The RMR Group (NASDAQ:RMR) Share Price Passes Above 50 Day Moving Average - Here's What Happened

Key Points

• The RMR Group's stock price has recently crossed above its 50-day moving average of $16.70, indicating potential bullish momentum.
• Despite reporting a net margin of 2.56% and a return on equity of 5.01%, the company's recent quarterly revenue fell short of estimates at $154.73 million.
• The firm has a high dividend yield of 11.1%, but its current dividend payout ratio stands at a concerning 153.85%.

Shares of The RMR Group Inc. (NASDAQ:RMR - Get Free Report) passed above its 50 day moving average during trading on Wednesday . The stock has a 50 day moving average of $16.70 and traded as high as $16.70. The RMR Group shares last traded at $16.27, with a volume of 98,034 shares.

The RMR Group Stock Performance

The firm has a market capitalization of $531.75 million, a P/E ratio of 14.20 and a beta of 1.15. The stock has a fifty day simple moving average of $16.73 and a two-hundred day simple moving average of $16.35. The company has a debt-to-equity ratio of 0.11, a current ratio of 0.88 and a quick ratio of 0.88.

The RMR Group (NASDAQ:RMR - Get Free Report) last released its quarterly earnings data on Tuesday, August 5th. The financial services provider reported $0.28 EPS for the quarter, meeting the consensus estimate of $0.28. The firm had revenue of $154.73 million during the quarter, compared to the consensus estimate of $201.80 million. The RMR Group had a return on equity of 5.01% and a net margin of 2.56%. On average, research analysts predict that The RMR Group Inc. will post 1.51 EPS for the current year.

The RMR Group Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Thursday, August 14th. Investors of record on Monday, July 21st were given a dividend of $0.45 per share. The ex-dividend date of this dividend was Monday, July 21st. This represents a $1.80 annualized dividend and a dividend yield of 10.8%. The RMR Group's payout ratio is presently 153.85%.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the stock. Tower Research Capital LLC TRC boosted its position in shares of The RMR Group by 442.4% during the second quarter. Tower Research Capital LLC TRC now owns 3,081 shares of the financial services provider's stock valued at $50,000 after buying an additional 2,513 shares during the last quarter. Brevan Howard Capital Management LP purchased a new position in The RMR Group in the second quarter worth $263,000. Bank of America Corp DE boosted its position in The RMR Group by 435.7% in the second quarter. Bank of America Corp DE now owns 94,663 shares of the financial services provider's stock worth $1,548,000 after purchasing an additional 76,991 shares during the last quarter. Ameriprise Financial Inc. boosted its position in The RMR Group by 18.3% in the second quarter. Ameriprise Financial Inc. now owns 118,858 shares of the financial services provider's stock worth $1,943,000 after purchasing an additional 18,405 shares during the last quarter. Finally, Nantahala Capital Management LLC boosted its position in The RMR Group by 55.9% in the second quarter. Nantahala Capital Management LLC now owns 1,147,902 shares of the financial services provider's stock worth $18,768,000 after purchasing an additional 411,700 shares during the last quarter. Hedge funds and other institutional investors own 42.31% of the company's stock.

The RMR Group Company Profile

The RMR Group Inc, through its subsidiary, The RMR Group LLC, provides asset management services in the United States. The company offers management services to its four publicly traded real estate investment trusts, three real estate operating companies, and private capital vehicles. It also provides advisory services to publicly traded mortgage real estate investment trust.