Royal Bank of Canada Purchases 25,422 Shares of Regal Rexnord Corporation $RRX

Key Points

• Royal Bank of Canada increased its Regal Rexnord stake by 54.5% in the first quarter, purchasing 25,422 shares and bringing its holdings to 72,038 shares valued at approximately $13.5 million. Institutional investors collectively own 99.72% of the company.
• Analysts maintain a generally positive view, with eight Buy ratings and three Holds, producing a “Moderate Buy” consensus and an average price target of $244.92. Recent targets range from $240 to $260.
• Regal Rexnord exceeded quarterly earnings expectations, reporting $2.99 in EPS versus the $2.58 consensus estimate, while revenue rose 4.2% year over year to $1.56 billion. The company also declared a quarterly dividend of $0.35 per share, representing a 0.8% annualized yield.

Royal Bank of Canada boosted its position in Regal Rexnord Corporation (NYSE:RRX - Free Report) by 54.5% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 72,038 shares of the company's stock after buying an additional 25,422 shares during the quarter. Royal Bank of Canada owned approximately 0.11% of Regal Rexnord worth $13,489,000 at the end of the most recent reporting period.

Several other institutional investors have also recently bought and sold shares of the company. Infrastructure Capital Advisors LLC bought a new stake in Regal Rexnord during the first quarter valued at about $270,000. Maverick Capital Ltd. bought a new position in shares of Regal Rexnord in the first quarter worth about $1,381,000. Quantinno Capital Management LP lifted its position in shares of Regal Rexnord by 10.9% during the 1st quarter. Quantinno Capital Management LP now owns 65,242 shares of the company's stock worth $12,217,000 after purchasing an additional 6,419 shares during the last quarter. Castleark Management LLC bought a new stake in Regal Rexnord during the 1st quarter valued at approximately $3,631,000. Finally, Aristotle Atlantic Partners LLC bought a new stake in Regal Rexnord during the 1st quarter valued at approximately $281,000. Institutional investors own 99.72% of the company's stock.

Insiders Place Their Bets

In other news, CFO Robert Rehard sold 6,499 shares of the business's stock in a transaction that occurred on Friday, May 22nd. The stock was sold at an average price of $200.00, for a total value of $1,299,800.00. Following the transaction, the chief financial officer directly owned 27,965 shares of the company's stock, valued at $5,593,000. The trade was a 18.86% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Robin A. Walker-Lee sold 1,297 shares of the stock in a transaction that occurred on Monday, May 11th. The stock was sold at an average price of $213.85, for a total value of $277,363.45. Following the sale, the director owned 5,503 shares in the company, valued at approximately $1,176,816.55. This trade represents a 19.07% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 30,305 shares of company stock valued at $6,341,869. 0.63% of the stock is currently owned by insiders.

Wall Street Analyst Weigh In

RRX has been the topic of several recent analyst reports. KeyCorp dropped their price target on Regal Rexnord from $265.00 to $240.00 and set an "overweight" rating on the stock in a research report on Thursday. JPMorgan Chase & Co. raised their price target on shares of Regal Rexnord from $230.00 to $240.00 and gave the stock an "overweight" rating in a research report on Tuesday, May 26th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Regal Rexnord in a research report on Friday, July 17th. Wall Street Zen downgraded Regal Rexnord from a "strong-buy" rating to a "buy" rating in a research report on Saturday, July 18th. Finally, DA Davidson began coverage on Regal Rexnord in a report on Tuesday, June 16th. They issued a "buy" rating and a $260.00 price target for the company. Eight investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company's stock. According to MarketBeat.com, Regal Rexnord has an average rating of "Moderate Buy" and a consensus price target of $244.92.

Regal Rexnord Stock Down 0.4%

Shares of NYSE RRX opened at $178.28 on Friday. The stock has a market cap of $11.87 billion, a PE ratio of 36.76, a PEG ratio of 1.19 and a beta of 1.09. The business has a fifty day moving average of $212.23 and a two-hundred day moving average of $202.77. Regal Rexnord Corporation has a 52-week low of $127.96 and a 52-week high of $247.80. The company has a debt-to-equity ratio of 0.66, a quick ratio of 1.08 and a current ratio of 2.28.

Regal Rexnord (NYSE:RRX - Get Free Report) last posted its earnings results on Wednesday, August 5th. The company reported $2.99 earnings per share for the quarter, topping the consensus estimate of $2.58 by $0.41. The business had revenue of $1.56 billion for the quarter, compared to analyst estimates of $1.58 billion. Regal Rexnord had a net margin of 5.35% and a return on equity of 9.93%. The firm's quarterly revenue was up 4.2% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $2.48 EPS. Regal Rexnord has set its FY 2026 guidance at 10.350-10.850 EPS. As a group, equities research analysts expect that Regal Rexnord Corporation will post 10.65 earnings per share for the current fiscal year.

Regal Rexnord Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 14th. Shareholders of record on Wednesday, September 30th will be paid a dividend of $0.35 per share. This represents a $1.40 annualized dividend and a yield of 0.8%. The ex-dividend date of this dividend is Wednesday, September 30th. Regal Rexnord's dividend payout ratio is currently 32.56%.

About Regal Rexnord

Regal Rexnord Corporation NYSE: RRX is a global industrial manufacturer specializing in electric motors, power generation equipment and automated motion control systems. The company designs, engineers and produces a broad portfolio of products that includes energy-efficient electric motors, variable frequency drives, gearboxes, couplings, bearings and power transmission components. These offerings support critical applications in industries such as heating, ventilation and air conditioning (HVAC), refrigeration, data centers, water treatment, food and beverage processing, mining, oil and gas, and material handling.

The company's operations are organized into multiple business segments that address distinct customer needs.

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