The RMR Group (NASDAQ:RMR) Stock Jumps 5.4% on Better-Than-Expected Earnings

The RMR Group Inc. (NASDAQ:RMR)’s share price rose 5.4% on Friday after the company announced better than expected quarterly earnings. The stock traded as high as $16.50 and last traded at $16.5550. Approximately 26,117 shares traded hands during mid-day trading, a decline of 83% from the average daily volume of 156,930 shares. The stock had previously closed at $15.71.

The financial services provider reported $0.21 EPS for the quarter, beating analysts’ consensus estimates of $0.17 by $0.04. The RMR Group had a net margin of 3.10% and a return on equity of 2.96%. The business had revenue of $163.64 million for the quarter, compared to the consensus estimate of $154.10 million.

The RMR Group Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, November 12th. Stockholders of record on Monday, October 19th were given a $0.45 dividend. This represents a $1.80 annualized dividend and a dividend yield of 10.9%. The ex-dividend date of this dividend was Monday, October 19th. The RMR Group’s dividend payout ratio (DPR) is 157.89%.

Wall Street Analyst Weigh In

RMR has been the subject of a number of research analyst reports. Maxim Group began coverage on shares of The RMR Group in a research report on Friday, October 9th. They set a “buy” rating and a $26.00 price objective for the company. Weiss Ratings cut shares of The RMR Group from a “hold (c+)” rating to a “hold (c)” rating in a research note on Tuesday, September 1st. Three investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $21.33.

Institutional Investors Weigh In On The RMR Group

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Signaturefd LLC increased its position in shares of The RMR Group by 189.4% in the third quarter. Signaturefd LLC now owns 3,180 shares of the financial services provider’s stock worth $57,000 after purchasing an additional 2,081 shares during the last quarter. Triumph Capital Management grew its holdings in The RMR Group by 117.7% in the 2nd quarter. Triumph Capital Management now owns 3,052 shares of the financial services provider’s stock worth $63,000 after acquiring an additional 1,650 shares during the last quarter. State of Wyoming bought a new position in shares of The RMR Group during the first quarter valued at about $137,000. First Trust Advisors LP raised its holdings in shares of The RMR Group by 19.1% during the first quarter. First Trust Advisors LP now owns 13,411 shares of the financial services provider’s stock valued at $207,000 after acquiring an additional 2,147 shares in the last quarter. Finally, R Squared Ltd purchased a new position in The RMR Group during the 3rd quarter valued at $211,000. 42.31% of the stock is currently owned by institutional investors.

The RMR Group Price Performance

The firm’s 50-day moving average is $17.87 and its 200-day moving average is $18.28. The company has a quick ratio of 0.24, a current ratio of 0.24 and a debt-to-equity ratio of 0.06. The company has a market cap of $530.51 million, a PE ratio of 14.47 and a beta of 1.01.

The RMR Group Company Profile

The RMR Group Inc. is a U.S.-based alternative asset management company that provides management services to real estate and related businesses. Its clients include publicly traded real estate investment trusts, real estate operating companies and private capital vehicles. RMR’s services include property and business management, asset management, leasing, acquisitions and dispositions, financing, development and advisory support. The businesses it manages operate across a range of real estate sectors, including senior living, healthcare, office, industrial and retail.