Diamond Hill Capital Management LLC Investment Advisor Buys New Shares in Rush Enterprises, Inc. $RUSHA

Key Points

• Diamond Hill Capital Management bought 475,632 shares of Rush Enterprises worth approximately $112.9 million, giving it a 0.61% stake. Institutional investors collectively own 84.43% of the company.
• Analysts maintain a favorable outlook, with a consensus “Moderate Buy” rating and an average price target of $58.00, despite the stock recently opening at $82.23.
• Rush Enterprises exceeded quarterly expectations, reporting $0.61 in EPS versus $0.57 forecast and $1.90 billion in revenue. The company also announced a 3-for-2 stock split and a quarterly dividend of $0.14 per share.

Diamond Hill Capital Management LLC Investment Advisor purchased a new position in shares of Rush Enterprises, Inc. (NASDAQ:RUSHA - Free Report) during the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor purchased 475,632 shares of the company's stock, valued at approximately $112,882,000. Diamond Hill Capital Management LLC Investment Advisor owned approximately 0.61% of Rush Enterprises at the end of the most recent quarter.

A number of other large investors have also recently added to or reduced their stakes in the company. Root Financial Partners LLC increased its stake in shares of Rush Enterprises by 75.4% during the 1st quarter. Root Financial Partners LLC now owns 407 shares of the company's stock worth $27,000 after purchasing an additional 175 shares during the last quarter. CIBC Private Wealth Group LLC lifted its stake in Rush Enterprises by 495.4% in the 3rd quarter. CIBC Private Wealth Group LLC now owns 518 shares of the company's stock valued at $28,000 after purchasing an additional 431 shares during the last quarter. Private Trust Co. NA lifted its stake in Rush Enterprises by 211.4% in the 4th quarter. Private Trust Co. NA now owns 545 shares of the company's stock valued at $29,000 after purchasing an additional 370 shares during the last quarter. Measured Wealth Private Client Group LLC bought a new position in Rush Enterprises during the third quarter worth about $34,000. Finally, Allworth Financial LP grew its holdings in Rush Enterprises by 5,790.9% during the third quarter. Allworth Financial LP now owns 648 shares of the company's stock worth $35,000 after purchasing an additional 637 shares during the period. Institutional investors and hedge funds own 84.43% of the company's stock.

Wall Street Analyst Weigh In

RUSHA has been the topic of several research analyst reports. Stephens upped their price objective on Rush Enterprises from $60.00 to $63.33 and gave the company an "overweight" rating in a research note on Thursday, July 30th. Wall Street Zen upgraded Rush Enterprises from a "hold" rating to a "buy" rating in a research note on Saturday. Wolfe Research initiated coverage on Rush Enterprises in a report on Monday, April 27th. They set an "outperform" rating and a $58.67 target price on the stock. Weiss Ratings upgraded Rush Enterprises from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Thursday, July 23rd. Finally, UBS Group raised their price target on Rush Enterprises from $48.67 to $52.00 and gave the company a "neutral" rating in a report on Wednesday, April 29th. Three equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $58.00.

Rush Enterprises Price Performance

Shares of RUSHA opened at $82.23 on Monday. The firm has a market cap of $6.40 billion, a P/E ratio of 24.77, a price-to-earnings-growth ratio of 1.82 and a beta of 0.87. The company has a debt-to-equity ratio of 0.16, a quick ratio of 0.38 and a current ratio of 1.45. Rush Enterprises, Inc. has a 52 week low of $45.67 and a 52 week high of $83.61. The firm's 50-day simple moving average is $52.25 and its 200 day simple moving average is $48.31.

Rush Enterprises's stock is set to split before the market opens on Tuesday, September 1st. The 3-2 split was recently announced. The newly minted shares will be payable to shareholders after the closing bell on Monday, August 31st.

Rush Enterprises (NASDAQ:RUSHA - Get Free Report) last issued its quarterly earnings data on Tuesday, July 28th. The company reported $0.61 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.57 by $0.04. Rush Enterprises had a return on equity of 11.65% and a net margin of 3.67%.The company had revenue of $1.90 billion during the quarter, compared to analysts' expectations of $1.89 billion. On average, analysts forecast that Rush Enterprises, Inc. will post 3.75 earnings per share for the current year.

Rush Enterprises Cuts Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 24th. Investors of record on Wednesday, September 9th will be paid a $0.14 dividend. The ex-dividend date is Wednesday, September 9th. This represents a $0.56 annualized dividend and a yield of 0.7%. Rush Enterprises's payout ratio is 22.89%.

Insider Transactions at Rush Enterprises

In other news, Director Michael Mcroberts sold 9,750 shares of the business's stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $54.29, for a total value of $529,360.00. Following the completion of the sale, the director owned 24,343 shares of the company's stock, valued at approximately $1,321,662.61. The trade was a 28.60% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO William M. Rusty Rush sold 107,361 shares of the company's stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $54.03, for a total transaction of $5,801,072.70. Following the completion of the transaction, the chief executive officer owned 261,231 shares in the company, valued at $14,115,181.70. This trade represents a 29.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 168,375 shares of company stock valued at $9,092,352. Company insiders own 12.68% of the company's stock.

Rush Enterprises Company Profile

Rush Enterprises, Inc, headquartered in New Braunfels, Texas, is a leading distributor of commercial vehicles and related products in the United States. Through its Rush Truck Centers subsidiary, the company sells new and used medium- and heavy-duty trucks, buses and specialty vehicles, while also offering factory-authorized parts, collision repair, maintenance and warranty support across its network of dealerships.

Founded in 1965, Rush Enterprises has grown to encompass more than 150 locations in over 20 states, partnering with major manufacturers including Kenworth, Peterbilt, Freightliner, Volvo and Mack.

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