REV Group (NYSE:REVG) Posts Quarterly 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) posted 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. REV Group had a net margin of 4.51% and a return on equity of 26.92%. The business had revenue of $644.90 million during the quarter, compared to the consensus estimate of $613.24 million. During the same quarter last year, the firm posted $0.48 EPS. REV Group's revenue was up 11.3% compared to the same quarter last year. REV Group updated its FY 2025 guidance to EPS.

REV Group Stock Up 1.6%

REV Group stock traded up $0.99 during midday trading on Friday, hitting $62.55. 1,253,217 shares of the stock were exchanged, compared to its average volume of 873,747. REV Group has a 52-week low of $24.90 and a 52-week high of $63.38. The stock has a market capitalization of $3.05 billion, a price-to-earnings ratio of 29.50 and a beta of 1.15. The business's 50-day moving average price is $50.68 and its 200-day moving average price is $40.49. The company has a quick ratio of 0.53, a current ratio of 1.66 and a debt-to-equity ratio of 0.36.

REV Group Announces Dividend

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

Wall Street Analyst Weigh In

Several analysts recently issued reports on REVG shares. Robert W. Baird lifted their price target on shares of REV Group from $50.00 to $64.00 and gave the company an "outperform" rating in a research report on Thursday. Zacks Research downgraded shares of REV Group from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, September 2nd. The Goldman Sachs Group lifted their price target on shares of REV Group from $26.00 to $30.00 and gave the company 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. Finally, Morgan Stanley upgraded REV Group from an "underweight" rating to an "equal weight" rating and raised their target price for the company from $33.00 to $46.00 in a report on Wednesday, June 18th. Two investment analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, REV Group presently has a consensus rating of "Hold" and an average price target of $52.00.

Institutional Trading of REV Group

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

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.