Adage Capital Partners GP L.L.C. Purchases 73,195 Shares of Regal Rexnord Corporation $RRX

Key Points

• Adage Capital Partners GP L.L.C. significantly increased its stake in Regal Rexnord Corporation by 732.0%, acquiring an additional 73,195 shares, bringing its total holdings to 83,195 shares worth approximately $9.47 million.
• Regal Rexnord reported earnings of $2.48 per share for the last quarter, exceeding estimates, while revenue remained stable at $1.50 billion despite a year-over-year decline.
• The company announced a quarterly dividend of $0.35 per share, with an upcoming payment date of October 14th and a dividend yield of 1.0%.

Adage Capital Partners GP L.L.C. boosted its stake in shares of Regal Rexnord Corporation (NYSE:RRX - Free Report) by 732.0% during the 1st quarter, according to its most recent 13F filing with the SEC. The firm owned 83,195 shares of the company's stock after buying an additional 73,195 shares during the period. Adage Capital Partners GP L.L.C. owned approximately 0.13% of Regal Rexnord worth $9,472,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors also recently bought and sold shares of RRX. Nuveen LLC purchased a new stake in Regal Rexnord during the 1st quarter valued at $117,996,000. Invesco Ltd. grew its position in Regal Rexnord by 76.3% in the 1st quarter. Invesco Ltd. now owns 932,829 shares of the company's stock valued at $106,203,000 after acquiring an additional 403,845 shares during the last quarter. Nuveen Asset Management LLC grew its position in Regal Rexnord by 79.8% in the 4th quarter. Nuveen Asset Management LLC now owns 899,688 shares of the company's stock valued at $139,569,000 after acquiring an additional 399,267 shares during the last quarter. Dimensional Fund Advisors LP grew its position in Regal Rexnord by 30.2% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,712,297 shares of the company's stock valued at $194,955,000 after acquiring an additional 396,737 shares during the last quarter. Finally, Victory Capital Management Inc. grew its position in Regal Rexnord by 11.9% in the 1st quarter. Victory Capital Management Inc. now owns 2,436,848 shares of the company's stock valued at $277,435,000 after acquiring an additional 259,885 shares during the last quarter. Hedge funds and other institutional investors own 99.72% of the company's stock.

Analyst Upgrades and Downgrades

Several equities analysts have commented on RRX shares. Citigroup reaffirmed a "buy" rating and issued a $165.00 price objective (up previously from $145.00) on shares of Regal Rexnord in a research report on Tuesday, June 24th. KeyCorp set a $180.00 price objective on Regal Rexnord and gave the company an "overweight" rating in a research report on Thursday, June 26th. The Goldman Sachs Group upped their price objective on Regal Rexnord from $173.00 to $195.00 and gave the company a "buy" rating in a research report on Tuesday, July 8th. Wall Street Zen downgraded Regal Rexnord from a "strong-buy" rating to a "buy" rating in a research report on Friday, September 5th. Finally, Barclays upped their price objective on Regal Rexnord from $160.00 to $165.00 and gave the company an "overweight" rating in a research report on Wednesday, July 9th. Eight investment analysts have rated the stock with a Buy rating, According to data from MarketBeat, Regal Rexnord has an average rating of "Buy" and a consensus price target of $185.25.

Regal Rexnord Stock Down 4.3%

Shares of RRX traded down $6.25 during midday trading on Friday, reaching $138.68. 1,039,851 shares of the stock were exchanged, compared to its average volume of 639,079. Regal Rexnord Corporation has a 52 week low of $90.56 and a 52 week high of $185.28. The company has a current ratio of 2.00, a quick ratio of 0.93 and a debt-to-equity ratio of 0.72. The company's 50 day moving average is $148.38 and its two-hundred day moving average is $133.08. The company has a market capitalization of $9.20 billion, a P/E ratio of 36.88, a PEG ratio of 1.46 and a beta of 1.18.

Regal Rexnord (NYSE:RRX - Get Free Report) last posted its quarterly earnings results on Tuesday, August 5th. The company reported $2.48 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.42 by $0.06. Regal Rexnord had a return on equity of 9.73% and a net margin of 4.28%.The business had revenue of $1.50 billion for the quarter, compared to the consensus estimate of $1.50 billion. During the same quarter in the prior year, the company earned $2.29 EPS. The business's revenue was down 3.3% compared to the same quarter last year. Regal Rexnord has set its FY 2025 guidance at 9.700-10.300 EPS. On average, sell-side analysts anticipate that Regal Rexnord Corporation will post 9.95 earnings per share for the current year.

Regal Rexnord Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, October 14th. Stockholders of record on Tuesday, September 30th will be issued a $0.35 dividend. This represents a $1.40 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date is Tuesday, September 30th. Regal Rexnord's dividend payout ratio (DPR) is currently 37.23%.

About Regal Rexnord

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. The Industrial Powertrain Solutions segment provides mounted and unmounted bearings, couplings, mechanical power transmission drives and components, gearboxes, gear motors, clutches, brakes, special, and industrial powertrain components and solutions for food and beverage, bulk material handling, eCommerce/warehouse distribution, energy, mining, marine, agricultural machinery, turf and garden, and general industrial markets.