Regal Rexnord (NYSE:RRX) Upgraded at Wall Street Zen

Wall Street Zen upgraded shares of Regal Rexnord (NYSE:RRX) from a buy rating to a strong-buy rating in a research note published on Monday morning.

A number of other equities analysts have also recently issued reports on RRX. Weiss Ratings reiterated a “hold (c)” rating on shares of Regal Rexnord in a report on Thursday, January 22nd. Oppenheimer increased their target price on Regal Rexnord from $180.00 to $225.00 and gave the company an “outperform” rating in a report on Friday, February 6th. Citigroup increased their target price on Regal Rexnord from $230.00 to $240.00 and gave the company a “buy” rating in a report on Monday, April 13th. Zacks Research upgraded Regal Rexnord from a “strong sell” rating to a “hold” rating in a report on Tuesday, December 30th. Finally, Barclays increased their target price on Regal Rexnord from $237.00 to $245.00 and gave the company an “overweight” rating in a report on Monday, March 23rd. Seven equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $229.75.

Regal Rexnord Price Performance

RRX opened at $211.45 on Monday. The stock has a 50-day moving average price of $201.06 and a 200-day moving average price of $167.94. Regal Rexnord has a 12-month low of $101.56 and a 12-month high of $229.30. The company has a current ratio of 2.15, a quick ratio of 1.10 and a debt-to-equity ratio of 0.70. The stock has a market capitalization of $14.08 billion, a P/E ratio of 50.34, a PEG ratio of 1.95 and a beta of 1.11.

Regal Rexnord (NYSE:RRX) last posted its quarterly earnings data on Thursday, February 5th. The company reported $2.51 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.47 by $0.04. Regal Rexnord had a return on equity of 9.60% and a net margin of 4.71%.The firm had revenue of $1.52 billion during the quarter, compared to analysts’ expectations of $1.54 billion. During the same period in the prior year, the business earned $2.34 EPS. The company’s revenue for the quarter was up 4.3% compared to the same quarter last year. Equities analysts predict that Regal Rexnord will post 10.76 earnings per share for the current fiscal year.

Regal Rexnord Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, April 14th. Investors of record on Tuesday, March 31st were issued a dividend of $0.35 per share. The ex-dividend date was Tuesday, March 31st. This represents a $1.40 annualized dividend and a yield of 0.7%. Regal Rexnord’s dividend payout ratio is currently 33.33%.

Insider Buying and Selling

In related news, CFO Robert Rehard sold 968 shares of the stock in a transaction dated Wednesday, February 25th. The stock was sold at an average price of $223.00, for a total transaction of $215,864.00. Following the completion of the sale, the chief financial officer directly owned 34,447 shares in the company, valued at $7,681,681. This represents a 2.73% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Curtis W. Stoelting sold 4,500 shares of the stock in a transaction that occurred on Wednesday, February 4th. The stock was sold at an average price of $180.00, for a total value of $810,000.00. Following the completion of the sale, the director owned 15,617 shares of the company’s stock, valued at approximately $2,811,060. This trade represents a 22.37% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 53,451 shares of company stock valued at $11,386,689. 0.63% of the stock is owned by insiders.

Institutional Investors Weigh In On Regal Rexnord

Several institutional investors and hedge funds have recently bought and sold shares of RRX. Victory Capital Management Inc. lifted its holdings in Regal Rexnord by 138.4% in the 3rd quarter. Victory Capital Management Inc. now owns 3,968,101 shares of the company’s stock worth $566,981,000 after buying an additional 2,303,373 shares during the period. Norges Bank purchased a new stake in Regal Rexnord in the 4th quarter worth approximately $121,301,000. Viking Global Investors LP lifted its holdings in Regal Rexnord by 25.7% in the 2nd quarter. Viking Global Investors LP now owns 3,430,128 shares of the company’s stock worth $497,231,000 after buying an additional 701,145 shares during the period. Nordea Investment Management AB lifted its holdings in Regal Rexnord by 30.7% in the 3rd quarter. Nordea Investment Management AB now owns 2,028,936 shares of the company’s stock worth $289,083,000 after buying an additional 476,802 shares during the period. Finally, Invesco Ltd. lifted its holdings in Regal Rexnord by 27.1% in the 4th quarter. Invesco Ltd. now owns 1,905,828 shares of the company’s stock worth $267,426,000 after buying an additional 405,828 shares during the period. Hedge funds and other institutional investors own 99.72% of the company’s stock.

About Regal Rexnord

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.