TD Cowen Cuts Aaron’s (NYSE:PRG) Price Target to $38.00

Aaron’s (NYSE:PRG) had its target price decreased by TD Cowen from $41.00 to $38.00 in a report issued on Thursday,Benzinga reports. TD Cowen currently has a buy rating on the stock.

Several other equities research analysts also recently weighed in on PRG. BTIG Research raised Aaron’s from a “sell” rating to a “neutral” rating and set a $31.00 target price for the company in a research report on Friday, November 21st. Weiss Ratings reissued a “hold (c)” rating on shares of Aaron’s in a research report on Wednesday, October 8th. B. Riley started coverage on shares of Aaron’s in a research report on Tuesday, December 16th. They issued a “buy” rating and a $50.00 price objective for the company. Finally, Wall Street Zen upgraded shares of Aaron’s from a “hold” rating to a “buy” rating in a research note on Sunday, December 28th. One analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating and three have issued a Hold rating to the company. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $38.83.

Aaron’s Price Performance

PRG opened at $32.29 on Thursday. Aaron’s has a 52-week low of $23.50 and a 52-week high of $44.42. The company has a 50 day moving average of $29.26 and a two-hundred day moving average of $31.20. The company has a market cap of $1.28 billion, a P/E ratio of 8.19 and a beta of 1.75. The company has a quick ratio of 2.65, a current ratio of 4.74 and a debt-to-equity ratio of 0.85.

Aaron’s (NYSE:PRG) last issued its earnings results on Wednesday, October 22nd. The company reported $0.90 EPS for the quarter, beating analysts’ consensus estimates of $0.73 by $0.17. Aaron’s had a net margin of 6.54% and a return on equity of 22.36%. The business had revenue of $595.11 million for the quarter, compared to the consensus estimate of $586.11 million. During the same quarter last year, the firm posted $0.77 EPS. The business’s revenue for the quarter was down 1.8% compared to the same quarter last year. Aaron’s has set its FY 2025 guidance at 3.350-3.450 EPS and its Q4 2025 guidance at 0.550-0.650 EPS. On average, analysts expect that Aaron’s will post 3.45 earnings per share for the current year.

Aaron’s Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Tuesday, December 2nd. Stockholders of record on Tuesday, November 18th were paid a dividend of $0.13 per share. This represents a $0.52 annualized dividend and a dividend yield of 1.6%. The ex-dividend date was Tuesday, November 18th. Aaron’s’s dividend payout ratio is 13.20%.

Institutional Trading of Aaron’s

Several institutional investors have recently added to or reduced their stakes in the stock. SG Americas Securities LLC grew its holdings in Aaron’s by 113.5% during the 4th quarter. SG Americas Securities LLC now owns 40,807 shares of the company’s stock worth $1,203,000 after acquiring an additional 21,698 shares in the last quarter. Assenagon Asset Management S.A. raised its stake in shares of Aaron’s by 28.3% in the 4th quarter. Assenagon Asset Management S.A. now owns 447,192 shares of the company’s stock valued at $13,188,000 after purchasing an additional 98,756 shares in the last quarter. GAMMA Investing LLC lifted its position in shares of Aaron’s by 45.3% during the fourth quarter. GAMMA Investing LLC now owns 1,806 shares of the company’s stock worth $53,000 after purchasing an additional 563 shares during the last quarter. JPMorgan Chase & Co. grew its stake in Aaron’s by 7.5% in the third quarter. JPMorgan Chase & Co. now owns 485,574 shares of the company’s stock worth $15,713,000 after purchasing an additional 33,961 shares in the last quarter. Finally, CIBC Bancorp USA Inc. bought a new stake in Aaron’s in the third quarter valued at about $374,000. 97.92% of the stock is owned by institutional investors and hedge funds.

About Aaron’s

PROG Holdings, Inc (NYSE: PRG), formerly known as Aaron’s, is a North American provider of lease-to-own and consumer finance solutions. The company operates through two primary segments: Aaron’s Business Solutions and Progressive Financial Services. Through Aaron’s Business Solutions, PROG offers customers access to furniture, electronics, home appliances and technology products via lease ownership arrangements, serving both individual consumers and small businesses.

The Progressive Financial Services segment provides lease-purchase and retail point-of-sale financing programs to customers with limited credit histories.