StockNews.com Downgrades Regal Rexnord (NYSE:RRX) to Buy

Regal Rexnord (NYSE:RRX) was downgraded by equities researchers at StockNews.com from a “strong-buy” rating to a “buy” rating in a note issued to investors on Thursday.

A number of other research firms have also recently issued reports on RRX. Citigroup lowered their target price on Regal Rexnord from $210.00 to $190.00 and set a “buy” rating for the company in a research note on Tuesday. The Goldman Sachs Group increased their target price on Regal Rexnord from $191.00 to $213.00 and gave the stock a “buy” rating in a research note on Thursday, December 12th. Robert W. Baird lowered their target price on Regal Rexnord from $223.00 to $208.00 and set an “outperform” rating for the company in a research note on Wednesday, November 6th. Barclays lowered their target price on Regal Rexnord from $205.00 to $190.00 and set an “overweight” rating for the company in a research note on Wednesday, January 8th. Finally, Loop Capital reissued a “buy” rating and set a $200.00 target price on shares of Regal Rexnord in a research note on Thursday, September 19th. One investment analyst has rated the stock with a hold rating and nine have assigned a buy rating to the stock. Based on data from MarketBeat.com, Regal Rexnord presently has a consensus rating of “Moderate Buy” and an average price target of $202.00.

Regal Rexnord Stock Performance

Shares of RRX stock opened at $156.41 on Thursday. The company has a debt-to-equity ratio of 0.87, a current ratio of 2.45 and a quick ratio of 1.35. The stock has a market cap of $10.36 billion, a PE ratio of 49.34, a price-to-earnings-growth ratio of 1.44 and a beta of 1.04. The stock has a 50-day moving average of $164.43 and a 200-day moving average of $161.27. Regal Rexnord has a one year low of $130.94 and a one year high of $185.28.

Regal Rexnord (NYSE:RRX) last announced its quarterly earnings results on Monday, November 4th. The company reported $2.49 EPS for the quarter, beating analysts’ consensus estimates of $2.48 by $0.01. The company had revenue of $1.48 billion during the quarter, compared to analysts’ expectations of $1.53 billion. Regal Rexnord had a return on equity of 9.48% and a net margin of 3.41%. Regal Rexnord’s revenue was down 10.4% on a year-over-year basis. During the same period in the prior year, the business posted $2.10 EPS. As a group, sell-side analysts expect that Regal Rexnord will post 9.24 earnings per share for the current year.

Insider Activity

In other news, CEO Louis V. Pinkham sold 8,774 shares of the stock in a transaction that occurred on Thursday, November 7th. The stock was sold at an average price of $180.03, for a total value of $1,579,583.22. Following the completion of the sale, the chief executive officer now owns 149,618 shares of the company’s stock, valued at approximately $26,935,728.54. This represents a 5.54 % decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. 0.82% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Regal Rexnord

Large investors have recently made changes to their positions in the stock. UMB Bank n.a. boosted its holdings in shares of Regal Rexnord by 72.5% in the 3rd quarter. UMB Bank n.a. now owns 345 shares of the company’s stock valued at $57,000 after buying an additional 145 shares during the last quarter. Nomura Asset Management Co. Ltd. boosted its holdings in shares of Regal Rexnord by 30.3% in the 3rd quarter. Nomura Asset Management Co. Ltd. now owns 430 shares of the company’s stock valued at $71,000 after buying an additional 100 shares during the last quarter. 1620 Investment Advisors Inc. boosted its holdings in shares of Regal Rexnord by 17.4% in the 3rd quarter. 1620 Investment Advisors Inc. now owns 452 shares of the company’s stock valued at $75,000 after buying an additional 67 shares during the last quarter. GAMMA Investing LLC lifted its holdings in Regal Rexnord by 30.0% during the 3rd quarter. GAMMA Investing LLC now owns 841 shares of the company’s stock valued at $140,000 after purchasing an additional 194 shares during the last quarter. Finally, Quarry LP lifted its holdings in Regal Rexnord by 752.9% during the 2nd quarter. Quarry LP now owns 870 shares of the company’s stock valued at $118,000 after purchasing an additional 768 shares during the last quarter. Institutional investors and hedge funds own 99.72% of the company’s stock.

About Regal Rexnord

Regal Rexnord Corporation manufactures and sells industrial powertrain solutions, power transmission components, electric motors and electronic controls, air moving products, and specialty electrical components and systems worldwide. The Industrial Powertrain Solutions segment provides mounted and unmounted bearings, couplings, mechanical power transmission drives and components, gearboxes, gear motors, clutches, brakes, special, and industrial powertrain components and solutions for food and beverage, bulk material handling, eCommerce/warehouse distribution, energy, mining, marine, agricultural machinery, turf and garden, and general industrial markets.