Jefferies Financial Group Weighs in on Rent-A-Center, Inc.’s Q2 2022 Earnings (NASDAQ:RCII)

Rent-A-Center, Inc. (NASDAQ:RCII – Get Rating) – Stock analysts at Jefferies Financial Group cut their Q2 2022 EPS estimates for Rent-A-Center in a research note issued to investors on Thursday, May 5th. Jefferies Financial Group analyst K. Joseph now forecasts that the company will earn $1.03 per share for the quarter, down from their previous forecast of $1.17. Jefferies Financial Group also issued estimates for Rent-A-Center’s Q3 2022 earnings at $1.36 EPS, Q4 2022 earnings at $1.53 EPS, FY2022 earnings at $4.66 EPS, Q1 2023 earnings at $1.53 EPS, Q2 2023 earnings at $1.43 EPS, Q3 2023 earnings at $1.42 EPS, Q4 2023 earnings at $1.50 EPS and FY2023 earnings at $5.88 EPS.

Rent-A-Center (NASDAQ:RCII – Get Rating) last announced its quarterly earnings data on Wednesday, May 4th. The company reported $0.74 EPS for the quarter, beating analysts’ consensus estimates of $0.71 by $0.03. Rent-A-Center had a net margin of 1.87% and a return on equity of 48.47%. The firm had revenue of $1.13 billion during the quarter, compared to the consensus estimate of $1.11 billion. During the same quarter last year, the firm earned $1.32 earnings per share. The firm’s revenue was up 9.4% compared to the same quarter last year.

RCII has been the topic of a number of other research reports. Raymond James lowered shares of Rent-A-Center from a “strong-buy” rating to an “outperform” rating and decreased their price target for the company from $65.00 to $40.00 in a report on Friday, February 25th. KeyCorp dropped their target price on shares of Rent-A-Center from $68.00 to $44.00 and set an “overweight” rating for the company in a research report on Friday, February 25th. Zacks Investment Research downgraded shares of Rent-A-Center from a “hold” rating to a “strong sell” rating and set a $24.00 target price for the company. in a research report on Monday, March 7th. Finally, StockNews.com assumed coverage on shares of Rent-A-Center in a research report on Thursday, March 31st. They set a “hold” rating for the company. One analyst has rated the stock with a sell rating, one has given a hold rating and four have issued a buy rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Buy” and an average target price of $48.25.

RCII stock opened at $26.45 on Monday. The stock has a market capitalization of $1.56 billion, a P/E ratio of 20.66 and a beta of 1.55. The company has a debt-to-equity ratio of 2.68, a quick ratio of 0.74 and a current ratio of 3.36. Rent-A-Center has a one year low of $22.70 and a one year high of $67.76. The company has a 50 day moving average price of $25.88 and a two-hundred day moving average price of $38.57.

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Kendall Capital Management lifted its position in Rent-A-Center by 22.4% during the first quarter. Kendall Capital Management now owns 36,465 shares of the company’s stock worth $919,000 after purchasing an additional 6,680 shares during the period. KBC Group NV lifted its holdings in shares of Rent-A-Center by 187.9% in the 1st quarter. KBC Group NV now owns 53,097 shares of the company’s stock worth $1,338,000 after purchasing an additional 34,652 shares in the last quarter. Russell Investments Group Ltd. raised its position in Rent-A-Center by 56.7% in the 1st quarter. Russell Investments Group Ltd. now owns 39,363 shares of the company’s stock valued at $990,000 after buying an additional 14,248 shares during the last quarter. SummerHaven Investment Management LLC increased its position in shares of Rent-A-Center by 4.7% during the 1st quarter. SummerHaven Investment Management LLC now owns 16,832 shares of the company’s stock valued at $424,000 after purchasing an additional 752 shares during the last quarter. Finally, Victory Capital Management Inc. increased its holdings in Rent-A-Center by 1,220.7% in the 1st quarter. Victory Capital Management Inc. now owns 270,330 shares of the company’s stock worth $6,520,000 after acquiring an additional 249,861 shares during the last quarter. Institutional investors and hedge funds own 81.66% of the company’s stock.

In other Rent-A-Center news, CEO Mitchell E. Fadel bought 40,000 shares of Rent-A-Center stock in a transaction dated Tuesday, March 1st. The shares were bought at an average price of $27.08 per share, with a total value of $1,083,200.00. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Company insiders own 1.50% of the company’s stock.

The business also recently disclosed a quarterly dividend, which was paid on Friday, April 22nd. Shareholders of record on Tuesday, April 5th were given a $0.34 dividend. This represents a $1.36 annualized dividend and a yield of 5.14%. The ex-dividend date of this dividend was Monday, April 4th. Rent-A-Center’s payout ratio is presently 106.25%.

Rent-A-Center Company Profile (Get Rating)

Rent-A-Center, Inc, together with its subsidiaries, leases household durable goods to customers on a lease-to-own basis. The company operates in four segments: Rent-A-Center Business, Acima, Mexico, and Franchising. It offers furniture and accessories, appliances, consumer electronics, computers, tablets and smartphones, tools, tires, handbags, and other accessories under rental purchase agreements.

Featured Articles