McGrath RentCorp (NASDAQ:MGRC) Sees Strong Trading Volume – Time to Buy?

McGrath RentCorp (NASDAQ:MGRC) shares saw strong trading volume on Tuesday. Approximately 281,884 shares were traded during mid-day trading, an increase of 56% from the average daily volume of 180,673 shares. The stock last traded at $132.2930 and had previously closed at $129.44.

Analyst Ratings Changes

Separately, Weiss Ratings restated a “hold (c+)” rating on shares of McGrath RentCorp in a report on Monday, October 26th. One equities research analyst has rated the stock with a Buy rating and two have given a Hold rating to the company’s stock. According to MarketBeat.com, McGrath RentCorp currently has an average rating of “Hold” and an average price target of $140.00.

McGrath RentCorp Trading Up 2.2%

The stock has a market capitalization of $3.23 billion, a price-to-earnings ratio of 20.33, a P/E/G ratio of 1.20 and a beta of 0.47. The firm has a 50-day moving average of $114.00 and a 200-day moving average of $114.08.

McGrath RentCorp (NASDAQ:MGRC) last issued its quarterly earnings results on Wednesday, October 28th. The financial services provider reported $2.00 EPS for the quarter, topping analysts’ consensus estimates of $1.89 by $0.11. The company had revenue of $274.61 million during the quarter, compared to analysts’ expectations of $273.25 million. McGrath RentCorp had a return on equity of 12.85% and a net margin of 16.75%. On average, equities research analysts anticipate that McGrath RentCorp will post 6.38 EPS for the current year.

McGrath RentCorp Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, October 30th. Stockholders of record on Friday, October 16th were given a dividend of $0.4950 per share. The ex-dividend date was Friday, October 16th. This represents a $1.98 dividend on an annualized basis and a dividend yield of 1.5%. McGrath RentCorp’s dividend payout ratio (DPR) is 30.51%.

Insider Transactions at McGrath RentCorp

In related news, Director Joseph Hanna sold 7,500 shares of the company’s stock in a transaction dated Thursday, October 1st. The shares were sold at an average price of $115.04, for a total transaction of $862,800.00. Following the completion of the sale, the director owned 144,049 shares of the company’s stock, valued at approximately $16,571,396.96. This represents a 4.95% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Philip B. Hawkins sold 4,435 shares of McGrath RentCorp stock in a transaction on Tuesday, August 11th. The stock was sold at an average price of $120.91, for a total value of $536,235.85. Following the transaction, the chief executive officer owned 13,371 shares in the company, valued at approximately $1,616,687.61. This represents a 24.91% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 13,935 shares of company stock valued at $1,639,856 over the last 90 days. 1.40% of the stock is currently owned by corporate insiders.

Institutional Trading of McGrath RentCorp

Hedge funds have recently made changes to their positions in the business. Public Employees Retirement System of Ohio purchased a new position in shares of McGrath RentCorp during the second quarter worth about $45,000. Nykredit A S purchased a new stake in shares of McGrath RentCorp in the 2nd quarter valued at about $157,000. Elevation Point Wealth Partners LLC acquired a new stake in shares of McGrath RentCorp in the 2nd quarter valued at about $242,000. Jefferies Financial Group Inc. acquired a new stake in shares of McGrath RentCorp in the 2nd quarter valued at about $252,000. Finally, Phillips Wealth Planners LLC acquired a new stake in shares of McGrath RentCorp in the 2nd quarter valued at about $243,000. Institutional investors and hedge funds own 92.05% of the company’s stock.

About McGrath RentCorp

McGrath RentCorp was a business-to-business rental company that provided modular buildings, portable storage, electronic test equipment and related products. Its modular building offerings served customers needing temporary or permanent space, including classrooms, offices, healthcare facilities and other commercial or institutional applications.

Through brands such as Mobile Modular, the company rented relocatable buildings and portable storage units, while its TRS-RenTelco business provided electronic test and measurement equipment to telecommunications, electronics, aerospace, defense and other industrial customers.