Zacks: McGrath RentCorp (MGRC) Given Consensus Recommendation of “Buy” by Analysts

McGrath RentCorp (NASDAQ:MGRC) has been given a consensus broker rating score of 2.00 (Buy) from the two brokers that provide coverage for the stock, Zacks Investment Research reports. One investment analyst has rated the stock with a hold rating and one has assigned a strong buy rating to the company. McGrath RentCorp’s rating score has improved by 33.3% in the last 90 days as a result of various analysts’ upgrades and downgrades.

Brokers have set a 12 month consensus price target of $70.00 for the company and are anticipating that the company will post $0.81 EPS for the current quarter, according to Zacks. Zacks has also assigned McGrath RentCorp an industry rank of 17 out of 255 based on the ratings given to its competitors.

MGRC has been the subject of several recent research reports. BidaskClub cut McGrath RentCorp from a “hold” rating to a “sell” rating in a research report on Tuesday, July 17th. ValuEngine cut McGrath RentCorp from a “buy” rating to a “hold” rating in a research report on Monday, July 30th. Berenberg Bank initiated coverage on McGrath RentCorp in a research report on Wednesday, September 19th. They issued a “buy” rating and a $70.00 price target for the company. Finally, Zacks Investment Research upgraded McGrath RentCorp from a “hold” rating to a “strong-buy” rating and set a $61.00 price target for the company in a research report on Friday.

In related news, VP John P. Skenesky sold 1,423 shares of the business’s stock in a transaction dated Friday, September 7th. The stock was sold at an average price of $55.75, for a total transaction of $79,332.25. Following the completion of the transaction, the vice president now directly owns 1,716 shares in the company, valued at $95,667. The transaction was disclosed in a document filed with the SEC, which is available through this link. 2.00% of the stock is owned by insiders.

Institutional investors have recently bought and sold shares of the stock. ELM Advisors LLC purchased a new position in McGrath RentCorp during the third quarter worth about $131,000. Ausdal Financial Partners Inc. purchased a new position in McGrath RentCorp during the second quarter worth about $202,000. Mirador Capital Partners LP purchased a new position in McGrath RentCorp during the second quarter worth about $218,000. Sterling Capital Management LLC purchased a new position in McGrath RentCorp during the second quarter worth about $218,000. Finally, Engineers Gate Manager LP purchased a new position in McGrath RentCorp during the third quarter worth about $231,000. Institutional investors and hedge funds own 80.88% of the company’s stock.

NASDAQ:MGRC opened at $53.04 on Monday. McGrath RentCorp has a 1 year low of $42.98 and a 1 year high of $68.79. The firm has a market capitalization of $1.28 billion, a price-to-earnings ratio of 24.79, a PEG ratio of 1.80 and a beta of 0.75.

McGrath RentCorp (NASDAQ:MGRC) last released its earnings results on Tuesday, October 30th. The financial services provider reported $1.01 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $0.90 by $0.11. The business had revenue of $143.10 million during the quarter, compared to the consensus estimate of $139.87 million. McGrath RentCorp had a return on equity of 12.61% and a net margin of 35.47%. The business’s revenue for the quarter was up 5.7% on a year-over-year basis. During the same period last year, the business posted $0.69 earnings per share. As a group, equities analysts predict that McGrath RentCorp will post 2.95 EPS for the current fiscal year.

The business also recently declared a quarterly dividend, which was paid on Wednesday, October 31st. Stockholders of record on Wednesday, October 17th were given a $0.34 dividend. This represents a $1.36 annualized dividend and a dividend yield of 2.56%. The ex-dividend date of this dividend was Tuesday, October 16th. McGrath RentCorp’s dividend payout ratio (DPR) is presently 63.55%.

McGrath RentCorp Company Profile

McGrath RentCorp, a business to business rental company, rents and sells relocatable modular buildings, portable storage containers, electronic test equipment, and liquid and solid containment tanks and boxes in the United States and internationally. It operates through four segments: Mobile Modular, TRS-RenTelco, Adler Tanks, and Enviroplex.

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