Regal Rexnord Corporation (NYSE:RRX) Given Average Recommendation of "Moderate Buy" by Analysts

Key Points

• Regal Rexnord has an average analyst rating of “Moderate Buy” from nine covering analysts, with six Buy ratings and three Hold ratings. The average 12-month price target is $232.25.
• The company recently reported better-than-expected quarterly results, posting EPS of $2.17 versus estimates of $2.11 and revenue of $1.48 billion versus $1.43 billion expected. Revenue also rose 4.3% year over year.
• Regal Rexnord also announced a quarterly dividend of $0.35 per share, payable July 14, and insiders have been selling stock recently. Institutional ownership remains very high, at 99.72%.

Regal Rexnord Corporation (NYSE:RRX - Get Free Report) has received an average rating of "Moderate Buy" from the nine analysts that are covering the firm, MarketBeat reports. Three analysts have rated the stock with a hold rating and six have given a buy rating to the company. The average 12 month price objective among brokerages that have issued a report on the stock in the last year is $232.25.

A number of research analysts have recently commented on RRX shares. Weiss Ratings reiterated a "hold (c)" rating on shares of Regal Rexnord in a research report on Tuesday, April 21st. Citigroup boosted their price target on shares of Regal Rexnord from $230.00 to $240.00 and gave the stock a "buy" rating in a research report on Monday, April 13th. Barclays upped their price target on shares of Regal Rexnord from $237.00 to $245.00 and gave the company an "overweight" rating in a research note on Monday, March 23rd. Wall Street Zen lowered shares of Regal Rexnord from a "strong-buy" rating to a "buy" rating in a research report on Tuesday, April 28th. Finally, KeyCorp boosted their target price on shares of Regal Rexnord from $255.00 to $265.00 and gave the stock an "overweight" rating in a report on Thursday, May 7th.

Regal Rexnord Trading Up 1.7%

Shares of Regal Rexnord stock opened at $213.92 on Wednesday. Regal Rexnord has a twelve month low of $127.96 and a twelve month high of $236.35. The company has a quick ratio of 1.08, a current ratio of 2.17 and a debt-to-equity ratio of 0.69. The business has a 50-day moving average price of $203.94 and a 200-day moving average price of $183.18. The firm has a market cap of $14.24 billion, a price-to-earnings ratio of 49.75, a PEG ratio of 1.98 and a beta of 1.11.

Regal Rexnord (NYSE:RRX - Get Free Report) last announced its quarterly earnings results on Thursday, May 7th. The company reported $2.17 EPS for the quarter, beating analysts' consensus estimates of $2.11 by $0.06. The company had revenue of $1.48 billion during the quarter, compared to analyst estimates of $1.43 billion. Regal Rexnord had a return on equity of 9.49% and a net margin of 4.78%.The firm's revenue was up 4.3% on a year-over-year basis. During the same period in the prior year, the company earned $2.15 earnings per share. Equities research analysts anticipate that Regal Rexnord will post 10.63 EPS for the current fiscal year.

Regal Rexnord Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Tuesday, July 14th. Investors of record on Tuesday, June 30th will be given a $0.35 dividend. The ex-dividend date is Tuesday, June 30th. This represents a $1.40 annualized dividend and a yield of 0.7%. Regal Rexnord's dividend payout ratio (DPR) is currently 32.56%.

Insiders Place Their Bets

In other Regal Rexnord news, CEO Louis V. Pinkham sold 22,509 shares of the company's stock in a transaction that occurred on Monday, May 11th. The stock was sold at an average price of $211.68, for a total transaction of $4,764,705.12. Following the sale, the chief executive officer directly owned 56,749 shares in the company, valued at $12,012,628.32. This represents a 28.40% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this link. Also, Director Robin A. Walker-Lee sold 1,297 shares of the firm's stock in a transaction that occurred on Monday, May 11th. The shares were sold at an average price of $213.85, for a total value of $277,363.45. Following the completion of the sale, the director directly owned 5,503 shares of the company's stock, valued at $1,176,816.55. The trade was a 19.07% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 30,305 shares of company stock valued at $6,341,869 over the last ninety days. 0.63% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the company. Victory Capital Management Inc. raised its stake in shares of Regal Rexnord by 42.6% in the fourth quarter. Victory Capital Management Inc. now owns 5,658,365 shares of the company's stock valued at $793,983,000 after acquiring an additional 1,690,264 shares during the period. Viking Global Investors LP lifted its holdings in shares of Regal Rexnord by 25.7% in the 2nd quarter. Viking Global Investors LP now owns 3,430,128 shares of the company's stock worth $497,231,000 after acquiring an additional 701,145 shares during the last quarter. Dimensional Fund Advisors LP boosted its stake in shares of Regal Rexnord by 5.5% during the 4th quarter. Dimensional Fund Advisors LP now owns 2,530,092 shares of the company's stock worth $355,031,000 after purchasing an additional 131,171 shares during the period. Invesco Ltd. grew its holdings in Regal Rexnord by 27.1% during the 4th quarter. Invesco Ltd. now owns 1,905,828 shares of the company's stock valued at $267,426,000 after purchasing an additional 405,828 shares during the last quarter. Finally, Bank of New York Mellon Corp grew its holdings in Regal Rexnord by 115.5% during the 1st quarter. Bank of New York Mellon Corp now owns 1,836,264 shares of the company's stock valued at $343,859,000 after purchasing an additional 984,185 shares during the last quarter. 99.72% of the stock is owned by hedge funds and other institutional investors.

Regal Rexnord Company Profile

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.