Eminence Capital LP Buys 49,930 Shares of McGrath RentCorp $MGRC

Eminence Capital LP grew its stake in shares of McGrath RentCorp (NASDAQ:MGRC) by 5.6% in the third quarter, HoldingsChannel.com reports. The firm owned 944,972 shares of the financial services provider’s stock after buying an additional 49,930 shares during the quarter. Eminence Capital LP’s holdings in McGrath RentCorp were worth $110,845,000 at the end of the most recent quarter.

Several other hedge funds also recently made changes to their positions in MGRC. Aster Capital Management DIFC Ltd bought a new stake in McGrath RentCorp in the 3rd quarter worth $29,000. Cullen Frost Bankers Inc. purchased a new stake in shares of McGrath RentCorp during the third quarter worth about $30,000. EverSource Wealth Advisors LLC grew its stake in shares of McGrath RentCorp by 767.7% in the second quarter. EverSource Wealth Advisors LLC now owns 269 shares of the financial services provider’s stock worth $31,000 after purchasing an additional 238 shares during the last quarter. Elevation Point Wealth Partners LLC purchased a new position in McGrath RentCorp during the 2nd quarter valued at about $57,000. Finally, Strs Ohio bought a new position in McGrath RentCorp during the 1st quarter valued at approximately $56,000. 92.05% of the stock is owned by hedge funds and other institutional investors.

McGrath RentCorp Stock Performance

Shares of NASDAQ:MGRC opened at $103.59 on Friday. The firm has a market capitalization of $2.55 billion, a P/E ratio of 16.31, a P/E/G ratio of 1.03 and a beta of 0.50. The stock has a 50 day moving average price of $112.16 and a 200-day moving average price of $111.99. McGrath RentCorp has a 52-week low of $94.99 and a 52-week high of $128.41.

McGrath RentCorp (NASDAQ:MGRC) last issued its quarterly earnings results on Wednesday, February 25th. The financial services provider reported $2.02 earnings per share for the quarter, topping the consensus estimate of $1.74 by $0.28. The company had revenue of $256.76 million for the quarter, compared to analysts’ expectations of $254.32 million. McGrath RentCorp had a return on equity of 13.21% and a net margin of 16.55%. On average, equities analysts forecast that McGrath RentCorp will post 6.18 EPS for the current fiscal year.

McGrath RentCorp Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, April 30th. Stockholders of record on Thursday, April 16th will be given a $0.495 dividend. The ex-dividend date of this dividend is Thursday, April 16th. This represents a $1.98 dividend on an annualized basis and a dividend yield of 1.9%. This is a boost from McGrath RentCorp’s previous quarterly dividend of $0.49. McGrath RentCorp’s payout ratio is currently 30.55%.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently weighed in on the company. Weiss Ratings reiterated a “hold (c+)” rating on shares of McGrath RentCorp in a research report on Tuesday, January 27th. Zacks Research upgraded shares of McGrath RentCorp from a “strong sell” rating to a “hold” rating in a report on Thursday, January 15th. Finally, Barclays assumed coverage on shares of McGrath RentCorp in a research report on Wednesday, February 11th. They set an “overweight” rating and a $140.00 price objective on the stock. Two research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $141.50.

Insider Activity

In related news, SVP Gilda Malek sold 829 shares of McGrath RentCorp stock in a transaction dated Monday, December 15th. The shares were sold at an average price of $107.29, for a total transaction of $88,943.41. Following the completion of the transaction, the senior vice president directly owned 4,068 shares of the company’s stock, valued at $436,455.72. This trade represents a 16.93% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. 1.40% of the stock is currently owned by insiders.

About McGrath RentCorp

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.