Aaron's Holdings Company, Inc. $PRG Shares Acquired by Rip Road Capital Partners LP

Key Points

• Rip Road Capital Partners LP increased its stake in Aaron's Holdings Company, Inc. by 13.2%, now holding approximately 188,180 shares valued at about $5 million.
• Aaron's reported a Q2 earnings per share (EPS) of $1.02, exceeding analysts' estimates by $0.23, with quarterly revenue rising by 2.1% year-over-year.
• The company announced a dividend of $0.13 per share, representing a 1.5% annual yield and a payout ratio of 10.28%.

Rip Road Capital Partners LP boosted its stake in shares of Aaron's Holdings Company, Inc. (NYSE:PRG - Free Report) by 13.2% in the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 188,180 shares of the company's stock after buying an additional 21,904 shares during the quarter. Aaron's makes up 5.5% of Rip Road Capital Partners LP's portfolio, making the stock its 8th largest position. Rip Road Capital Partners LP owned 0.47% of Aaron's worth $5,006,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in PRG. Breach Inlet Capital Management LLC lifted its holdings in Aaron's by 140.7% during the 1st quarter. Breach Inlet Capital Management LLC now owns 703,849 shares of the company's stock valued at $18,722,000 after buying an additional 411,459 shares in the last quarter. Nuveen LLC bought a new stake in Aaron's during the 1st quarter valued at about $10,770,000. Vulcan Value Partners LLC lifted its holdings in Aaron's by 84.3% during the 1st quarter. Vulcan Value Partners LLC now owns 681,746 shares of the company's stock valued at $18,134,000 after buying an additional 311,917 shares in the last quarter. Millennium Management LLC lifted its holdings in Aaron's by 62.7% during the 1st quarter. Millennium Management LLC now owns 673,405 shares of the company's stock valued at $17,913,000 after buying an additional 259,630 shares in the last quarter. Finally, Wellington Management Group LLP increased its position in Aaron's by 46.4% during the 1st quarter. Wellington Management Group LLP now owns 617,624 shares of the company's stock valued at $16,429,000 after purchasing an additional 195,855 shares during the period. Institutional investors own 97.92% of the company's stock.

Wall Street Analyst Weigh In

PRG has been the topic of a number of research reports. BTIG Research downgraded shares of Aaron's from a "neutral" rating to a "sell" rating and set a $24.00 target price on the stock. in a research report on Monday, July 14th. Wall Street Zen raised shares of Aaron's from a "hold" rating to a "buy" rating in a research report on Saturday, September 6th. One analyst has rated the stock with a Strong Buy rating, four have given a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, Aaron's has a consensus rating of "Moderate Buy" and an average target price of $41.00.

Aaron's Stock Up 3.9%

Shares of Aaron's stock traded up $1.38 on Thursday, reaching $36.43. The stock had a trading volume of 301,004 shares, compared to its average volume of 477,665. The stock has a market capitalization of $1.44 billion, a P/E ratio of 7.20 and a beta of 1.77. Aaron's Holdings Company, Inc. has a 1 year low of $23.50 and a 1 year high of $50.28. The company has a quick ratio of 2.82, a current ratio of 5.71 and a debt-to-equity ratio of 0.89. The company has a 50 day moving average price of $32.34 and a 200 day moving average price of $29.28.

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, topping the consensus estimate of $0.79 by $0.23. The company had revenue of $604.66 million for the quarter, compared to the consensus estimate of $586.25 million. Aaron's had a net margin of 8.53% and a return on equity of 22.54%. Aaron's's revenue was up 2.1% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.92 EPS. Aaron's has set its Q3 2025 guidance at 0.700-0.750 EPS. FY 2025 guidance at 3.200-3.350 EPS. As a group, equities research analysts forecast that Aaron's Holdings Company, Inc. will post 3.45 EPS for the current year.

Aaron's Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, September 4th. Investors of record on Tuesday, August 19th were given a dividend of $0.13 per share. The ex-dividend date was Tuesday, August 19th. This represents a $0.52 dividend on an annualized basis and a yield of 1.4%. Aaron's's payout ratio is currently 10.28%.

Aaron's Company Profile

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.