Insider Selling: McGrath RentCorp (NASDAQ:MGRC) Director Sells 530 Shares of Stock

Key Points

• Director Joseph Hanna sold 530 shares on May 5 at an average price of $112 for about $59,360, reducing his stake by 0.33% to 159,049 shares, as disclosed in an SEC filing.
• The company reported quarterly EPS of $1.10, missing estimates of $1.13 while revenue was roughly in line, and it raised its quarterly dividend to $0.495 (annualized $1.98) for a 1.8% yield.
• Shares traded near $113.06 (market cap ≈ $2.78B) and analysts have a consensus "Moderate Buy" with an average target of $141.50, while institutional investors own about 92% of the stock and several firms significantly increased positions.

McGrath RentCorp (NASDAQ:MGRC - Get Free Report) Director Joseph Hanna sold 530 shares of the company's stock in a transaction on Tuesday, May 5th. The shares were sold at an average price of $112.00, for a total transaction of $59,360.00. Following the completion of the transaction, the director owned 159,049 shares in the company, valued at approximately $17,813,488. This represents a 0.33% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link.

McGrath RentCorp Trading Up 1.4%

Shares of NASDAQ:MGRC traded up $1.59 during trading on Tuesday, reaching $113.06. 170,261 shares of the stock were exchanged, compared to its average volume of 185,977. McGrath RentCorp has a 12 month low of $94.99 and a 12 month high of $128.41. The firm has a market cap of $2.78 billion, a PE ratio of 17.95, a PEG ratio of 1.11 and a beta of 0.45. The stock has a 50-day moving average price of $110.81 and a 200-day moving average price of $109.83.

McGrath RentCorp (NASDAQ:MGRC - Get Free Report) last issued its quarterly earnings data on Wednesday, April 29th. The financial services provider reported $1.10 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.13 by ($0.03). McGrath RentCorp had a return on equity of 12.84% and a net margin of 16.38%.The firm had revenue of $198.54 million for the quarter, compared to the consensus estimate of $198.19 million. On average, sell-side analysts expect that McGrath RentCorp will post 6.35 earnings per share for the current fiscal year.

McGrath RentCorp Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, April 30th. Stockholders of record on Thursday, April 16th were issued a dividend of $0.495 per share. This is an increase from McGrath RentCorp's previous quarterly dividend of $0.49. This represents a $1.98 dividend on an annualized basis and a dividend yield of 1.8%. The ex-dividend date of this dividend was Thursday, April 16th. McGrath RentCorp's payout ratio is 31.43%.

Analyst Upgrades and Downgrades

Several equities analysts recently commented on MGRC shares. Zacks Research upgraded shares of McGrath RentCorp from a "strong sell" rating to a "hold" rating in a research note on Thursday, January 15th. Barclays started coverage on shares of McGrath RentCorp in a research note on Wednesday, February 11th. They issued an "overweight" rating and a $140.00 price target on the stock. Finally, Weiss Ratings restated a "hold (c+)" rating on shares of McGrath RentCorp in a research note on Friday, April 24th. Two equities research analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average target price of $141.50.

Institutional Investors Weigh In On McGrath RentCorp

Several institutional investors have recently made changes to their positions in MGRC. Northwestern Mutual Wealth Management Co. boosted its stake in shares of McGrath RentCorp by 690,151.2% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 296,808 shares of the financial services provider's stock valued at $31,144,000 after buying an additional 296,765 shares during the period. Channing Capital Management LLC boosted its stake in shares of McGrath RentCorp by 39.1% in the fourth quarter. Channing Capital Management LLC now owns 836,894 shares of the financial services provider's stock valued at $87,815,000 after buying an additional 235,311 shares during the period. Alyeska Investment Group L.P. raised its stake in McGrath RentCorp by 752.5% in the fourth quarter. Alyeska Investment Group L.P. now owns 237,506 shares of the financial services provider's stock valued at $24,922,000 after purchasing an additional 209,646 shares in the last quarter. Raymond James Financial Inc. raised its stake in McGrath RentCorp by 102.8% in the third quarter. Raymond James Financial Inc. now owns 303,205 shares of the financial services provider's stock valued at $35,566,000 after purchasing an additional 153,701 shares in the last quarter. Finally, Tredje AP fonden acquired a new position in McGrath RentCorp in the fourth quarter valued at about $12,246,000. 92.05% of the stock is currently owned by institutional investors.

McGrath RentCorp Company Profile

McGrath RentCorp, through its subsidiaries, provides rental, sales, and servicing of equipment for commercial, industrial, environmental, and residential markets. The company operates primarily through two segments—mobile storage and water management—offering flexible solutions for customers requiring on-site storage, water transport, treatment, and dewatering services.

In its mobile storage segment, McGrath RentCorp supplies portable storage containers and modular office units to sectors including construction, retail, government, and disaster restoration.

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