REV Group (NYSE:REVG) Announces Earnings Results

Key Points

• REV Group reported earnings of $0.74 per share, exceeding estimates by $0.11, indicating a positive financial performance.
• The company also announced a quarterly dividend of $0.06 per share, representing an annualized yield of 0.5%.
• REV Group's stock has seen significant changes in institutional investment, with notable increases in holdings from firms like Bragg Financial Advisors Inc. and Bank of America Corp DE during the second quarter.

REV Group (NYSE:REVG - Get Free Report) released its quarterly earnings results on Wednesday. The company reported $0.79 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.63 by $0.16, Briefing.com reports. The firm had revenue of $644.90 million during the quarter, compared to the consensus estimate of $613.24 million. REV Group had a net margin of 4.51% and a return on equity of 27.25%. The company's revenue for the quarter was up 11.3% on a year-over-year basis. During the same quarter last year, the firm earned $0.48 earnings per share. REV Group updated its FY 2025 guidance to EPS.

REV Group Stock Down 0.8%

NYSE REVG traded down $0.52 during mid-day trading on Monday, hitting $62.01. The company's stock had a trading volume of 346,303 shares, compared to its average volume of 728,299. The company's 50 day simple moving average is $50.68 and its 200 day simple moving average is $40.54. REV Group has a twelve month low of $25.00 and a twelve month high of $63.38. The company has a current ratio of 1.63, a quick ratio of 0.53 and a debt-to-equity ratio of 0.23. The firm has a market capitalization of $3.03 billion, a price-to-earnings ratio of 29.30 and a beta of 1.15.

REV Group Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, October 10th. Investors of record on Friday, September 26th will be given a $0.06 dividend. The ex-dividend date of this dividend is Friday, September 26th. This represents a $0.24 annualized dividend and a yield of 0.4%. REV Group's dividend payout ratio (DPR) is presently 11.32%.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the stock. Canada Pension Plan Investment Board purchased a new position in shares of REV Group during the second quarter valued at approximately $38,000. Orion Porfolio Solutions LLC purchased a new position in REV Group during the 2nd quarter worth $212,000. Captrust Financial Advisors purchased a new position in REV Group during the 2nd quarter worth $245,000. Tower Research Capital LLC TRC boosted its holdings in REV Group by 600.0% during the 2nd quarter. Tower Research Capital LLC TRC now owns 8,120 shares of the company's stock worth $386,000 after acquiring an additional 6,960 shares during the last quarter. Finally, Osaic Holdings Inc. boosted its holdings in REV Group by 2.6% during the 2nd quarter. Osaic Holdings Inc. now owns 9,545 shares of the company's stock worth $454,000 after acquiring an additional 239 shares during the last quarter.

Analyst Ratings Changes

A number of analysts have weighed in on the stock. DA Davidson increased their target price on shares of REV Group from $55.00 to $68.00 and gave the company a "buy" rating in a research report on Thursday. The Goldman Sachs Group raised their price objective on shares of REV Group from $26.00 to $30.00 and gave the stock a "sell" rating in a research report on Tuesday, May 27th. Wall Street Zen raised shares of REV Group from a "buy" rating to a "strong-buy" rating in a research report on Friday, June 6th. Morgan Stanley raised shares of REV Group from an "underweight" rating to an "equal weight" rating and raised their price objective for the stock from $33.00 to $46.00 in a research report on Wednesday, June 18th. Finally, Zacks Research downgraded shares of REV Group from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, September 2nd. Two investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Hold" and an average target price of $52.00.

About REV Group

REV Group, Inc, together with its subsidiaries, designs, manufactures, and distributes specialty vehicles, and related aftermarket parts and services in the United States, Canada, and internationally. It operates through three segments: Fire & Emergency, Commercial, and Recreation. The Fire & Emergency segment provides fire apparatus equipment under the Emergency One, Kovatch Mobile Equipment, Ferrara, Spartan Emergency Response, Smeal, Spartan Fire Chassis, and Ladder Tower brand names; and ambulances under the American Emergency Vehicles, Horton Emergency Vehicles, Leader Emergency Vehicles, Road Rescue, and Wheeled Coach brand names.