Zacks Investment Research upgraded shares of Rexnord (NYSE:RXN) from a hold rating to a buy rating in a report issued on Wednesday. The brokerage currently has $32.00 target price on the industrial products company’s stock.
According to Zacks, “Year to date, Rexnord's shares have outperformed the industry. In second-quarter fiscal 2019, the company's adjusted earnings trumped the Zacks Consensus Estimate by 12.2% while grew 37.5% year over year on the back of solid top-line growth. The company expects to gain from product innovation, strengthening demand in end markets, supply-chain optimization and footprint-repositioning programs as well as inorganic activities. World Dryer and Centa Power buyouts are expected to boost the company's businesses while its plans to divest VAG operations are anticipated to free resources, which can be used for debt reduction. Core sales growth is predicted to be in a mid-single digit. In the past 60 days, earnings estimates on the stock improved for both fiscal 2019 and fiscal 2020.”
A number of other research analysts also recently commented on RXN. ValuEngine downgraded Rexnord from a buy rating to a hold rating in a report on Tuesday, November 27th. Credit Suisse Group reaffirmed a neutral rating and set a $31.00 target price on shares of Rexnord in a report on Friday, November 23rd. TheStreet raised Rexnord from a c+ rating to a b- rating in a report on Monday, December 3rd. Goldman Sachs Group assumed coverage on Rexnord in a report on Tuesday, October 2nd. They set a neutral rating and a $31.00 target price on the stock. Finally, Oppenheimer increased their target price on Rexnord from $35.00 to $37.00 and gave the stock a buy rating in a report on Wednesday, October 10th. Four investment analysts have rated the stock with a hold rating and six have assigned a buy rating to the company. Rexnord currently has a consensus rating of Buy and a consensus price target of $32.63.
Rexnord (NYSE:RXN) last released its earnings results on Tuesday, October 30th. The industrial products company reported $0.46 EPS for the quarter, topping analysts’ consensus estimates of $0.42 by $0.04. Rexnord had a positive return on equity of 16.99% and a negative net margin of 0.89%. The company had revenue of $524.80 million for the quarter, compared to the consensus estimate of $516.66 million. During the same quarter last year, the business posted $0.32 EPS. Rexnord’s quarterly revenue was up 15.6% compared to the same quarter last year. On average, research analysts forecast that Rexnord will post 1.75 earnings per share for the current fiscal year.
In other news, insider Craig Wehr sold 7,500 shares of the stock in a transaction that occurred on Friday, November 2nd. The stock was sold at an average price of $28.50, for a total transaction of $213,750.00. Following the sale, the insider now directly owns 15,054 shares in the company, valued at approximately $429,039. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Theodore D. Crandall purchased 4,000 shares of the company’s stock in a transaction dated Thursday, November 1st. The shares were bought at an average price of $27.84 per share, for a total transaction of $111,360.00. Following the completion of the transaction, the director now directly owns 20,330 shares in the company, valued at approximately $565,987.20. The disclosure for this purchase can be found here. Insiders have sold a total of 29,964 shares of company stock worth $850,167 over the last quarter. Insiders own 4.50% of the company’s stock.
Institutional investors have recently made changes to their positions in the company. SG Americas Securities LLC raised its position in shares of Rexnord by 22.3% during the 2nd quarter. SG Americas Securities LLC now owns 9,266 shares of the industrial products company’s stock worth $269,000 after purchasing an additional 1,692 shares during the period. DekaBank Deutsche Girozentrale acquired a new stake in shares of Rexnord during the 3rd quarter worth approximately $290,000. Stone Ridge Asset Management LLC acquired a new stake in shares of Rexnord during the 3rd quarter worth approximately $326,000. Jane Street Group LLC acquired a new stake in shares of Rexnord during the 2nd quarter worth approximately $314,000. Finally, Credit Agricole S A raised its position in shares of Rexnord by 25.5% during the 2nd quarter. Credit Agricole S A now owns 14,049 shares of the industrial products company’s stock worth $408,000 after purchasing an additional 2,854 shares during the period.
Rexnord Corporation designs, manufactures, and markets process and motion control, and water management products worldwide. It operates in two segments, Process & Motion Control Platform and Water Management Platform. The company offers table top conveying chain and related accessories, metal conveying and engineered woven metals, gearing and gear drives, conveying equipment, industrial chain, and custom assemblies; custom-engineered, application-specific miniature gearboxes, and motion control assemblies and components used in aerospace, defense, medical equipment, robotics, semiconductor, instrumentation, and satellite communications; and shaft management products, including couplings, torque limiters, electromagnetic clutches and brakes, industrial bearings, and shaft locking assemblies.
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