REV Group (NYSE:REVG) Reaches New 52-Week High – Still a Buy?

Shares of REV Group, Inc. (NYSE:REVG) hit a new 52-week high during trading on Friday . The stock traded as high as $46.28 and last traded at $46.12, with a volume of 50482 shares. The stock had previously closed at $45.72.

Analyst Ratings Changes

Several analysts have recently commented on REVG shares. Morgan Stanley upgraded REV Group from an “underweight” rating to an “equal weight” rating and increased their target price for the stock from $33.00 to $46.00 in a report on Wednesday, June 18th. Wall Street Zen upgraded REV Group from a “buy” rating to a “strong-buy” rating in a report on Friday, June 6th. DA Davidson increased their target price on REV Group from $39.00 to $51.00 and gave the stock a “buy” rating in a report on Thursday, June 5th. Finally, The Goldman Sachs Group increased their target price on REV Group from $26.00 to $30.00 and gave the stock a “sell” rating in a report on Tuesday, May 27th. One investment analyst has rated the stock with a sell rating, one has issued a hold rating, two have assigned a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $41.25.

REV Group Stock Performance

The firm has a fifty day moving average of $38.81 and a 200-day moving average of $34.44. The firm has a market cap of $2.27 billion, a P/E ratio of 24.74 and a beta of 1.12. The company has a quick ratio of 0.53, a current ratio of 1.66 and a debt-to-equity ratio of 0.36.

REV Group (NYSE:REVG) last posted its quarterly earnings results on Wednesday, June 4th. The company reported $0.70 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.57 by $0.13. The business had revenue of $629.10 million for the quarter, compared to analysts’ expectations of $603.51 million. REV Group had a return on equity of 23.99% and a net margin of 4.16%. The firm’s quarterly revenue was up 2.0% compared to the same quarter last year. During the same quarter last year, the business earned $0.39 earnings per share. Research analysts predict that REV Group, Inc. will post 2.12 earnings per share for the current fiscal year.

REV Group Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, July 11th. Investors of record on Friday, June 27th will be issued a $0.06 dividend. This represents a $0.24 annualized dividend and a yield of 0.52%. The ex-dividend date of this dividend is Friday, June 27th. REV Group’s dividend payout ratio is 12.77%.

Insider Activity at REV Group

In related news, CEO Jr. Mark A. Skonieczny sold 92,601 shares of the firm’s stock in a transaction dated Friday, June 6th. The stock was sold at an average price of $43.83, for a total value of $4,058,701.83. Following the transaction, the chief executive officer now owns 516,446 shares in the company, valued at $22,635,828.18. This trade represents a 15.20% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 1.70% of the stock is owned by company insiders.

Hedge Funds Weigh In On REV Group

Several hedge funds have recently added to or reduced their stakes in REVG. High Ground Investment Management LLP acquired a new position in REV Group in the first quarter valued at about $59,288,000. FMR LLC lifted its stake in REV Group by 26.7% in the fourth quarter. FMR LLC now owns 7,819,739 shares of the company’s stock valued at $249,215,000 after buying an additional 1,646,293 shares during the period. Aberdeen Group plc acquired a new position in REV Group in the first quarter valued at about $25,796,000. Invesco Ltd. lifted its stake in REV Group by 43.4% in the fourth quarter. Invesco Ltd. now owns 1,731,557 shares of the company’s stock valued at $55,185,000 after buying an additional 524,369 shares during the period. Finally, American Century Companies Inc. lifted its stake in REV Group by 345.5% in the first quarter. American Century Companies Inc. now owns 643,854 shares of the company’s stock valued at $20,346,000 after buying an additional 499,328 shares during the period.

About REV Group

REV Group, Inc, together with its subsidiaries, designs, manufactures, and distributes specialty vehicles, and related aftermarket parts and services in the United States, Canada, and internationally. It operates through three segments: Fire & Emergency, Commercial, and Recreation. The Fire & Emergency segment provides fire apparatus equipment under the Emergency One, Kovatch Mobile Equipment, Ferrara, Spartan Emergency Response, Smeal, Spartan Fire Chassis, and Ladder Tower brand names; and ambulances under the American Emergency Vehicles, Horton Emergency Vehicles, Leader Emergency Vehicles, Road Rescue, and Wheeled Coach brand names.