Aaron’s (NYSE:PRG) Stock Price Down 3.5% – Should You Sell?

Aaron’s Holdings Company, Inc. (NYSE:PRG)’s stock price traded down 3.5% on Tuesday . The stock traded as low as $27.47 and last traded at $27.4150. 142,355 shares were traded during mid-day trading, a decline of 73% from the average session volume of 537,162 shares. The stock had previously closed at $28.41.

Wall Street Analysts Forecast Growth

Several research analysts have recently commented on the company. Zacks Research raised Aaron’s from a “hold” rating to a “strong-buy” rating in a report on Friday, February 20th. Wall Street Zen upgraded shares of Aaron’s from a “hold” rating to a “buy” rating in a research report on Saturday, February 21st. TD Cowen boosted their price target on shares of Aaron’s from $42.00 to $43.00 and gave the stock a “buy” rating in a research note on Wednesday, March 11th. B. Riley Financial started coverage on shares of Aaron’s in a report on Tuesday, December 16th. They issued a “buy” rating and a $50.00 price target on the stock. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Aaron’s in a research report on Thursday, January 22nd. Two analysts have rated the stock with a Strong Buy rating, three have issued a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Buy” and an average target price of $41.80.

Aaron’s Trading Down 2.5%

The stock has a fifty day moving average of $32.66 and a two-hundred day moving average of $31.37. The company has a market capitalization of $1.10 billion, a PE ratio of 7.70 and a beta of 1.71. The company has a current ratio of 4.71, a quick ratio of 2.32 and a debt-to-equity ratio of 0.80.

Aaron’s (NYSE:PRG) last issued its earnings results on Wednesday, February 18th. The company reported $0.74 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.60 by $0.14. The business had revenue of $525.36 million during the quarter, compared to analyst estimates of $581.82 million. Aaron’s had a return on equity of 20.99% and a net margin of 5.97%.Aaron’s’s revenue for the quarter was down 5.2% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.80 earnings per share. Aaron’s has set its Q1 2026 guidance at 0.700-0.900 EPS and its FY 2026 guidance at 4.000-4.450 EPS. As a group, sell-side analysts anticipate that Aaron’s Holdings Company, Inc. will post 3.45 earnings per share for the current fiscal year.

Aaron’s Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, March 24th. Investors of record on Thursday, March 12th were issued a dividend of $0.14 per share. The ex-dividend date of this dividend was Thursday, March 12th. This represents a $0.56 annualized dividend and a dividend yield of 2.0%. This is an increase from Aaron’s’s previous quarterly dividend of $0.13. Aaron’s’s payout ratio is 15.56%.

Institutional Trading of Aaron’s

Several hedge funds have recently added to or reduced their stakes in the business. Goldman Sachs Group Inc. grew its stake in shares of Aaron’s by 436.0% during the fourth quarter. Goldman Sachs Group Inc. now owns 1,824,091 shares of the company’s stock valued at $53,792,000 after buying an additional 1,483,751 shares during the last quarter. First Trust Advisors LP raised its holdings in Aaron’s by 451.1% during the 3rd quarter. First Trust Advisors LP now owns 702,781 shares of the company’s stock valued at $22,742,000 after buying an additional 575,255 shares during the last quarter. LSV Asset Management boosted its holdings in shares of Aaron’s by 172.0% during the third quarter. LSV Asset Management now owns 842,274 shares of the company’s stock worth $27,256,000 after purchasing an additional 532,593 shares during the period. UBS Group AG lifted its holdings in Aaron’s by 102.4% in the 3rd quarter. UBS Group AG now owns 823,663 shares of the company’s stock worth $26,654,000 after buying an additional 416,658 shares during the period. Finally, Millennium Management LLC grew its position in shares of Aaron’s by 62.7% in the 1st quarter. Millennium Management LLC now owns 673,405 shares of the company’s stock worth $17,913,000 after buying an additional 259,630 shares during the last quarter. 97.92% of the stock is owned by institutional investors.

Aaron’s Company Profile

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.