Lazard Asset Management LLC Acquires New Position in McGrath RentCorp $MGRC

Lazard Asset Management LLC bought a new position in shares of McGrath RentCorp (NASDAQ:MGRC) during the first quarter, HoldingsChannel.com reports. The firm bought 35,155 shares of the financial services provider’s stock, valued at approximately $3,877,000.

Several other hedge funds and other institutional investors have also recently bought and sold shares of MGRC. American Century Companies Inc. raised its holdings in McGrath RentCorp by 0.7% in the 2nd quarter. American Century Companies Inc. now owns 12,263 shares of the financial services provider’s stock valued at $1,422,000 after acquiring an additional 85 shares during the last quarter. California State Teachers Retirement System lifted its stake in shares of McGrath RentCorp by 0.5% during the 2nd quarter. California State Teachers Retirement System now owns 22,696 shares of the financial services provider’s stock worth $2,632,000 after purchasing an additional 119 shares during the period. Neuberger Berman Group LLC boosted its holdings in shares of McGrath RentCorp by 6.9% during the fourth quarter. Neuberger Berman Group LLC now owns 1,948 shares of the financial services provider’s stock worth $204,000 after purchasing an additional 126 shares during the last quarter. Osaic Holdings Inc. boosted its holdings in shares of McGrath RentCorp by 1.0% during the fourth quarter. Osaic Holdings Inc. now owns 15,596 shares of the financial services provider’s stock worth $1,636,000 after purchasing an additional 149 shares during the last quarter. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its position in shares of McGrath RentCorp by 0.3% in the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 66,748 shares of the financial services provider’s stock valued at $7,004,000 after purchasing an additional 175 shares during the period. 92.05% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Separately, Weiss Ratings upgraded McGrath RentCorp from a “hold (c)” rating to a “hold (c+)” rating in a research note on Tuesday. Two analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $141.50.

McGrath RentCorp Stock Performance

MGRC opened at $115.15 on Friday. McGrath RentCorp has a 1 year low of $94.99 and a 1 year high of $127.68. The company’s 50 day simple moving average is $115.66 and its 200 day simple moving average is $113.41. The stock has a market capitalization of $2.81 billion, a PE ratio of 18.54, a P/E/G ratio of 1.17 and a beta of 0.43.

McGrath RentCorp (NASDAQ:MGRC) last issued its quarterly earnings results on Wednesday, July 29th. The financial services provider reported $1.37 EPS for the quarter, missing the consensus estimate of $1.47 by ($0.10). McGrath RentCorp had a return on equity of 12.44% and a net margin of 16.38%.The company had revenue of $221.11 million for the quarter, compared to analyst estimates of $236.51 million. As a group, sell-side analysts expect that McGrath RentCorp will post 6.33 earnings per share for the current fiscal year.

McGrath RentCorp Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, July 31st. Stockholders of record on Friday, July 17th were paid a dividend of $0.495 per share. The ex-dividend date of this dividend was Friday, July 17th. This represents a $1.98 annualized dividend and a dividend yield of 1.7%. McGrath RentCorp’s payout ratio is currently 31.88%.

Key Stories Impacting McGrath RentCorp

Here are the key news stories impacting McGrath RentCorp this week:

• Positive Sentiment: 2026 outlook and expansion spending support growth: Management projected 2026 revenue of $955 million to $985 million and raised planned gross rental capital expenditures to $200 million-$220 million, indicating continued demand and investment in fleet expansion. The higher spending could support future rental revenue and earnings. McGrath outlines 2026 revenue of $955M-$985M while raising gross rental CapEx to $200M-$220M
• Positive Sentiment: Sidoti raised several near-term forecasts: The firm increased its Q3 2026 EPS estimate to $1.85 from $1.79, Q4 2026 to $2.00 from $1.94, and FY2026 to $6.32 from $6.29. Sidoti also raised its Q4 2027 estimate to $2.18 from $2.12, suggesting improving expectations for portions of the outlook.
• Neutral Sentiment: Earnings call highlighted both growth and risks: Management discussed rental-revenue growth and strategic opportunities, while also addressing execution, capital spending and other operating risks. McGrath RentCorp Earnings Call Balances Growth and Risks
• Negative Sentiment: Second-quarter results missed expectations: MGRC reported EPS of $1.37 versus the $1.46 consensus estimate, while revenue of $221.11 million fell short of the $236.52 million forecast. EPS also declined from $1.46 a year earlier, potentially limiting enthusiasm around the stock. McGrath Misses Q2 Earnings and Revenue Estimates
• Negative Sentiment: Longer-term estimates were trimmed: Sidoti lowered Q1 2027 EPS to $1.17 from $1.18, Q2 2027 to $1.63 from $1.81, and FY2027 to $7.01 from $7.07. The FY2027 reduction suggests analysts see some pressure despite the improved near-term forecasts.

Insider Activity at McGrath RentCorp

In related news, Director Joseph F. Hanna sold 7,500 shares of the stock in a transaction on Wednesday, July 1st. The stock was sold at an average price of $120.64, for a total value of $904,800.00. Following the transaction, the director directly owned 151,549 shares of the company’s stock, valued at approximately $18,282,871.36. This trade represents a 4.72% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO David M. Whitney sold 3,783 shares of McGrath RentCorp stock in a transaction on Wednesday, June 10th. The shares were sold at an average price of $113.65, for a total value of $429,937.95. Following the completion of the transaction, the chief accounting officer owned 6,533 shares in the company, valued at $742,475.45. The trade was a 36.67% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 30,051 shares of company stock worth $3,486,240. 1.40% of the stock is owned by corporate insiders.

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.