Regal Rexnord Corporation (NYSE:RRX) Given Consensus Rating of "Moderate Buy" by Brokerages

Key Points

• Regal Rexnord has a “Moderate Buy” consensus rating from 11 analysts, with eight buys and three holds. The average 12-month price target is approximately $244.92.
• Institutional investors own 99.72% of the company, with major firms including BlackRock and Bank of New York Mellon acquiring significant stakes and Wellington Management increasing its holdings.
• The company exceeded quarterly EPS expectations, reporting $2.99 versus the $2.58 consensus estimate, while revenue rose 4.2% year over year to $1.56 billion. Regal Rexnord also declared a quarterly dividend of $0.35 per share, representing a 0.9% yield.

Regal Rexnord Corporation (NYSE:RRX - Get Free Report) has been assigned a consensus recommendation of "Moderate Buy" from the eleven research firms that are currently covering the stock, Marketbeat reports. Three investment analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company. The average 12 month price objective among brokers that have covered the stock in the last year is $244.9167.

Several research firms have recently issued reports on RRX. Deutsche Bank Aktiengesellschaft started coverage on shares of Regal Rexnord in a report on Monday, July 20th. They set a "buy" rating and a $286.00 price objective on the stock. JPMorgan Chase & Co. lifted their target price on shares of Regal Rexnord from $230.00 to $240.00 and gave the stock an "overweight" rating in a research note on Tuesday, May 26th. Citigroup boosted their target price on shares of Regal Rexnord from $240.00 to $260.00 and gave the stock a "buy" rating in a research report on Tuesday, July 14th. DA Davidson began coverage on shares of Regal Rexnord in a research note on Tuesday, June 16th. They set a "buy" rating and a $260.00 price target on the stock. Finally, UBS Group set a $260.00 price target on shares of Regal Rexnord in a report on Monday, June 15th.

Institutional Trading of Regal Rexnord

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. BlackRock Inc. acquired a new position in Regal Rexnord in the 2nd quarter worth approximately $1,477,356,000. Bank of New York Mellon Corp acquired a new stake in Regal Rexnord during the 2nd quarter valued at approximately $449,281,000. Victory Capital Management Inc. lifted its stake in Regal Rexnord by 42.6% during the 4th quarter. Victory Capital Management Inc. now owns 5,658,365 shares of the company's stock valued at $793,983,000 after acquiring an additional 1,690,264 shares during the period. Wellington Management Group LLP boosted its holdings in shares of Regal Rexnord by 75.8% in the 2nd quarter. Wellington Management Group LLP now owns 2,584,056 shares of the company's stock valued at $615,496,000 after acquiring an additional 1,113,888 shares during the last quarter. Finally, Barrow Hanley Mewhinney & Strauss LLC acquired a new stake in shares of Regal Rexnord in the second quarter worth $254,637,000. Institutional investors and hedge funds own 99.72% of the company's stock.

Regal Rexnord Stock Down 0.8%

Regal Rexnord stock opened at $148.04 on Friday. The company has a debt-to-equity ratio of 0.66, a current ratio of 2.28 and a quick ratio of 1.16. The stock has a market capitalization of $9.86 billion, a price-to-earnings ratio of 30.52, a PEG ratio of 1.11 and a beta of 1.06. Regal Rexnord has a 1-year low of $127.96 and a 1-year high of $247.80. The business has a fifty day moving average price of $180.93 and a 200-day moving average price of $196.74.

Regal Rexnord (NYSE:RRX - Get Free Report) last announced its earnings results on Wednesday, August 5th. The company reported $2.99 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.58 by $0.41. Regal Rexnord had a return on equity of 9.93% and a net margin of 5.35%.The company had revenue of $1.56 billion for the quarter, compared to analyst estimates of $1.58 billion. During the same period in the prior year, the company posted $2.48 EPS. The firm's quarterly revenue was up 4.2% compared to the same quarter last year. Regal Rexnord has set its FY 2026 guidance at 10.350-10.850 EPS. Equities research analysts forecast that Regal Rexnord will post 10.68 EPS for the current fiscal year.

Regal Rexnord Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, October 14th. Investors of record on Wednesday, September 30th will be given a $0.35 dividend. This represents a $1.40 annualized dividend and a dividend yield of 0.9%. The ex-dividend date of this dividend is Wednesday, September 30th. Regal Rexnord's dividend payout ratio is presently 28.87%.

About Regal Rexnord

Regal Rexnord Corporation NYSE: RRX is a global manufacturer of industrial powertrain, motion control, automation and air-management products. The company develops technologies that help customers operate equipment more efficiently, reliably and safely across a range of industrial and commercial applications.

Its product portfolio includes electric motors and generators, gearboxes and geared motors, bearings, couplings, clutches, brakes, conveyor components, belting, automation systems, power-transmission products, fans and blowers.

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