Channing Capital Management LLC Takes Position in McGrath RentCorp $MGRC

Key Points

• Channing Capital Management LLC invested approximately $55.05 million in McGrath RentCorp, acquiring 494,159 shares during the first quarter, representing about 2.01% of the company's stock.
• McGrath RentCorp reported a quarterly earnings per share (EPS) of $1.46, exceeding analyst expectations and showcasing a 10.8% increase in revenue compared to the previous year.
• The company announced a quarterly dividend of $0.485, translating to an annualized dividend of $1.94 and a yield of 1.6%, with a payout ratio of 18.89%.

Channing Capital Management LLC acquired a new stake in McGrath RentCorp (NASDAQ:MGRC - Free Report) in the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm acquired 494,159 shares of the financial services provider's stock, valued at approximately $55,049,000. Channing Capital Management LLC owned about 2.01% of McGrath RentCorp as of its most recent SEC filing.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Canada Pension Plan Investment Board acquired a new position in McGrath RentCorp in the 4th quarter worth approximately $89,000. Focus Partners Wealth acquired a new position in McGrath RentCorp in the 4th quarter worth approximately $136,000. State of Wyoming acquired a new position in McGrath RentCorp in the 4th quarter worth approximately $159,000. Teza Capital Management LLC acquired a new position in McGrath RentCorp in the 4th quarter worth approximately $213,000. Finally, Nisa Investment Advisors LLC increased its holdings in McGrath RentCorp by 9.1% in the 1st quarter. Nisa Investment Advisors LLC now owns 2,093 shares of the financial services provider's stock worth $233,000 after buying an additional 174 shares during the period. 92.05% of the stock is owned by hedge funds and other institutional investors.

Insider Activity

In other news, Director Kimberly Ann Box sold 1,500 shares of the firm's stock in a transaction that occurred on Wednesday, August 6th. The shares were sold at an average price of $118.50, for a total transaction of $177,750.00. Following the sale, the director owned 7,000 shares of the company's stock, valued at $829,500. This trade represents a 17.65% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CAO David M. Whitney sold 2,221 shares of the stock in a transaction that occurred on Friday, June 6th. The shares were sold at an average price of $114.21, for a total value of $253,660.41. Following the transaction, the chief accounting officer owned 6,694 shares in the company, valued at $764,521.74. This trade represents a 24.91% decrease in their position. The disclosure for this sale can be found here. Insiders sold 21,519 shares of company stock worth $2,645,800 over the last 90 days. Company insiders own 1.40% of the company's stock.

McGrath RentCorp Price Performance

NASDAQ:MGRC traded up $1.67 during midday trading on Tuesday, hitting $123.53. The company's stock had a trading volume of 17,235 shares, compared to its average volume of 141,929. The firm has a market cap of $3.04 billion, a P/E ratio of 12.03, a P/E/G ratio of 1.28 and a beta of 0.66. McGrath RentCorp has a fifty-two week low of $95.50 and a fifty-two week high of $129.93. The firm's 50 day moving average is $118.76 and its 200-day moving average is $115.10.

McGrath RentCorp (NASDAQ:MGRC - Get Free Report) last issued its quarterly earnings data on Thursday, July 24th. The financial services provider reported $1.46 EPS for the quarter, topping analysts' consensus estimates of $1.30 by $0.16. The business had revenue of $235.62 million for the quarter, compared to analysts' expectations of $220.71 million. McGrath RentCorp had a net margin of 26.81% and a return on equity of 13.52%. The business's revenue was up 10.8% on a year-over-year basis. During the same quarter last year, the company earned $0.84 EPS. McGrath RentCorp has set its FY 2025 guidance at EPS. As a group, analysts forecast that McGrath RentCorp will post 6.18 EPS for the current year.

McGrath RentCorp Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, July 31st. Stockholders of record on Thursday, July 17th were paid a dividend of $0.485 per share. The ex-dividend date of this dividend was Thursday, July 17th. This represents a $1.94 dividend on an annualized basis and a dividend yield of 1.6%. McGrath RentCorp's dividend payout ratio (DPR) is presently 18.89%.

McGrath RentCorp Profile

McGrath RentCorp operates as a business to business rental company in the United States and internationally. It rents and sells relocatable modular buildings, portable storage containers, and electronic test equipment. The company operates through four segments: Mobile Modular, Portable Storage, TRS-RenTelco, and Enviroplex.