UBS Group AG Cuts Stock Holdings in Regal Rexnord Corporation $RRX

Key Points

• UBS Group AG reduced its stake by 39.4% in Regal Rexnord during Q4, selling 428,959 shares and retaining 659,390 shares (about 0.99% ownership, ~$92.5M); other large institutions materially increased positions, leaving institutional ownership near 99.72%.
• Regal Rexnord reported Q results with EPS $2.51 (beat $2.47) and revenue of $1.52B (slightly below expectations); the stock has a $14.16B market cap, a P/E of 50.64, a 52‑week range of $108.44–$229.30, a newly declared quarterly dividend of $0.35 (annual $1.40, ~0.7% yield), and analysts hold a Moderate Buy consensus with an average target of $229.75.

UBS Group AG reduced its position in shares of Regal Rexnord Corporation (NYSE:RRX - Free Report) by 39.4% in the 4th quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 659,390 shares of the company's stock after selling 428,959 shares during the period. UBS Group AG owned 0.99% of Regal Rexnord worth $92,526,000 at the end of the most recent quarter.

Other large investors also recently bought and sold shares of the company. Victory Capital Management Inc. grew its position in shares of Regal Rexnord by 138.4% in the third quarter. Victory Capital Management Inc. now owns 3,968,101 shares of the company's stock valued at $566,981,000 after purchasing an additional 2,303,373 shares in the last quarter. Viking Global Investors LP grew its position in shares of Regal Rexnord by 25.7% in the second quarter. Viking Global Investors LP now owns 3,430,128 shares of the company's stock valued at $497,231,000 after purchasing an additional 701,145 shares in the last quarter. Dimensional Fund Advisors LP grew its position in shares of Regal Rexnord by 14.5% in the third quarter. Dimensional Fund Advisors LP now owns 2,398,921 shares of the company's stock valued at $344,103,000 after purchasing an additional 303,378 shares in the last quarter. Nordea Investment Management AB grew its position in shares of Regal Rexnord by 30.7% in the third quarter. Nordea Investment Management AB now owns 2,028,936 shares of the company's stock valued at $289,083,000 after purchasing an additional 476,802 shares in the last quarter. Finally, Invesco Ltd. grew its position in shares of Regal Rexnord by 17.7% in the third quarter. Invesco Ltd. now owns 1,500,000 shares of the company's stock valued at $215,160,000 after purchasing an additional 225,734 shares in the last quarter. 99.72% of the stock is currently owned by hedge funds and other institutional investors.

Regal Rexnord Trading Down 1.1%

RRX opened at $212.71 on Friday. Regal Rexnord Corporation has a one year low of $108.44 and a one year high of $229.30. The stock has a market capitalization of $14.16 billion, a PE ratio of 50.64, a P/E/G ratio of 1.98 and a beta of 1.15. The business's 50 day moving average price is $200.32 and its 200 day moving average price is $170.79. The company has a debt-to-equity ratio of 0.70, a quick ratio of 1.10 and a current ratio of 2.15.

Regal Rexnord (NYSE:RRX - Get Free Report) last released its quarterly earnings data on Thursday, February 5th. The company reported $2.51 EPS for the quarter, beating analysts' consensus estimates of $2.47 by $0.04. Regal Rexnord had a return on equity of 9.60% and a net margin of 4.71%.The firm had revenue of $1.52 billion for the quarter, compared to analysts' expectations of $1.54 billion. During the same period in the prior year, the firm posted $2.34 earnings per share. The firm's quarterly revenue was up 4.3% on a year-over-year basis. As a group, equities research analysts expect that Regal Rexnord Corporation will post 10.73 EPS for the current year.

Regal Rexnord Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, July 14th. Investors of record on Tuesday, June 30th will be issued a $0.35 dividend. The ex-dividend date is Tuesday, June 30th. This represents a $1.40 dividend on an annualized basis and a yield of 0.7%. Regal Rexnord's dividend payout ratio is currently 33.33%.

Insiders Place Their Bets

In related news, CEO Louis V. Pinkham sold 36,728 shares of the company's stock in a transaction that occurred on Monday, February 9th. The stock was sold at an average price of $215.52, for a total value of $7,915,618.56. Following the transaction, the chief executive officer directly owned 83,337 shares in the company, valued at approximately $17,960,790.24. This represents a 30.59% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, EVP Cheryl Lewis sold 2,262 shares of the company's stock in a transaction that occurred on Monday, February 9th. The shares were sold at an average price of $215.73, for a total value of $487,981.26. Following the completion of the transaction, the executive vice president owned 13,219 shares in the company, valued at $2,851,734.87. This represents a 14.61% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders have sold 53,451 shares of company stock valued at $11,386,689. Insiders own 0.63% of the company's stock.

Analysts Set New Price Targets

A number of research firms have recently issued reports on RRX. Citigroup upped their price target on Regal Rexnord from $230.00 to $240.00 and gave the company a "buy" rating in a research report on Monday, April 13th. Robert W. Baird set a $253.00 price target on Regal Rexnord in a research report on Friday, February 6th. Wall Street Zen lowered Regal Rexnord from a "strong-buy" rating to a "buy" rating in a research report on Tuesday, April 28th. Barclays upped their price target on Regal Rexnord from $237.00 to $245.00 and gave the company an "overweight" rating in a research report on Monday, March 23rd. Finally, KeyCorp upped their price target on Regal Rexnord from $200.00 to $255.00 and gave the company an "overweight" rating in a research report on Tuesday, February 10th. Seven research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company's stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $229.75.

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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