Rent-A-Center, Inc. (NASDAQ:RCII) Expected to Post Earnings of $1.37 Per Share

Wall Street analysts expect Rent-A-Center, Inc. (NASDAQ:RCII) to announce earnings per share of $1.37 for the current quarter, Zacks Investment Research reports. Five analysts have made estimates for Rent-A-Center’s earnings. The highest EPS estimate is $1.39 and the lowest is $1.35. Rent-A-Center posted earnings per share of $0.80 during the same quarter last year, which would indicate a positive year-over-year growth rate of 71.3%. The business is scheduled to report its next quarterly earnings report after the market closes on Wednesday, August 4th.

On average, analysts expect that Rent-A-Center will report full-year earnings of $5.60 per share for the current year, with EPS estimates ranging from $5.36 to $5.82. For the next financial year, analysts anticipate that the company will report earnings of $6.44 per share, with EPS estimates ranging from $5.90 to $6.64. Zacks Investment Research’s EPS calculations are a mean average based on a survey of analysts that that provide coverage for Rent-A-Center.

Rent-A-Center (NASDAQ:RCII) last released its quarterly earnings data on Tuesday, May 4th. The company reported $1.32 earnings per share for the quarter, topping the consensus estimate of $1.12 by $0.20. The firm had revenue of $1.04 billion for the quarter, compared to analyst estimates of $961.23 million. Rent-A-Center had a net margin of 6.39% and a return on equity of 41.79%.

Several equities research analysts have commented on the stock. Zacks Investment Research lowered shares of Rent-A-Center from a “buy” rating to a “hold” rating and set a $64.00 price target on the stock. in a research note on Thursday, May 27th. Loop Capital raised their price target on shares of Rent-A-Center from $65.00 to $72.00 and gave the company a “buy” rating in a research note on Monday, May 3rd. Finally, Raymond James raised their price objective on shares of Rent-A-Center from $65.00 to $70.00 and gave the company a “strong-buy” rating in a research note on Friday, May 7th. One equities research analyst has rated the stock with a hold rating, four have issued a buy rating and one has given a strong buy rating to the company’s stock. The stock currently has a consensus rating of “Buy” and an average target price of $66.60.

In related news, EVP Catherine M. Skula sold 2,849 shares of the firm’s stock in a transaction that occurred on Wednesday, May 26th. The shares were sold at an average price of $59.85, for a total transaction of $170,512.65. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Maureen B. Short sold 22,725 shares of the firm’s stock in a transaction that occurred on Wednesday, June 9th. The stock was sold at an average price of $65.01, for a total transaction of $1,477,352.25. The disclosure for this sale can be found here. Insiders have sold 52,694 shares of company stock valued at $3,393,579 over the last 90 days. 0.80% of the stock is currently owned by insiders.

A number of institutional investors have recently bought and sold shares of RCII. Los Angeles Capital Management LLC boosted its stake in Rent-A-Center by 1.4% in the 4th quarter. Los Angeles Capital Management LLC now owns 99,500 shares of the company’s stock worth $3,810,000 after purchasing an additional 1,422 shares during the period. Credit Suisse AG boosted its stake in Rent-A-Center by 0.3% in the 4th quarter. Credit Suisse AG now owns 63,509 shares of the company’s stock worth $2,433,000 after purchasing an additional 220 shares during the period. The Manufacturers Life Insurance Company boosted its stake in Rent-A-Center by 4.6% in the 4th quarter. The Manufacturers Life Insurance Company now owns 29,143 shares of the company’s stock worth $1,116,000 after purchasing an additional 1,273 shares during the period. Raymond James Financial Services Advisors Inc. boosted its stake in Rent-A-Center by 17.1% in the 4th quarter. Raymond James Financial Services Advisors Inc. now owns 41,735 shares of the company’s stock worth $1,598,000 after purchasing an additional 6,107 shares during the period. Finally, LPL Financial LLC purchased a new stake in Rent-A-Center in the 4th quarter worth approximately $280,000. 74.91% of the stock is owned by hedge funds and other institutional investors.

Shares of NASDAQ:RCII traded down $0.76 during trading hours on Thursday, hitting $54.08. The stock had a trading volume of 9,318 shares, compared to its average volume of 632,248. The firm has a fifty day moving average price of $56.65. Rent-A-Center has a 1-year low of $27.05 and a 1-year high of $66.70. The firm has a market capitalization of $3.59 billion, a price-to-earnings ratio of 15.45 and a beta of 1.51. The company has a debt-to-equity ratio of 1.80, a current ratio of 2.79 and a quick ratio of 0.56.

The firm also recently announced a quarterly dividend, which was paid on Tuesday, July 13th. Investors of record on Tuesday, June 22nd were issued a dividend of $0.31 per share. This represents a $1.24 dividend on an annualized basis and a yield of 2.29%. The ex-dividend date of this dividend was Monday, June 21st. Rent-A-Center’s payout ratio is 35.13%.

About Rent-A-Center

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, Preferred Lease, 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.

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Earnings History and Estimates for Rent-A-Center (NASDAQ:RCII)

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