Rent-A-Center (NASDAQ:RCII – Get Rating) updated its earnings guidance for fiscal 2022 on Wednesday. The company provided earnings per share guidance of $4,500 to $5,000 for the period, versus Thomson Reuters consensus earnings per share estimate of $7,040. The company released a revenue forecast of $4.45 billion to $4.60 billion, compared to the consensus revenue estimate of $5.27 billion. Rent-A-Center also updated its guidance for the first quarter of 2022 to $0.650-0.800 per EPS.
Shares of Rent-A-Center opened at $26.67 on Wednesday. The company has a 50-day simple moving average of $38.19 and a two-hundred-day simple moving average of $47.73. The company has a market capitalization of $1.57 billion, a P/E ratio of 13.34, a price-to-earnings growth ratio of 0.20 and a beta of 1.66. Rent-A-Center has a fifty-two week minimum of $22.70 and a fifty-two week maximum of $67.76. The company has a debt ratio of 3.06, a quick ratio of 0.75 and a current ratio of 3.36.
Rent-A-Center (NASDAQ:RCII – Get Rating) last released its results on Wednesday, February 23. The company reported earnings per share (EPS) of $1.08 for the quarter, missing the Zacks consensus estimate of $1.58 per ($0.50). Rent-A-Center had a return on equity of 50.75% and a net margin of 2.94%. The company posted revenue of $1.17 billion for the quarter, versus analyst estimates of $1.20 billion. In the same quarter last year, the company earned earnings per share of $1.03. Rent-A-Center’s quarterly revenue increased 63.5% over the same quarter last year. Equity research analysts expect Rent-A-Center to post EPS of 4.71 for the current year.
Several research companies have recently published reports on RCII. KeyCorp cut its price target on Rent-A-Center stock from $68.00 to $44.00 and set an overweight rating on the stock in a Friday, Feb. 25 report. Zacks Investment Research downgraded shares of Rent-A-Center from a hold rating to a strong sell rating and set a target price of $24.00 for the company. in a research report on Monday, March 7. Finally, Raymond James downgraded shares of Rent-A-Center from a strong buy rating to an outperform rating and cut his price target for the company from $65.00 to $40.00 in a research note from Friday, February 25. One research analyst rated the stock with a sell rating and five gave the company a buy rating. Based on data from MarketBeat.com, the stock currently has a consensus buy rating and an average price target of $53.00.
Separately, CEO Mitchell E. Fadel acquired 40,000 shares in a transaction dated Tuesday, March 1. The stock was purchased at an average price of $27.08 per share, for a total transaction of $1,083,200.00. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available via this hyperlink. Company insiders own 1.50% of the company’s shares.
Several hedge funds and other institutional investors have recently changed their positions in RCII. Morgan Stanley increased its position in Rent-A-Center by 22.3% during the second quarter. Morgan Stanley now owns 436,602 shares of the company worth $23,170,000 after buying an additional 79,661 shares last quarter. Millennium Management LLC increased its holdings of Rent-A-Center stock by 80.4% during the 4th quarter. Millennium Management LLC now owns 388,933 shares of the company worth $18,684,000 after acquiring an additional 173,391 shares during the period. Legal & General Group Plc increased its equity stake in Rent-A-Center by 3.1% in the 4th quarter. Legal & General Group Plc now owns 177,029 shares in the company worth $8,505,000 after buying an additional 5,365 shares in the last quarter. Wells Fargo & Company MN increased its stake in Rent-A-Center by 4.2% in the 4th quarter. Wells Fargo & Company MN now owns 119,376 shares of the company valued at $5,735,000 after purchasing an additional 4,852 shares in the last quarter. Finally, California State Teachers Retirement System increased its equity stake in Rent-A-Center by 2.3% during the 4th quarter. California State Teachers Retirement System now owns 86,441 shares of the company valued at $4,153,000 after purchasing 1,977 additional shares during the period. Institutional investors hold 76.20% of the company’s shares.
Rent-A-Center Company Profile (Get an evaluation)
Rent-A-Center, Inc engages in the supply of furniture, electronics, appliances, computers and smartphones through flexible lease-purchase agreements. It operates through the following segments: Rent-A-Center Business, Preferred Lease, Mexico and Franchising. The Rent-A-Center Business segment includes company-owned rent-to-own stores in the United States and Puerto Rico.
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