Forest Avenue Capital Management LP Boosts Stock Position in Regal Rexnord Co. (NYSE:RRX)

Forest Avenue Capital Management LP increased its position in shares of Regal Rexnord Co. (NYSE:RRX) by 63.8% during the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 262,910 shares of the company’s stock after buying an additional 102,412 shares during the period. Regal Rexnord comprises approximately 4.9% of Forest Avenue Capital Management LP’s holdings, making the stock its 9th largest holding. Forest Avenue Capital Management LP owned about 0.40% of Regal Rexnord worth $35,551,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently made changes to their positions in the company. Rise Advisors LLC purchased a new stake in Regal Rexnord during the first quarter worth $33,000. Headlands Technologies LLC purchased a new stake in shares of Regal Rexnord during the 2nd quarter worth $46,000. 1620 Investment Advisors Inc. purchased a new stake in shares of Regal Rexnord during the 2nd quarter worth $52,000. EntryPoint Capital LLC bought a new stake in Regal Rexnord during the first quarter valued at about $68,000. Finally, Riverview Trust Co purchased a new position in Regal Rexnord in the first quarter valued at about $75,000. 99.72% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

A number of analysts have recently weighed in on RRX shares. StockNews.com cut shares of Regal Rexnord from a “buy” rating to a “hold” rating in a report on Thursday. Robert W. Baird raised their target price on shares of Regal Rexnord from $208.00 to $213.00 and gave the company an “outperform” rating in a research note on Friday, August 2nd. Raymond James initiated coverage on Regal Rexnord in a research report on Friday, June 28th. They set a “market perform” rating on the stock. The Goldman Sachs Group raised their price objective on Regal Rexnord from $176.00 to $195.00 and gave the stock a “buy” rating in a research report on Friday, August 2nd. Finally, Barclays reduced their target price on Regal Rexnord from $181.00 to $180.00 and set an “overweight” rating on the stock in a research report on Friday, August 2nd. Two research analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $191.29.

Regal Rexnord Stock Down 2.6 %

Shares of RRX opened at $169.67 on Friday. The company has a market capitalization of $11.29 billion, a price-to-earnings ratio of -353.48, a PEG ratio of 1.64 and a beta of 1.04. Regal Rexnord Co. has a 52 week low of $97.18 and a 52 week high of $183.85. The stock’s 50-day moving average price is $156.45 and its 200-day moving average price is $156.98. The company has a quick ratio of 1.38, a current ratio of 2.45 and a debt-to-equity ratio of 0.91.

Regal Rexnord (NYSE:RRX) last released its quarterly earnings data on Wednesday, July 31st. The company reported $2.29 EPS for the quarter, topping the consensus estimate of $2.14 by $0.15. Regal Rexnord had a positive return on equity of 9.16% and a negative net margin of 0.02%. The business had revenue of $1.55 billion for the quarter, compared to analyst estimates of $1.51 billion. During the same quarter in the prior year, the firm posted $2.56 EPS. The business’s quarterly revenue was down 12.5% compared to the same quarter last year. On average, sell-side analysts predict that Regal Rexnord Co. will post 9.53 EPS for the current year.

Regal Rexnord Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, October 11th. Stockholders of record on Friday, September 27th will be given a dividend of $0.35 per share. This represents a $1.40 dividend on an annualized basis and a dividend yield of 0.83%. The ex-dividend date is Friday, September 27th. Regal Rexnord’s dividend payout ratio (DPR) is presently -291.67%.

Regal Rexnord 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.