Regal Rexnord (NYSE:RRX) Shares Gap Up – Time to Buy?

by · The Markets Daily

Regal Rexnord Corporation (NYSE:RRX – Get Free Report) gapped up prior to trading on Wednesday . The stock had previously closed at $238.19, but opened at $247.80. Regal Rexnord shares last traded at $230.94, with a volume of 301,236 shares traded.

Analyst Upgrades and Downgrades

A number of research analysts recently commented on the stock. UBS Group set a $260.00 price objective on shares of Regal Rexnord in a research report on Monday, June 15th. DA Davidson started coverage on shares of Regal Rexnord in a research report on Tuesday, June 16th. They issued a “buy” rating and a $260.00 target price for the company. Wall Street Zen cut shares of Regal Rexnord from a “strong-buy” rating to a “buy” rating in a report on Tuesday, April 28th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Regal Rexnord in a research note on Tuesday, April 21st. Finally, Barclays increased their price objective on Regal Rexnord from $237.00 to $245.00 and gave the stock an “overweight” rating in a report on Monday, March 23rd. Seven research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $237.80.

Check Out Our Latest Stock Analysis on Regal Rexnord

Regal Rexnord Stock Down 2.7%

The business has a fifty day moving average of $211.57 and a 200 day moving average of $191.34. The stock has a market cap of $15.43 billion, a price-to-earnings ratio of 53.90, a P/E/G ratio of 2.07 and a beta of 1.11. The company has a debt-to-equity ratio of 0.69, a current ratio of 2.17 and a quick ratio of 1.08.

Regal Rexnord (NYSE:RRX – Get Free Report) last posted its earnings results on Thursday, May 7th. The company reported $2.17 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.11 by $0.06. The firm had revenue of $1.48 billion during the quarter, compared to analysts’ expectations of $1.43 billion. Regal Rexnord had a net margin of 4.78% and a return on equity of 9.49%. The company’s revenue was up 4.3% compared to the same quarter last year. During the same period in the previous year, the company earned $2.15 earnings per share. On average, equities analysts predict that Regal Rexnord Corporation will post 10.64 earnings per share for the current year.

Regal Rexnord Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, July 14th. Stockholders of record on Tuesday, June 30th will be issued a dividend of $0.35 per share. The ex-dividend date is Tuesday, June 30th. This represents a $1.40 dividend on an annualized basis and a dividend yield of 0.6%. Regal Rexnord’s dividend payout ratio (DPR) is currently 32.56%.

Insider Activity at Regal Rexnord

In other Regal Rexnord news, CFO Robert Rehard sold 6,499 shares of the stock in a transaction on Friday, May 22nd. The shares were sold at an average price of $200.00, for a total transaction of $1,299,800.00. Following the transaction, the chief financial officer directly owned 27,965 shares of the company’s stock, valued at $5,593,000. This represents a 18.86% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director Robin A. Walker-Lee sold 1,297 shares of the firm’s stock in a transaction dated Monday, May 11th. The shares were sold at an average price of $213.85, for a total value of $277,363.45. Following the transaction, the director owned 5,503 shares in the company, valued at approximately $1,176,816.55. This trade represents a 19.07% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders sold 30,305 shares of company stock valued at $6,341,869. Insiders own 0.63% of the company’s stock.

Institutional Trading of Regal Rexnord

Large investors have recently made changes to their positions in the stock. AQR Capital Management LLC raised its stake in shares of Regal Rexnord by 208.1% in the 1st quarter. AQR Capital Management LLC now owns 17,747 shares of the company’s stock valued at $2,011,000 after acquiring an additional 11,987 shares in the last quarter. Jones Financial Companies Lllp lifted its holdings in Regal Rexnord by 91.6% in the 1st quarter. Jones Financial Companies Lllp now owns 617 shares of the company’s stock worth $70,000 after purchasing an additional 295 shares during the last quarter. Geneos Wealth Management Inc. boosted its position in Regal Rexnord by 135.1% during the first quarter. Geneos Wealth Management Inc. now owns 221 shares of the company’s stock worth $25,000 after purchasing an additional 127 shares during the period. Cetera Investment Advisers boosted its position in Regal Rexnord by 6.7% during the second quarter. Cetera Investment Advisers now owns 3,116 shares of the company’s stock worth $452,000 after purchasing an additional 196 shares during the period. Finally, Arrowstreet Capital Limited Partnership acquired a new position in Regal Rexnord during the second quarter valued at approximately $4,759,000. Institutional investors own 99.72% of the company’s stock.

About Regal Rexnord

(Get Free Report)

Regal Rexnord Corporation (NYSE: RRX) is a global industrial manufacturer specializing in electric motors, power generation equipment and automated motion control systems. The company designs, engineers and produces a broad portfolio of products that includes energy-efficient electric motors, variable frequency drives, gearboxes, couplings, bearings and power transmission components. These offerings support critical applications in industries such as heating, ventilation and air conditioning (HVAC), refrigeration, data centers, water treatment, food and beverage processing, mining, oil and gas, and material handling.

The company’s operations are organized into multiple business segments that address distinct customer needs.

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