The lease-to-own option is costlier than buying over the long-term; however, flexible payment options, quick access to goods and easy return policies attract credit-challenged customers. Since the combination, Progressive has benefited by leveraging AAN’s scale, while AAN utilized Progressive’s decision-making technology to establish a centralized decision-making process across US-owned stores. Friday, November 27, 2020). Aaron’s Holdings Company Inc. (NYSE:AAN) went down by -48.04% from its latest closing price compared to the recent 1-year high of $37.83. The product offerings of Vive are complementary to those of Progressive Leasing, allowing the latter to expand into the markets and merchants served by Vive. Please review Aaron’s We continue to be bullish on both the units as we expect the improved margin trajectory to be sustainable in to 2021 as well, which lowers our risk perception. Vive Financial (“Vive”, formerly Dent-A-Med, Inc.), provides a variety of second-look credit products through federally insured banks. Total Equity aggregates grant date fair value of stock and option awards and long term incentives granted during the fiscal … Aarons Holdings Company Inc (AAN) $20.85 0.00 (0.00%) 19:00 EST AAN Stock Quote Delayed 30 Minutes Volume: Previous Close-Market Cap 1.47B PE Ratio 5.15 EPS 4.05 Volume (Avg. With its Forward Dividend at 0.18 and a yield of 0.98%, the company’s investors could be anxious for the AAN stock to gain ahead of the earnings release. The company stock has a Forward Dividend ratio of 0.18, while the dividend yield is 0.95. Progressive’s strong growth and invoice volumes during the pandemic should instill confidence in the unit’s growth prospects. According to the most recent insider trade that took place on Nov 19, this organization’s EVP, Gen Counsel/Corp Sec sold 2,491 shares at the rate of 62.71, making the entire transaction reach 156,211 in total value, affecting insider ownership by 33,987. See the company profile for Aarons Holdings Company, Inc. (AAN) including business summary, industry/sector information, number of employees, business … What’s Happening With Electronic Arts Stock? Vol.) The company believes that Aaron’s Business coupled with aarons.com will provide a solid base for future earnings growth and positive free cash flow generation. AARON'S HOLDINGS COMPANY, INC. : Finanzkennzahlen und Gewinneschätzungen der Analysten, Bilanzsituation und Unternehmensbewertung AARON'S HOLDINGS COMPANY, INC. | AAN | On November 17, 2020, Aaron’s Holdings Company, Inc. announced additional details of the separation. Aaron's Holdings Company, Inc. operates as a holding company. Both the entities will trade on NYSE under the symbols “PRG” and “AAN”, respectively. It serves the customers through the sale and lease ownership of furniture, consumer electronics, computers, home appliances, and other accessories at best deal with the highest quality products. Accordingly, we compare the unit with listed companies engaged in retail business including Wayfair Inc, Amazon.com Inc, Lowe’s Companies Inc, Walmart Inc, Sleep Number Corp, La-Z-Boy Inc, Coway Co Ltd, Kroger Co, Boise Cascade Co, Rent-A-Center Inc, Conn’s Inc and HHGregg Inc. Management expects the unit to capture the large virtual lease-to-own market, with shareholders benefiting from the resilient, profitable and capital light business model. Aaron’s Holdings Company, Inc., which has a market valuation of $633.27 Million as of writing, is expected to release its quarterly earnings report on Feb 18, 2021- Feb 22, 2021. Aaron’s Holdings Company Inc. [AAN] fell into the red zone at the end of the last week, falling into a negative trend and dropping by -49.38. The higher margin estimates more than offset our lower net cash estimate, leading to an implied equity value of $3,380 million. Aarons Holdings Company Inc. (AAN) had a good day on the market for Wednesday January 13 as shares jumped 3.12% to close at $21.50.
The distribution will not require shareholder approval and is expected to be tax-free to the company and shareholders. GS Aaron’s Holdings Company Inc.’s current insider ownership accounts for 0.50%, in contrast to 95.40% institutional ownership. Attention: NSC, 400 Galleria Pkwy SE, Suite 300, Atlanta, GA 30339, USA or contact us at 1-800-950-7368. Over the years, on the back of its robust growth, the unit has surpassed Aaron’s Business as the company’s highest revenue and adjusted EBITDA generator. Headquartered in Draper, UT, PROG Holdings, Inc will comprise of the company’s current Progressive business segment and Vive Financial. We apply multiples about in line vs. peer median. All Rights Reserved, This is a BETA experience. On the other hand, The Aaron’s Company, headquartered in Atlanta, GA, will comprise of ~1,400 company-operated and franchised stores in 47 US states and Canada, the e-commerce platform Aarons.com and Woodhaven Furniture Industries. Considering shares outstanding of 68 million, we retain our target price ($73.00 per share) and Buy rating on AAN (Consolidated), given significant upside. EBITDA multiples. Company profile page for Aaron's Co Inc/The including stock price, company news, press releases, executives, board members, and contact information We opine that the strong market position of both entities underpins compelling prospects for the units, with the spin-off probably uncovering further shareholder value creation opportunities. Each AAN shareholder will receive one share of The Aaron’s Company common stock for every two shares of AAN’s common stock held as of the record date, November 27, 2020. Aaron’s Holdings Company, Inc. has a market cap of $1.24 Billion and is expected to release its quarterly earnings report on Feb 18, 2021- Feb 22, 2021. In addition, the Aaron's Business engages in the sales and lease ownership and specialty retailing of furniture, consumer electronics, home appliances and accessories through its approximately 1,400 Company-operated and franchised stores in 47 states, Canada, and Puerto Rico, as well as its e-commerce platform, Aarons.com. About Aarons Company Inc (The) The Aaron's Co., Inc. engages in the provision of lease-purchase solutions. As of the spin date, PROG Holdings, Inc. is expected to have net cash of $50-70 million; The Aaron’s Company, Inc. is expected to have cash of $40-50 million and no debt. The confirmation of the spin-off and beginning of trading in two separate companies, probably indicates a very favorable risk-reward for potential investors at current levels, especially given the company’s recent growth and margin momentum. (d) Distribution Date: The distribution date for the spin-off is November 30, 2020. In addition to being a Forbes contributor, I have been featured or quoted in various media such as Barron’s, The Wall Street Journal, Bloomberg, Business Week and Fox Business. Aaron s Holdings Company Inc Net Income in the 3 quarter 2020 grew year on year by 174.73 %, slower than its competitors income growth of 174.73 % More on AAN Income Comparisons See the full list of AAN competitors *Market share is not actual measurement, only performance comparison of companies which report and operate within the same segment. You can unsubscribe to any of the investor alerts you are subscribed to by visiting the ‘unsubscribe’ section below. With this latest performance, AAN shares dropped by -37.43% in over the last four-week period, additionally sinking by -17.61% over the last 6 months – not to mention a drop of -42.86% in the past year of trading. I would like to receive information about special offers and promotions from Aaron’s. At Aaron's, Inc., we promise to treat your data with respect and will not share your information with any third party. Aaron’s Holdings Company Inc. (AAN) full year performance was 7.76% . Friday, November 27, 2020). It is understandable that investor optimism is growing ahead of the company’s current quarter results. Later in September 2015, Aaron’s Holdings Company, Inc. also acquired Dent- A-Med, Inc. d/b/a the HELPcard (now Vive, that offers second look finance programs for near-prime customers for ~$55 million in cash on hand and the ~$44 million in debt. Post spin-off, Aaron’s Holdings will be renamed as PROG Holdings, Inc., while the spun-off unit that will hold the Aaron’s business segment will be named as The Aaron’s Company, Inc. Deal Overview . Vive Financial provides a variety of second-look credit products that are originated through federally insured banks. In July 2017, Aaron’s Holdings Company, Inc. acquired its largest franchisee SEI/Aaron’s, Inc. in an all cash deal of ~$140 million. (b) Spin-Off Ratio: The spin-off ratio is 1:2, implying each AAN shareholder will receive one share of The Aaron’s Company common stock for every two shares of AAN’s common stock. AAN not only expanded its presence in the virtual rent-to-own market, but also generated robust top-line and EBITDA growth, primarily on the back of the Progressive business acquisition. We raise our 2021E margin estimates as we expect a better-than-estimated margin growth trajectory, especially after the updated 2020E guidance. You can sign up for additional alert options at any time. Subsequent to a thorough scrutiny and analysis, AAN’s management concluded that separating the two businesses would be the best path to enhance long-term shareholder value. We are encouraged by Aaron’s Business unit generating consistent margins over the years, despite top-line growth pressure. Click Here to get the full Stock Score Report on Aaron's Holdings Company Inc (AAN) Stock. We add the equity values of PROG Holdings, Inc. and The Aaron’s Company, Inc. to arrive at the combined equity value of $5.0 billion for AAN (Consolidated). According to the management, the separation will sharpen the strategic focus and operational execution to drive long-term shareholder value. Aaron’s Holdings Company Inc. (NYSE: AAN) started the day on October 29, 2020, with a price increase of 0.07% at $54.76. In April 2014, Aaron’s Holdings Company, Inc. entered into rapidly growing virtual lease-to-own market by acquiring Progressive Finance Holdings, the then leading virtual lease-to-own company in an all cash deal for ~$700 million. Opinions expressed by Forbes Contributors are their own. Find the latest SEC Filings data for Aarons Holdings Company, Inc. Common Stock (AAN) at Nasdaq.com. As with most industries, the advent of the internet and virtual marketplaces has led to a transformation of the lease-to-own industry. We are bullish on both units being able to generate solid margin and cash flow growth as independent entities. Despite the potential top-line synergies for Progressive, we believe the lossmaking Vive unit may be a concern for investors. Rent-to-own specialist Aaron’s plans to implement a holding company structure for the company, a proposal that shareholders will vote on during its upcoming June annual meeting. Many diversified companies are electing to spin-off parts of their business finding they can create significant value for shareholders. With 138% Short Interest, Board Change Sends GameStop Stock Soaring, Why Wheaton Precious Metals Stock Looks Undervalued Despite 100% Move, Despite A 4x Rise, Editas Medicine May Continue To Trend Higher, Spin-Off to Pay-Off: An Analytical Guide to Corporate Divestitures. During 2016-2019, revenues of Progressive Leasing and Vive grew by 19.8% and 13.3% CAGR, respectively, while their adjusted EBITDA CAGR during the corresponding period was 20.7% and 4.4%, respectively. Nachrichten zur Aktie Aarons Holdings Company Inc Registered Shs Ex-distribution When issued | PRG.W | US74319R1014 On July 29, 2020, Aaron’s Holdings Company, Inc. (NYSE: AAN, $61.36, Market Capitalization: $4.1 billion) a leading omni-channel provider of lease-purchase solutions, announced its intention to separate into two independent, publicly-traded companies: PROG Holdings, Inc (Progressive
I am the author of the book Spin-Off to Pay-Off: An Analytical Guide to Corporate Divestitures (McGraw-Hill). Aaron's Holdings Company, Inc. (NYSE: AAN), a leading omnichannel provider of lease-purchase solutions, today announced that its Board of Directors has declared a regular quarterly cash dividend of $0.045 per share and declared such dividend payable November 20, 2020 to shareholders of record as of the close of business on November 16, 2020. In conclusion, we believe that the separation could be beneficial to both businesses as the growth, margin and risk profiles of the two units get segregated, thereby enabling their respective leadership teams to more effectively manage operations. Apart from the lower margin, the lower net cash based on guidance leads us to a lower implied equity value of $1,574 million.