Regal Rexnord Co. (NYSE:RRX) Sees Large Growth in Short Interest

Regal Rexnord Co. (NYSE:RRX) was the recipient of a significant growth in short interest in November. As of November 15th, there was short interest totalling 1,300,000 shares, a growth of 21.5% from the October 31st total of 1,070,000 shares. Approximately 2.0% of the shares of the company are sold short. Based on an average daily volume of 456,600 shares, the short-interest ratio is currently 2.8 days.

Regal Rexnord Trading Up 0.1 %

Shares of RRX stock traded up $0.23 during mid-day trading on Monday, hitting $172.94. 41,137 shares of the company’s stock were exchanged, compared to its average volume of 453,503. Regal Rexnord has a fifty-two week low of $122.49 and a fifty-two week high of $185.28. The stock has a 50-day simple moving average of $170.84 and a two-hundred day simple moving average of $157.58. The company has a quick ratio of 1.35, a current ratio of 2.45 and a debt-to-equity ratio of 0.87. The stock has a market cap of $11.45 billion, a price-to-earnings ratio of 54.48, a PEG ratio of 1.87 and a beta of 1.04.

Regal Rexnord (NYSE:RRX) last posted its quarterly earnings data on Monday, November 4th. The company reported $2.49 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.48 by $0.01. Regal Rexnord had a return on equity of 9.48% and a net margin of 3.41%. The business had revenue of $1.48 billion for the quarter, compared to analysts’ expectations of $1.53 billion. During the same quarter last year, the firm earned $2.10 earnings per share. The business’s revenue was down 10.4% on a year-over-year basis. Equities analysts expect that Regal Rexnord will post 9.25 EPS for the current fiscal year.

Regal Rexnord Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, January 14th. Investors of record on Tuesday, December 31st will be issued a $0.35 dividend. This represents a $1.40 dividend on an annualized basis and a yield of 0.81%. The ex-dividend date is Tuesday, December 31st. Regal Rexnord’s payout ratio is currently 44.16%.

Insider Buying and Selling

In related news, CEO Louis V. Pinkham sold 8,774 shares of the stock in a transaction dated Thursday, November 7th. The shares were sold at an average price of $180.03, for a total transaction of $1,579,583.22. Following the completion of the transaction, the chief executive officer now directly owns 149,618 shares of the company’s stock, valued at $26,935,728.54. This represents a 5.54 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this link. 0.82% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in RRX. Harbor Capital Advisors Inc. purchased a new stake in shares of Regal Rexnord during the second quarter worth about $1,173,000. PNC Financial Services Group Inc. increased its position in shares of Regal Rexnord by 29.2% during the third quarter. PNC Financial Services Group Inc. now owns 12,311 shares of the company’s stock worth $2,042,000 after acquiring an additional 2,783 shares during the last quarter. Natixis Advisors LLC increased its position in shares of Regal Rexnord by 15.3% during the third quarter. Natixis Advisors LLC now owns 86,933 shares of the company’s stock worth $14,420,000 after acquiring an additional 11,568 shares during the last quarter. BNP PARIBAS ASSET MANAGEMENT Holding S.A. increased its position in shares of Regal Rexnord by 31.4% during the second quarter. BNP PARIBAS ASSET MANAGEMENT Holding S.A. now owns 19,686 shares of the company’s stock worth $2,662,000 after acquiring an additional 4,701 shares during the last quarter. Finally, Texas Permanent School Fund Corp increased its holdings in Regal Rexnord by 7.0% in the second quarter. Texas Permanent School Fund Corp now owns 62,101 shares of the company’s stock valued at $8,397,000 after buying an additional 4,076 shares during the last quarter. Institutional investors and hedge funds own 99.72% of the company’s stock.

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on RRX shares. Robert W. Baird dropped their target price on shares of Regal Rexnord from $223.00 to $208.00 and set an “outperform” rating for the company in a report on Wednesday, November 6th. StockNews.com raised shares of Regal Rexnord from a “hold” rating to a “buy” rating in a report on Wednesday, October 16th. Barclays increased their target price on shares of Regal Rexnord from $180.00 to $190.00 and gave the company an “overweight” rating in a report on Wednesday, October 2nd. Citigroup initiated coverage on shares of Regal Rexnord in a research report on Monday, October 14th. They issued a “buy” rating and a $200.00 price target on the stock. Finally, Loop Capital reiterated a “buy” rating and issued a $200.00 price target on shares of Regal Rexnord in a research report 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. According to MarketBeat, Regal Rexnord has a consensus rating of “Moderate Buy” and an average target price of $193.00.

Regal Rexnord Company Profile

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.