Upbound Group (NASDAQ:UPBD) Posts Quarterly Earnings Results, Beats Estimates By $0.07 EPS

Key Points

• Upbound Group reported a quarterly earnings per share (EPS) of $1.12, exceeding analysts' expectations of $1.05 by $0.07.
• The company's revenue for the quarter reached $1.16 billion, an increase of 7.5% compared to the same quarter the previous year.
• Upbound has updated its fiscal year 2025 EPS guidance to a range of $4.050 to $4.40, and $0.950 to $1.05 for Q3 2025.

Upbound Group (NASDAQ:UPBD - Get Free Report) announced its quarterly earnings data on Thursday. The company reported $1.12 EPS for the quarter, beating analysts' consensus estimates of $1.05 by $0.07, Zacks reports. The business had revenue of $1.16 billion during the quarter, compared to the consensus estimate of $1.14 billion. Upbound Group had a return on equity of 36.26% and a net margin of 2.28%. The business's revenue for the quarter was up 7.5% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.04 earnings per share. Upbound Group updated its FY 2025 guidance to 4.050-4.40 EPS and its Q3 2025 guidance to 0.950-1.05 EPS.

Upbound Group Stock Up 1.0%

NASDAQ UPBD traded up $0.22 on Wednesday, hitting $21.75. 894,884 shares of the stock traded hands, compared to its average volume of 581,142. The stock has a 50-day moving average of $24.72 and a 200 day moving average of $24.93. Upbound Group has a twelve month low of $19.65 and a twelve month high of $36.00. The company has a market capitalization of $1.26 billion, a P/E ratio of 12.22 and a beta of 1.74. The company has a current ratio of 3.11, a quick ratio of 0.83 and a debt-to-equity ratio of 2.29.

Upbound Group Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, July 8th. Investors of record on Tuesday, June 17th were paid a $0.39 dividend. The ex-dividend date was Tuesday, June 17th. This represents a $1.56 annualized dividend and a dividend yield of 7.2%. Upbound Group's payout ratio is 87.64%.

Analyst Ratings Changes

Separately, Raymond James Financial reissued an "outperform" rating and set a $35.00 price target (down previously from $40.00) on shares of Upbound Group in a research report on Friday, May 2nd. Two equities research analysts have rated the stock with a hold rating, two have issued a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $34.50.

Insider Transactions at Upbound Group

In other news, Director Jeffrey J. Brown acquired 1,653 shares of the business's stock in a transaction on Tuesday, July 8th. The shares were purchased at an average price of $25.90 per share, for a total transaction of $42,812.70. Following the completion of the purchase, the director directly owned 89,400 shares of the company's stock, valued at $2,315,460. This represents a 1.88% increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. 2.60% of the stock is owned by insiders.

Institutional Trading of Upbound Group

Institutional investors and hedge funds have recently bought and sold shares of the company. Goldman Sachs Group Inc. raised its stake in Upbound Group by 73.0% during the first quarter. Goldman Sachs Group Inc. now owns 532,809 shares of the company's stock valued at $12,766,000 after buying an additional 224,811 shares in the last quarter. Jane Street Group LLC raised its stake in Upbound Group by 286.3% during the first quarter. Jane Street Group LLC now owns 86,450 shares of the company's stock valued at $2,071,000 after buying an additional 64,073 shares in the last quarter. AQR Capital Management LLC raised its stake in Upbound Group by 15.9% during the first quarter. AQR Capital Management LLC now owns 48,276 shares of the company's stock valued at $1,157,000 after buying an additional 6,623 shares in the last quarter. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in shares of Upbound Group by 4.5% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 31,891 shares of the company's stock valued at $764,000 after purchasing an additional 1,376 shares during the last quarter. Institutional investors and hedge funds own 90.30% of the company's stock.

About Upbound Group

Upbound Group, Inc leases household durable goods to customers on a lease-to-own basis in the United States, Puerto Rico, and Mexico. It operates through four segments: Rent-A-Center, Acima, Mexico, and Franchising. The company's brands, such as Rent-A-Center and Acima that facilitate consumer transactions across a range of store-based and virtual channels.