Capital World Investors Boosts Position in McGrath RentCorp $MGRC

Capital World Investors increased its holdings in shares of McGrath RentCorp (NASDAQ:MGRC) by 9.0% in the 4th quarter, Holdings Channel.com reports. The firm owned 321,100 shares of the financial services provider’s stock after acquiring an additional 26,564 shares during the quarter. Capital World Investors’ holdings in McGrath RentCorp were worth $33,693,000 as of its most recent SEC filing.

Other institutional investors have also recently added to or reduced their stakes in the company. Envestnet Asset Management Inc. lifted its stake in McGrath RentCorp by 112.7% during the third quarter. Envestnet Asset Management Inc. now owns 44,953 shares of the financial services provider’s stock worth $5,273,000 after purchasing an additional 23,817 shares during the last quarter. Channing Capital Management LLC lifted its stake in McGrath RentCorp by 19.8% during the third quarter. Channing Capital Management LLC now owns 601,583 shares of the financial services provider’s stock worth $70,566,000 after purchasing an additional 99,626 shares during the last quarter. Eminence Capital LP lifted its stake in McGrath RentCorp by 5.6% during the third quarter. Eminence Capital LP now owns 944,972 shares of the financial services provider’s stock worth $110,845,000 after purchasing an additional 49,930 shares during the last quarter. Comerica Bank lifted its stake in McGrath RentCorp by 96.8% during the fourth quarter. Comerica Bank now owns 58,374 shares of the financial services provider’s stock worth $6,125,000 after purchasing an additional 28,719 shares during the last quarter. Finally, Neumeier Poma Investment Counsel LLC lifted its stake in McGrath RentCorp by 45.0% during the third quarter. Neumeier Poma Investment Counsel LLC now owns 297,878 shares of the financial services provider’s stock worth $34,941,000 after purchasing an additional 92,472 shares during the last quarter. Hedge funds and other institutional investors own 92.05% of the company’s stock.

Analysts Set New Price Targets

Several research firms recently weighed in on MGRC. Weiss Ratings cut McGrath RentCorp from a “hold (c+)” rating to a “hold (c)” rating in a research note on Friday, May 8th. Barclays started coverage on McGrath RentCorp in a research report on Wednesday, February 11th. They set an “overweight” rating and a $140.00 price target on the stock. Two research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $141.50.

McGrath RentCorp Stock Up 3.2%

MGRC opened at $112.78 on Wednesday. The firm has a market cap of $2.77 billion, a price-to-earnings ratio of 17.90, a price-to-earnings-growth ratio of 1.11 and a beta of 0.44. McGrath RentCorp has a 52 week low of $94.99 and a 52 week high of $128.41. The business’s 50 day moving average is $112.13 and its two-hundred day moving average is $110.19.

McGrath RentCorp (NASDAQ:MGRC) last released its quarterly earnings results on Wednesday, April 29th. The financial services provider reported $1.10 EPS for the quarter, missing the consensus estimate of $1.13 by ($0.03). The firm had revenue of $198.54 million for the quarter, compared to analyst estimates of $198.19 million. McGrath RentCorp had a return on equity of 12.84% and a net margin of 16.38%. Equities analysts expect that McGrath RentCorp will post 6.35 EPS for the current fiscal year.

McGrath RentCorp Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, July 31st. Shareholders of record on Friday, July 17th will be given a dividend of $0.495 per share. The ex-dividend date of this dividend is Friday, July 17th. This represents a $1.98 annualized dividend and a yield of 1.8%. McGrath RentCorp’s payout ratio is 31.43%.

Insiders Place Their Bets

In other news, Director Joseph F. Hanna sold 9,470 shares of the business’s stock in a transaction that occurred on Monday, May 4th. The stock was sold at an average price of $112.49, for a total value of $1,065,280.30. Following the transaction, the director owned 159,579 shares of the company’s stock, valued at approximately $17,951,041.71. The trade was a 5.60% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CAO David M. Whitney sold 539 shares of the business’s stock in a transaction that occurred on Friday, May 15th. The shares were sold at an average price of $115.00, for a total value of $61,985.00. Following the completion of the transaction, the chief accounting officer directly owned 10,316 shares in the company, valued at approximately $1,186,340. The trade was a 4.97% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 11,078 shares of company stock valued at $1,248,610 over the last quarter. Company insiders own 1.40% of the company’s stock.

McGrath RentCorp Profile

McGrath RentCorp, through its subsidiaries, provides rental, sales, and servicing of equipment for commercial, industrial, environmental, and residential markets. The company operates primarily through two segments—mobile storage and water management—offering flexible solutions for customers requiring on-site storage, water transport, treatment, and dewatering services.

In its mobile storage segment, McGrath RentCorp supplies portable storage containers and modular office units to sectors including construction, retail, government, and disaster restoration.