.6% yield.
• The company's latest earnings report showed an EPS of $1.02, exceeding estimates by $0.23, with quarterly revenue of $604.66 million, representing a 2.1% year-over-year increase.
• Aaron's has a low dividend payout ratio of 14.2%, indicating strong earnings coverage for its dividend payments, with projected earnings of $4.13 per share next year.

Aaron's Holdings Company, Inc. (NYSE:PRG - Get Free Report) announced a quarterly dividend on Thursday, August 7th, RTT News reports. Investors of record on Tuesday, August 19th will be paid a dividend of 0.13 per share on Thursday, September 4th. This represents a c) annualized dividend and a dividend yield of 1.7%. The ex-dividend date of this dividend is Tuesday, August 19th.

Aaron's has a payout ratio of 14.2% indicating that its dividend is sufficiently covered by earnings. Analysts expect Aaron's to earn $4.13 per share next year, which means the company should continue to be able to cover its $0.52 annual dividend with an expected future payout ratio of 12.6%.

Aaron's Price Performance

Shares of PRG stock traded down $0.02 during trading on Friday, hitting $31.34. The company had a trading volume of 514,094 shares, compared to its average volume of 475,623. The company has a debt-to-equity ratio of 0.89, a quick ratio of 2.82 and a current ratio of 5.71. The firm has a market capitalization of $1.24 billion, a P/E ratio of 6.19 and a beta of 1.75. The stock's 50-day moving average price is $29.93 and its 200 day moving average price is $30.34. Aaron's has a one year low of $23.50 and a one year high of $50.28.

Aaron's (NYSE:PRG - Get Free Report) last released its earnings results on Wednesday, July 23rd. The company reported $1.02 earnings per share for the quarter, beating analysts' consensus estimates of $0.79 by $0.23. The firm had revenue of $604.66 million during the quarter, compared to the consensus estimate of $586.25 million. Aaron's had a return on equity of 22.54% and a net margin of 8.53%. The company's revenue was up 2.1% compared to the same quarter last year. During the same period in the prior year, the company posted $0.92 EPS. Equities analysts expect that Aaron's will post 3.45 EPS for the current fiscal year.

Analyst Ratings Changes

Several research firms recently weighed in on PRG. Wall Street Zen cut shares of Aaron's from a "buy" rating to a "hold" rating in a research report on Saturday, July 26th. BTIG Research downgraded shares of Aaron's from a "neutral" rating to a "sell" rating and set a $24.00 price target for the company. in a report on Monday, July 14th. KeyCorp cut their price target on shares of Aaron's from $50.00 to $45.00 and set an "overweight" rating for the company in a report on Thursday, April 24th. Finally, Loop Capital cut their target price on Aaron's from $45.00 to $40.00 and set a "buy" rating for the company in a research note on Thursday, April 24th. One equities research analyst has rated the stock with a sell rating, two have given a hold rating, four have assigned a buy rating and one has issued a strong buy rating to the company. According to MarketBeat, Aaron's currently has a consensus rating of "Moderate Buy" and a consensus target price of $41.00.

About Aaron's

PROG Holdings, Inc NYSE: PRG is a financial technology holding company based in Salt Lake City, Utah with three business segments: Progressive Leasing, which offers lease-to-own transactions primarily to credit-challenged consumers through e-commerce and point-of-sale retail partners, via online, mobile, and in-store solutions; Vive Financial, which provides consumers who may not qualify for traditional prime lending with a variety of second-look, revolving credit products through private label and branded credit cards; and Four Technologies, which provides consumers of all credit backgrounds Buy Now, Pay Later (BNPL) options through four interest-free installments via its platform, Four.