Rexnord (NYSE:RXN) Rating Lowered to Underperform at Bank of America

Rexnord (NYSE:RXN) was downgraded by stock analysts at Bank of America from a “buy” rating to an “underperform” rating in a report released on Friday, Marketbeat.com reports.

Separately, Zacks Investment Research downgraded shares of First Merchants from a “hold” rating to a “sell” rating in a research note on Monday, July 1st. Two analysts have rated the stock with a sell rating, four have given a hold rating and three have given a buy rating to the company. The stock has a consensus rating of “Hold” and an average price target of $31.13.

NYSE:RXN opened at $28.81 on Friday. The company has a debt-to-equity ratio of 1.00, a quick ratio of 1.68 and a current ratio of 2.48. The stock has a market capitalization of $3.01 billion, a P/E ratio of 15.57, a P/E/G ratio of 1.60 and a beta of 1.57. Rexnord has a fifty-two week low of $21.38 and a fifty-two week high of $32.11. The stock’s 50 day moving average is $28.50.

Rexnord (NYSE:RXN) last posted its quarterly earnings results on Wednesday, May 8th. The industrial products company reported $0.51 earnings per share for the quarter, topping the Zacks’ consensus estimate of $0.47 by $0.04. The company had revenue of $537.50 million for the quarter, compared to the consensus estimate of $543.89 million. Rexnord had a net margin of 1.68% and a return on equity of 19.22%. Rexnord’s revenue was up 3.8% on a year-over-year basis. During the same quarter last year, the firm posted $0.47 earnings per share. As a group, research analysts anticipate that Rexnord will post 1.95 earnings per share for the current year.

In other news, insider Michael Troutman sold 2,724 shares of the firm’s stock in a transaction on Friday, June 28th. The shares were sold at an average price of $29.50, for a total value of $80,358.00. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, CEO Todd A. Adams sold 5,512 shares of the firm’s stock in a transaction on Tuesday, May 28th. The shares were sold at an average price of $26.57, for a total transaction of $146,453.84. Following the completion of the transaction, the chief executive officer now directly owns 332,391 shares in the company, valued at approximately $8,831,628.87. The disclosure for this sale can be found here. In the last three months, insiders sold 331,976 shares of company stock worth $9,269,388. Insiders own 5.00% of the company’s stock.

Hedge funds have recently modified their holdings of the company. Prudential Financial Inc. increased its stake in Rexnord by 3.0% during the 4th quarter. Prudential Financial Inc. now owns 86,332 shares of the industrial products company’s stock worth $1,982,000 after buying an additional 2,522 shares during the period. BlackRock Inc. increased its stake in Rexnord by 6.2% during the 4th quarter. BlackRock Inc. now owns 7,862,762 shares of the industrial products company’s stock worth $180,451,000 after buying an additional 456,769 shares during the period. Bank of New York Mellon Corp increased its stake in Rexnord by 3.0% during the 4th quarter. Bank of New York Mellon Corp now owns 1,801,632 shares of the industrial products company’s stock worth $41,347,000 after buying an additional 52,567 shares during the period. Raymond James & Associates increased its stake in Rexnord by 36.8% during the 4th quarter. Raymond James & Associates now owns 71,839 shares of the industrial products company’s stock worth $1,649,000 after buying an additional 19,332 shares during the period. Finally, Citigroup Inc. increased its stake in Rexnord by 87.4% during the 4th quarter. Citigroup Inc. now owns 20,322 shares of the industrial products company’s stock worth $465,000 after buying an additional 9,478 shares during the period.

About Rexnord

Rexnord Corp. engages in the manufacture of engineered power transmission, aerospace, and other precision motion technology products. It operates through the Process and Motion Control, and Water Management segments. The Process and Motion Control segment designs, manufactures and markets engineered mechanical components such as gears, couplings, industrial, aerospace bearings, and seals which are used within complex systems.

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Analyst Recommendations for Rexnord (NYSE:RXN)

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