McGrath RentCorp (NASDAQ:MGRC) Director Sells $1,065,280.30 in Stock

Key Points

• Director Joseph Hanna sold 9,470 shares on May 4 at an average of $112.49 for a total of $1,065,280.30, reducing his stake by 5.6% to 159,579 shares (about $17.95M).
• McGrath posted Q1 EPS of $1.10 versus the $1.13 consensus (a $0.03 miss) on $198.54M revenue, and raised its quarterly dividend to $0.495 ($1.98 annualized, ~1.8% yield).
• Shares traded around $113.06 (up 1.4%), the company has a $2.78B market cap and a 17.95 PE, and analysts hold a consensus Moderate Buy with a $141.50 target.

McGrath RentCorp (NASDAQ:MGRC - Get Free Report) Director Joseph Hanna sold 9,470 shares of the company's stock in a transaction dated Monday, May 4th. The shares were sold at an average price of $112.49, for a total transaction of $1,065,280.30. Following the transaction, the director owned 159,579 shares in the company, valued at $17,951,041.71. This represents a 5.60% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website.

McGrath RentCorp Stock Up 1.4%

MGRC traded up $1.59 during midday trading on Tuesday, hitting $113.06. 170,261 shares of the company traded hands, compared to its average volume of 185,977. The firm has a market capitalization of $2.78 billion, a PE ratio of 17.95, a price-to-earnings-growth ratio of 1.11 and a beta of 0.45. The company's 50-day moving average is $110.81 and its 200 day moving average is $109.83. McGrath RentCorp has a 52 week low of $94.99 and a 52 week high of $128.41.

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

McGrath RentCorp Increases Dividend

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

Institutional Investors Weigh In On McGrath RentCorp

Hedge funds and other institutional investors have recently made changes to their positions in the business. Aster Capital Management DIFC Ltd purchased a new stake in shares of McGrath RentCorp during the 3rd quarter valued at about $29,000. Cullen Frost Bankers Inc. purchased a new stake in shares of McGrath RentCorp during the 3rd quarter valued at about $30,000. EverSource Wealth Advisors LLC increased its position in shares of McGrath RentCorp by 767.7% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 269 shares of the financial services provider's stock valued at $31,000 after purchasing an additional 238 shares during the last quarter. Danske Bank A S purchased a new stake in shares of McGrath RentCorp during the 3rd quarter valued at about $47,000. Finally, Strs Ohio purchased a new stake in shares of McGrath RentCorp during the 1st quarter valued at about $56,000. Hedge funds and other institutional investors own 92.05% of the company's stock.

Wall Street Analysts Forecast Growth

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

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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