RR Donnelley & Sons (RRD) Downgraded by Zacks Investment Research

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Zacks Investment Research cut shares of RR Donnelley & Sons (NYSE:RRD) from a hold rating to a sell rating in a research note released on Saturday, Zacks.com reports.

According to Zacks, “RR Donnelley is a leading global provider of integrated multichannel marketing and business communications solutions. The company helps the customers communicate more efficiently and effectively as they use words and images to inform, educate, entertain and sell. In each of the businesses, the company uses the distinctive capabilities to manage and distribute words and images in ways that provide the greatest value to every customer. RR Donnelley offers a comprehensive portfolio of capabilities, experience and scale that enables organizations around the world to effectively create, manage, deliver and optimize their multichannel communications strategies. RR Donnelley’s innovative technologies enhance digital and print communications to deliver integrated messages across multiple media to highly targeted audiences at optimal times for clients in virtually every private and public sector. “

RRD stock opened at $2.75 on Friday. RR Donnelley & Sons has a twelve month low of $2.67 and a twelve month high of $7.28. The company has a market cap of $194.70 million, a price-to-earnings ratio of 3.93 and a beta of 1.41.

RR Donnelley & Sons (NYSE:RRD) last released its quarterly earnings data on Tuesday, April 30th. The business services provider reported ($0.06) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.09) by $0.03. RR Donnelley & Sons had a negative net margin of 0.15% and a negative return on equity of 21.78%. The company had revenue of $1.52 billion for the quarter, compared to analysts’ expectations of $1.55 billion. During the same quarter last year, the company earned ($0.10) earnings per share. The firm’s revenue for the quarter was down 10.9% on a year-over-year basis. Sell-side analysts expect that RR Donnelley & Sons will post 0.69 EPS for the current year.

The business also recently disclosed a quarterly dividend, which will be paid on Monday, June 3rd. Shareholders of record on Wednesday, May 15th will be issued a dividend of $0.03 per share. The ex-dividend date of this dividend is Tuesday, May 14th. This represents a $0.12 dividend on an annualized basis and a yield of 4.36%. RR Donnelley & Sons’s payout ratio is currently 17.14%.

A number of hedge funds have recently added to or reduced their stakes in RRD. Bank of New York Mellon Corp raised its holdings in RR Donnelley & Sons by 3.6% during the third quarter. Bank of New York Mellon Corp now owns 1,564,011 shares of the business services provider’s stock worth $8,445,000 after purchasing an additional 55,050 shares in the last quarter. Dimensional Fund Advisors LP raised its holdings in RR Donnelley & Sons by 49.0% during the third quarter. Dimensional Fund Advisors LP now owns 1,151,853 shares of the business services provider’s stock worth $6,220,000 after purchasing an additional 378,642 shares in the last quarter. JPMorgan Chase & Co. raised its holdings in RR Donnelley & Sons by 16.0% during the third quarter. JPMorgan Chase & Co. now owns 976,577 shares of the business services provider’s stock worth $5,274,000 after purchasing an additional 134,949 shares in the last quarter. MetLife Investment Advisors LLC raised its holdings in RR Donnelley & Sons by 43.8% during the third quarter. MetLife Investment Advisors LLC now owns 48,558 shares of the business services provider’s stock worth $262,000 after purchasing an additional 14,788 shares in the last quarter. Finally, AQR Capital Management LLC raised its holdings in RR Donnelley & Sons by 101.3% during the third quarter. AQR Capital Management LLC now owns 46,938 shares of the business services provider’s stock worth $253,000 after purchasing an additional 23,620 shares in the last quarter. 86.93% of the stock is currently owned by institutional investors.

RR Donnelley & Sons Company Profile

R.R. Donnelley & Sons Company, an integrated communications provider, enables organizations to create, manage, deliver, and optimize their multichannel marketing and business communications. It operates through Business Services and Marketing Solutions segments. The Business Services segment offers commercial printing products and branded materials, including manuals, publications, brochures, business cards, flyers, post cards, posters, and promotional items; and specialized transportation and distribution services.

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