Deutsche Bank Provides Color on RSC

Deutsche Bank provided color on RSC

. In a research report published today, the rating agency stressed its optimistic outlook for the company's Q3 performance. In the report, Deutsche Bank states, “Despite some concerns over potentially muted 3Q seasonality, due to depressed non res construction activity, RSC expects rental rev growth to remain at 1&2Q levels. At these levels, rental revenues would grow ~11% sequentially, which is well above the 7% average 2‐3Q sequential gain and in‐line with the pick‐up seen in 2‐3Q04; while management has compared the current cycle with the start to the prior cycle expansion period in 2004, we note that the recovery in non res activity was much stronger at that time than it is currently.” At the moment, Deutsche Bank has a Buy rating and a price target of $15 placed on the company's stock. On Thursday, RRR added 0.95% to its value to finish the day at $11.63.