McGrath Rentcorp Executive VP, CFO Sold Shares Worth Over $2.5M

McGrath RentCorp (MGRC) shares rose 9% on Monday after being added to the S&P SmallCap 600 index. The company cut its revenue outlook last week and is increasing capital expenditure. S&P SmallCap 600 index funds must buy MGRC shares by November 4. Glaukos (GKOS) and Loar Holdings (LOAR) are also being added to the S&P MidCap 400 and S&P SmallCap 600, respectively.

McGrath RentCorp (MGRC) stock rose 11.86% after reporting Q3 revenue of $274.6M, up 7% YoY, and EPS of $2.00, up 16% YoY, beating expectations. The company's inclusion in the S&P SmallCap 600 index on November 4, 2026, is expected to drive further gains. MGRC trades at 9 times earnings and 3 times sales, with strong margins and growing rental demand, particularly in data centers.

S&P Dow Jones Indices announced Okta (OKTA) will replace Kenvue (KVUE) in the S&P 500 on November 4, 2026, due to Kenvue's acquisition by Kimberly-Clark (KMB). Kenvue's valuation is $48.7B, with a $21.01 per-share consideration. Glaukos (GKOS) will replace Okta in the S&P MidCap 400, and McGrath RentCorp (MGRC) will replace Glaukos in the S&P SmallCap 600. Loar Holdings (LOAR) will replace LiveRamp (RAMP) in the S&P SmallCap 600 due to LiveRamp's acquisition by Publicis Groupe (PU4.DE).

McGrath RentCorp (MGRC) reported Q3 2026 revenues of $275M, up 7%, with adjusted EBITDA increasing 10% to $106M. TRS segment grew rental revenues 26% due to data center demand, while Portable Storage saw a 3% decline. The company increased capital investment in TRS and updated its 2026 outlook, narrowing adjusted EBITDA range and raising capital expenditure forecast.

McGrath RentCorp (MGRC) reported mixed Q3 results. Mobile Modular bookings rose 20%, and TRS-RenTelco revenue increased 23% with record utilization. Portable Storage revenue fell 3%, and EBITDA declined 20%. The company raised its capital expenditure outlook to $270M-$290M and updated 2026 revenue and EBITDA guidance.

McGrath RentCorp (MGRC) reported Q3 2026 revenue growth of 7% and adjusted EBITDA growth of 10%. The company expects 2026 adjusted EBITDA to be between $365M and $373M, with gross rental equipment CapEx raised to $270M-$290M. According to CEO Philip Hawkins, rental operation revenues increased 6% year-over-year.