Upbound Group (NASDAQ:UPBD) Reaches New 1-Year Low - Time to Sell?

Key Points

• Upbound Group's stock hit a new 52-week low of $19.65 before closing at $20.18, significantly down from a previous closing price of $20.64.
• Raymond James Financial revised its price target for Upbound Group from $40.00 to $35.00, while the company maintains an average rating of "Moderate Buy" with a target price of $34.50.
• Despite recent fluctuations, Upbound Group reported $1.12 earnings per share, surpassing analysts' estimates, and announced a quarterly dividend with a yield of 7.8%.

Upbound Group, Inc. (NASDAQ:UPBD - Get Free Report) shares reached a new 52-week low during trading on Friday . The stock traded as low as $19.65 and last traded at $20.18, with a volume of 159290 shares trading hands. The stock had previously closed at $20.64.

Analyst Ratings Changes

Separately, Raymond James Financial reaffirmed an "outperform" rating and set a $35.00 price objective (down previously from $40.00) on shares of Upbound Group in a research note on Friday, May 2nd. Two analysts have rated the stock with a hold rating, two have given a buy rating and one has assigned a strong buy rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $34.50.

Upbound Group Price Performance

The company's fifty day moving average is $24.75 and its two-hundred day moving average is $24.95. The company has a debt-to-equity ratio of 2.29, a quick ratio of 0.83 and a current ratio of 3.11. The firm has a market cap of $1.24 billion, a price-to-earnings ratio of 12.09 and a beta of 1.74.

Upbound Group (NASDAQ:UPBD - Get Free Report) last issued its earnings results on Thursday, July 31st. The company reported $1.12 earnings per share for the quarter, topping the consensus estimate of $1.05 by $0.07. The company 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 company's revenue was up 7.5% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.04 earnings per share. Equities research analysts forecast that Upbound Group, Inc. will post 4.28 EPS for the current year.

Upbound Group Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Tuesday, July 8th. Investors of record on Tuesday, June 17th were issued a dividend of $0.39 per share. This represents a $1.56 dividend on an annualized basis and a yield of 7.2%. The ex-dividend date of this dividend was Tuesday, June 17th. Upbound Group's dividend payout ratio (DPR) is presently 87.64%.

Insider Buying and Selling

In related news, Director Jeffrey J. Brown purchased 1,653 shares of the business's stock in a transaction that occurred on Tuesday, July 8th. The shares were purchased at an average cost of $25.90 per share, with a total value of $42,812.70. Following the completion of the acquisition, the director directly owned 89,400 shares of the company's stock, valued at approximately $2,315,460. The trade was a 1.88% increase in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 2.60% of the stock is owned by corporate insiders.

Institutional Trading of Upbound Group

Several institutional investors have recently added to or reduced their stakes in the business. American Century Companies Inc. boosted its stake in Upbound Group by 216.8% in the fourth quarter. American Century Companies Inc. now owns 32,745 shares of the company's stock valued at $955,000 after acquiring an additional 22,410 shares during the period. Sei Investments Co. raised its position in shares of Upbound Group by 204.6% during the 4th quarter. Sei Investments Co. now owns 19,334 shares of the company's stock worth $564,000 after buying an additional 12,986 shares in the last quarter. Vanguard Group Inc. boosted its stake in Upbound Group by 1.7% during the 4th quarter. Vanguard Group Inc. now owns 6,781,075 shares of the company's stock valued at $197,804,000 after purchasing an additional 113,212 shares in the last quarter. JPMorgan Chase & Co. increased its position in shares of Upbound Group by 29.2% during the 4th quarter. JPMorgan Chase & Co. now owns 235,570 shares of the company's stock valued at $6,872,000 after purchasing an additional 53,173 shares during the period. Finally, Norges Bank bought a new stake in shares of Upbound Group in the 4th quarter worth $4,328,000. Institutional investors own 90.30% of the company's stock.

Upbound Group Company Profile

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.