Baader Bank Aktiengesellschaft, a German investment and asset management company, recently disclosed that it decreased its position in Republic Services, Inc. (NYSE:RSG) by 5.0% during the fourth quarter of last year. According to the firm’s most recent Form 13F filing with the Securities & Exchange Commission, it sold 2,630 shares of the business services provider’s stock. Currently, Baader Bank Aktiengesellschaft owns 49,703 shares of Republic Services worth $6,411,000 as per its latest SEC filing.
Republic Services also recently announced details of its quarterly dividend. Shareholders who have recorded their shares by July 3rd will receive a dividend payment on Friday, July 14th amounting to $0.495 per share – which means an annual payout ratio of $1.98 and an impressive yield of 1.38%. However, individuals seeking to maximize this return for their investment will need to make sure they purchase RSG shares before June 30th as it marks the ex-dividend date.
Several brokerages have shared their ratings on Republic Services in recent weeks. In late April, 22nd Century Group reiterated that it “maintains” its rating on RSG shares; in February this year Royal Bank of Canada lifted its price target from $131 to $134 and gave a “sector perform” rating; TD Cowen began covering Republic Services and set a price target at $150 whilst issuing a “market perform” rating; BMO Capital Markets reduced its price target to $138 but also gave a “market perform” rating; and finally Robert W Baird lifted their price target up to $142 whilst giving RSG a “neutral” rating – to name but a few.
Overall though, Bloomberg.com cites twelve reviews taken into consideration where six analysts rate the stock as “hold” and another six provide ratings ranging from “buy” to “strong buy”. This puts Republic Services’ shares at a “Moderate Buy” rating and gives it an average consensus target price of approximately $146.80.
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Republic Services Inc. Reports Strong Q1 Earnings and Attracts Institutional Investors in Waste Management Industry
Republic Services, Inc. (NYSE:RSG) has been making headlines lately with its recent developments and updates, particularly their earnings announcement in April of this year. The company, which provides non-hazardous solid waste collection, recycling and disposal services, among others, reported a 20.6% increase in revenue for the quarter compared to the same period last year. Its net margin also increased to 10.76%, putting them on track for what seems to be a successful year.
Institutional investors and hedge funds have continued showing interest in Republic Services stock by modifying their holdings in the company over the past few months. Veriti Management LLC has increased its holdings by 21.7% as of the fourth quarter of last year while Thrivent Financial for Lutherans and Nations Financial Group Inc. IA ADV both added more shares worth millions of dollars over the same period.
Cumberland Partners Ltd also acquired a new stake last quarter worth $813,000 while Aviva PLC raised its position by 17.3% after purchasing an additional 26,984 shares valued at $23,549,000 during the fourth quarter of last year. With institutional investors and hedge funds owning more than half of the company’s stock at present time, it may signal that they are bullish on RSG’s potential growth and return on investment.
Corporate insiders have also been selling shares over February and March this year such as Director Tomago Collins who sold his shares twice within March starting from March 22nd at an average price of $130.77 per share and Director Katharine Weymouth who sold her RSG stocks for almost $575 thousand on March 16th .
The business services provider will also pay dividends amounting to $0.495 per share to shareholders of record on Monday July 3rd which will be paid on Friday July 14th; indicating growing confidence in their financial condition moving forward.
As of Tuesday, RSG open market price was at $143.77 per share with a market capitalization of $45.47 billion, while being valued at a PEG ratio of 2.87 and having a beta of 0.66.
As the global environment is becoming more conscious about waste management and recycling, Republic Services’ growth potential has caught the attention of investors both small and large. Republic Services’ financial report from last April looks promising but it remains to be seen whether they will continue their upward trend in terms of profits and stock performance in the months ahead.