Clearline Capital LP Makes New Investment in McGrath RentCorp (NASDAQ:MGRC)

Clearline Capital LP purchased a new stake in McGrath RentCorp (NASDAQ:MGRC) in the 3rd quarter, according to its most recent disclosure with the SEC. The fund purchased 113,756 shares of the financial services provider’s stock, valued at approximately $11,976,000.

Other institutional investors have also modified their holdings of the company. River Road Asset Management LLC boosted its stake in McGrath RentCorp by 68.2% in the third quarter. River Road Asset Management LLC now owns 1,247,376 shares of the financial services provider’s stock valued at $131,324,000 after acquiring an additional 505,817 shares during the period. Victory Capital Management Inc. boosted its position in McGrath RentCorp by 6.8% during the 3rd quarter. Victory Capital Management Inc. now owns 755,570 shares of the financial services provider’s stock valued at $79,546,000 after purchasing an additional 47,872 shares during the period. Alpine Associates Management Inc. increased its position in McGrath RentCorp by 9.8% in the second quarter. Alpine Associates Management Inc. now owns 710,853 shares of the financial services provider’s stock worth $75,741,000 after buying an additional 63,366 shares during the period. Vaughan Nelson Investment Management L.P. lifted its stake in McGrath RentCorp by 26.0% in the second quarter. Vaughan Nelson Investment Management L.P. now owns 486,190 shares of the financial services provider’s stock valued at $51,803,000 after buying an additional 100,210 shares during the last quarter. Finally, Charles Schwab Investment Management Inc. boosted its holdings in shares of McGrath RentCorp by 3.0% during the third quarter. Charles Schwab Investment Management Inc. now owns 287,261 shares of the financial services provider’s stock valued at $30,243,000 after acquiring an additional 8,428 shares during the period. Institutional investors own 92.05% of the company’s stock.

McGrath RentCorp Trading Up 0.5 %

McGrath RentCorp stock opened at $121.85 on Monday. McGrath RentCorp has a 52 week low of $95.50 and a 52 week high of $130.86. The stock has a market cap of $2.99 billion, a price-to-earnings ratio of 13.32, a PEG ratio of 1.70 and a beta of 0.74. The company’s 50-day moving average price is $113.07 and its two-hundred day moving average price is $108.80.

McGrath RentCorp (NASDAQ:MGRC) last posted its quarterly earnings data on Thursday, October 24th. The financial services provider reported $1.87 EPS for the quarter, beating analysts’ consensus estimates of $1.39 by $0.48. The business had revenue of $266.76 million for the quarter, compared to analyst estimates of $227.76 million. McGrath RentCorp had a net margin of 25.29% and a return on equity of 13.64%. The business’s revenue for the quarter was up 9.5% on a year-over-year basis. During the same quarter last year, the business earned $1.65 earnings per share. Research analysts expect that McGrath RentCorp will post 5.5 earnings per share for the current fiscal year.

McGrath RentCorp Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, October 31st. Investors of record on Thursday, October 17th were issued a dividend of $0.475 per share. This represents a $1.90 dividend on an annualized basis and a yield of 1.56%. The ex-dividend date was Thursday, October 17th. McGrath RentCorp’s payout ratio is currently 20.77%.

Analysts Set New Price Targets

A number of research analysts have issued reports on the stock. Oppenheimer boosted their target price on shares of McGrath RentCorp from $124.00 to $139.00 and gave the company an “outperform” rating in a research note on Friday, November 22nd. StockNews.com upgraded McGrath RentCorp from a “sell” rating to a “hold” rating in a research report on Tuesday, October 22nd.

Insiders Place Their Bets

In related news, VP David M. Whitney sold 5,176 shares of the stock in a transaction that occurred on Wednesday, October 30th. The shares were sold at an average price of $117.00, for a total transaction of $605,592.00. Following the completion of the sale, the vice president now directly owns 205 shares of the company’s stock, valued at $23,985. This represents a 96.19 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Kimberly Ann Box sold 1,000 shares of the company’s stock in a transaction on Friday, November 1st. The shares were sold at an average price of $114.62, for a total value of $114,620.00. Following the completion of the transaction, the director now directly owns 7,500 shares in the company, valued at $859,650. This represents a 11.76 % decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 47,016 shares of company stock worth $5,493,411. 1.60% of the stock is owned by corporate insiders.

McGrath RentCorp Company Profile

McGrath RentCorp operates as a business to business rental company in the United States and internationally. It rents and sells relocatable modular buildings, portable storage containers, and electronic test equipment. The company operates through four segments: Mobile Modular, Portable Storage, TRS-RenTelco, and Enviroplex.