The RMR Group (NASDAQ:RMR) Sets New 1-Year High – Should You Buy?

Shares of The RMR Group Inc. (NASDAQ:RMR) reached a new 52-week high during mid-day trading on Thursday . The stock traded as high as $21.16 and last traded at $21.05, with a volume of 220308 shares. The stock had previously closed at $20.53.

Wall Street Analysts Forecast Growth

Several research firms have recently issued reports on RMR. Weiss Ratings upgraded The RMR Group from a “hold (c-)” rating to a “hold (c)” rating in a report on Monday, May 18th. B. Riley Financial cut their target price on The RMR Group from $24.00 to $21.00 and set a “buy” rating on the stock in a research report on Tuesday, March 17th. Finally, Zacks Research raised The RMR Group from a “strong sell” rating to a “hold” rating in a research report on Monday, April 13th. Two equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $19.00.

The RMR Group Trading Up 2.5%

The firm has a market capitalization of $675.56 million, a PE ratio of 17.40 and a beta of 1.05. The firm has a 50-day moving average of $18.36 and a two-hundred day moving average of $16.79.

The RMR Group (NASDAQ:RMR) last issued its earnings results on Wednesday, May 6th. The financial services provider reported $0.11 earnings per share for the quarter, missing the consensus estimate of $0.14 by ($0.03). The firm had revenue of $145.63 million during the quarter, compared to analysts’ expectations of $171.44 million. The RMR Group had a return on equity of 3.44% and a net margin of 3.23%. Equities research analysts expect that The RMR Group Inc. will post 0.69 earnings per share for the current fiscal year.

The RMR Group Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, May 14th. Shareholders of record on Tuesday, April 21st were given a $0.45 dividend. The ex-dividend date of this dividend was Tuesday, April 21st. This represents a $1.80 annualized dividend and a yield of 8.6%. The RMR Group’s dividend payout ratio (DPR) is 148.76%.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of RMR. Nantahala Capital Management LLC lifted its stake in shares of The RMR Group by 55.9% during the second quarter. Nantahala Capital Management LLC now owns 1,147,902 shares of the financial services provider’s stock worth $18,768,000 after purchasing an additional 411,700 shares in the last quarter. Bank of America Corp DE lifted its stake in shares of The RMR Group by 76.1% during the first quarter. Bank of America Corp DE now owns 941,252 shares of the financial services provider’s stock worth $14,561,000 after purchasing an additional 406,888 shares in the last quarter. Federated Hermes Inc. lifted its stake in shares of The RMR Group by 12.1% during the fourth quarter. Federated Hermes Inc. now owns 576,628 shares of the financial services provider’s stock worth $8,592,000 after purchasing an additional 62,307 shares in the last quarter. Jane Street Group LLC acquired a new position in shares of The RMR Group during the first quarter worth about $988,000. Finally, GSA Capital Partners LLP acquired a new position in shares of The RMR Group during the third quarter worth about $801,000. Institutional investors and hedge funds own 42.31% of the company’s stock.

The RMR Group Company Profile

The RMR Group, Inc (NASDAQ: RMR) is a publicly traded asset management company that specializes in providing comprehensive real estate and investment management services to both public and private entities. Acting as an external manager, RMR offers a range of services encompassing property management, asset management, fund administration, accounting, investor relations and compliance oversight. Its client base includes real estate investment trusts (REITs), real estate operating companies (REOCs), closed-end real estate funds and institutional investors.

Founded in 1986, RMR Group has built a business model centered on recurring fee revenue generated through long-term service agreements with its managed entities.