Nantahala Capital Management LLC Grows Position in The RMR Group Inc. $RMR

Key Points

• Nantahala Capital Management LLC increased its stake in The RMR Group Inc. by 63.3% in Q1, owning around 2.31% of the company worth approximately $12.26 million.
• The RMR Group reported $154.73 million in revenue for the most recent quarter, missing expectations, although its earnings per share met analysts' forecasts at $0.28.
• The company announced a quarterly dividend of $0.45, resulting in an annual yield of 10.7%, despite a high payout ratio of 153.85%.

Nantahala Capital Management LLC raised its stake in The RMR Group Inc. (NASDAQ:RMR - Free Report) by 63.3% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 736,202 shares of the financial services provider's stock after purchasing an additional 285,410 shares during the period. The RMR Group comprises 0.5% of Nantahala Capital Management LLC's investment portfolio, making the stock its 29th biggest position. Nantahala Capital Management LLC owned approximately 2.31% of The RMR Group worth $12,258,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other hedge funds also recently bought and sold shares of the company. GAMMA Investing LLC raised its position in The RMR Group by 20,880.0% in the 1st quarter. GAMMA Investing LLC now owns 2,098 shares of the financial services provider's stock valued at $35,000 after purchasing an additional 2,088 shares in the last quarter. AlphaQuest LLC raised its position in The RMR Group by 131.3% in the 1st quarter. AlphaQuest LLC now owns 2,406 shares of the financial services provider's stock valued at $40,000 after purchasing an additional 1,366 shares in the last quarter. Aquatic Capital Management LLC raised its position in The RMR Group by 252.2% in the 4th quarter. Aquatic Capital Management LLC now owns 8,100 shares of the financial services provider's stock valued at $167,000 after purchasing an additional 5,800 shares in the last quarter. Wells Fargo & Company MN raised its position in The RMR Group by 27.9% in the 4th quarter. Wells Fargo & Company MN now owns 9,205 shares of the financial services provider's stock valued at $190,000 after purchasing an additional 2,010 shares in the last quarter. Finally, Magnetar Financial LLC purchased a new position in shares of The RMR Group in the 1st quarter valued at about $197,000. Institutional investors and hedge funds own 42.31% of the company's stock.

The RMR Group Stock Up 1.4%

Shares of RMR traded up $0.24 during mid-day trading on Thursday, reaching $16.80. The company's stock had a trading volume of 45,104 shares, compared to its average volume of 142,994. The RMR Group Inc. has a 12-month low of $13.48 and a 12-month high of $26.06. The stock has a market cap of $535.42 million, a PE ratio of 14.36 and a beta of 1.20. The company has a debt-to-equity ratio of 0.11, a current ratio of 0.88 and a quick ratio of 0.88. The company's 50 day moving average is $16.78 and its 200 day moving average is $16.30.

The RMR Group (NASDAQ:RMR - Get Free Report) last released its quarterly earnings data on Tuesday, August 5th. The financial services provider reported $0.28 EPS for the quarter, meeting analysts' consensus estimates of $0.28. The business had revenue of $154.73 million for the quarter, compared to the consensus estimate of $201.80 million. The RMR Group had a return on equity of 5.01% and a net margin of 2.56%. Equities analysts anticipate that The RMR Group Inc. will post 1.51 EPS for the current fiscal year.

The RMR Group Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, August 14th. Investors of record on Monday, July 21st were paid a dividend of $0.45 per share. This represents a $1.80 dividend on an annualized basis and a yield of 10.7%. The ex-dividend date was Monday, July 21st. The RMR Group's dividend payout ratio (DPR) is currently 153.85%.

About The RMR Group

The RMR Group Inc, through its subsidiary, The RMR Group LLC, provides asset management services in the United States. The company offers management services to its four publicly traded real estate investment trusts, three real estate operating companies, and private capital vehicles. It also provides advisory services to publicly traded mortgage real estate investment trust.