American Superconductor (NASDAQ:AMSC) Shares Down 6.4% - What's Next?

Key Points

• American Superconductor's stock price has declined by 6.4%, trading at $50.02 after hitting a low of $50.73, with trading volume dropping 73% from its average.
• Analysts are generally optimistic, with Oppenheimer maintaining an "outperform" rating and others upgrading from "hold" to "buy," resulting in an average target price of $33.67.
• The company reported a significant earnings surprise, with a 58.6% increase in quarterly revenue, reaching $66.66 million, and a positive EPS of $0.12, beating estimates.

American Superconductor Corporation (NASDAQ:AMSC - Get Free Report)'s share price was down 6.4% during mid-day trading on Tuesday . The company traded as low as $50.73 and last traded at $50.02. Approximately 276,222 shares changed hands during mid-day trading, a decline of 73% from the average daily volume of 1,038,993 shares. The stock had previously closed at $53.46.

Wall Street Analyst Weigh In

A number of equities research analysts have recently issued reports on AMSC shares. Oppenheimer reissued an "outperform" rating on shares of American Superconductor in a research note on Thursday, July 31st. Wall Street Zen raised shares of American Superconductor from a "hold" rating to a "buy" rating in a research note on Tuesday, July 15th. Three investment analysts have rated the stock with a Buy rating, Based on data from MarketBeat, American Superconductor has a consensus rating of "Buy" and a consensus price target of $33.67.

American Superconductor Stock Up 4.3%

The firm has a market cap of $2.29 billion, a price-to-earnings ratio of 129.95 and a beta of 2.95. The company's 50-day moving average price is $43.26 and its 200-day moving average price is $30.10.

American Superconductor (NASDAQ:AMSC - Get Free Report) last issued its quarterly earnings results on Wednesday, May 21st. The technology company reported $0.12 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.10 by $0.02. The business had revenue of $66.66 million for the quarter, compared to analysts' expectations of $60.27 million. American Superconductor had a net margin of 6.00% and a return on equity of 9.35%. The company's quarterly revenue was up 58.6% compared to the same quarter last year. On average, sell-side analysts predict that American Superconductor Corporation will post 0.41 earnings per share for the current fiscal year.

Insider Transactions at American Superconductor

In related news, CEO Daniel P. Mcgahn sold 100,848 shares of the company's stock in a transaction that occurred on Monday, August 4th. The shares were sold at an average price of $54.49, for a total transaction of $5,495,207.52. Following the sale, the chief executive officer directly owned 1,183,134 shares in the company, valued at approximately $64,468,971.66. This represents a 7.85% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Arthur H. House sold 9,703 shares of the company's stock in a transaction that occurred on Friday, August 8th. The stock was sold at an average price of $50.92, for a total transaction of $494,076.76. Following the sale, the director owned 48,663 shares in the company, valued at $2,477,919.96. The trade was a 16.62% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 295,639 shares of company stock valued at $10,941,815. 4.80% of the stock is currently owned by corporate insiders.

Institutional Trading of American Superconductor

A number of large investors have recently made changes to their positions in AMSC. Atreides Management LP purchased a new stake in shares of American Superconductor during the first quarter worth approximately $14,948,000. Nuveen LLC purchased a new stake in shares of American Superconductor during the first quarter worth approximately $14,123,000. Emerald Advisers LLC increased its stake in shares of American Superconductor by 1,191.5% during the second quarter. Emerald Advisers LLC now owns 500,054 shares of the technology company's stock worth $18,347,000 after buying an additional 461,335 shares during the period. Wellington Management Group LLP purchased a new stake in shares of American Superconductor during the fourth quarter worth approximately $11,360,000. Finally, Trexquant Investment LP purchased a new stake in shares of American Superconductor during the first quarter worth approximately $4,397,000. 52.28% of the stock is currently owned by hedge funds and other institutional investors.

American Superconductor Company Profile

American Superconductor Corporation, together with its subsidiaries, provides megawatt-scale power resiliency solutions worldwide. The company operates through Grid and Wind segments. The Grid segment offers products and services that enable electric utilities, industrial facilities, and renewable energy project developers to connect, transmit, and distribute power under the Gridtec Solutions brand.