Babcock (NYSE:BW) Earns "Sell (D-)" Rating from Weiss Ratings

Key Points

• Babcock (NYSE:BW) has received a "Sell (D-)" rating from Weiss Ratings, while competing analysts have shown mixed opinions with one upgrading the stock to a "strong-buy."
• Despite a recent stock increase of 6.7%, the company reported poor quarterly earnings, missing revenue expectations significantly.
• Insider purchases include a notable acquisition by CEO Kenneth M. Young of 20,000 shares, indicating potential confidence in the company's future.

Babcock (NYSE:BW - Get Free Report)'s stock had its "sell (d-)" rating reiterated by equities research analysts at Weiss Ratings in a research note issued to investors on Wednesday,Weiss Ratings reports.

Other research analysts also recently issued research reports about the company. Craig Hallum upgraded Babcock from a "hold" rating to a "strong-buy" rating in a research note on Thursday, August 21st. Wall Street Zen cut Babcock from a "hold" rating to a "sell" rating in a research report on Saturday, August 16th. One equities research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $3.00.

Babcock Stock Up 6.7%

NYSE:BW traded up $0.22 during mid-day trading on Wednesday, reaching $3.49. 1,894,413 shares of the stock were exchanged, compared to its average volume of 1,960,083. The company has a 50 day simple moving average of $2.19 and a 200-day simple moving average of $1.26. The stock has a market capitalization of $352.84 million, a P/E ratio of -2.05 and a beta of 1.87. Babcock has a 1 year low of $0.22 and a 1 year high of $3.55.

Babcock (NYSE:BW - Get Free Report) last released its quarterly earnings results on Monday, August 11th. The technology company reported ($0.10) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.08) by ($0.02). The company had revenue of $144.10 million during the quarter, compared to analysts' expectations of $182.07 million.

Insider Activity at Babcock

In other Babcock news, CEO Kenneth M. Young purchased 20,000 shares of Babcock stock in a transaction dated Monday, August 18th. The stock was acquired at an average cost of $1.51 per share, with a total value of $30,200.00. Following the acquisition, the chief executive officer directly owned 261,745 shares of the company's stock, valued at $395,234.95. This represents a 8.27% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Cameron M. Frymyer acquired 20,000 shares of Babcock stock in a transaction that occurred on Tuesday, August 19th. The shares were purchased at an average cost of $1.55 per share, with a total value of $31,000.00. Following the completion of the acquisition, the chief financial officer owned 153,805 shares of the company's stock, valued at $238,397.75. The trade was a 14.95% increase in their position. The disclosure for this purchase can be found here. Insiders bought a total of 59,347 shares of company stock valued at $99,803 over the last three months. Insiders own 3.90% of the company's stock.

Hedge Funds Weigh In On Babcock

Hedge funds have recently bought and sold shares of the stock. Quinn Opportunity Partners LLC increased its position in Babcock by 200.0% during the second quarter. Quinn Opportunity Partners LLC now owns 90,000 shares of the technology company's stock worth $87,000 after buying an additional 60,000 shares in the last quarter. Two Sigma Investments LP increased its position in Babcock by 181.1% during the fourth quarter. Two Sigma Investments LP now owns 97,155 shares of the technology company's stock worth $159,000 after buying an additional 62,598 shares in the last quarter. Nomura Holdings Inc. increased its position in Babcock by 58.2% during the second quarter. Nomura Holdings Inc. now owns 127,382 shares of the technology company's stock worth $123,000 after buying an additional 46,884 shares in the last quarter. Bank of America Corp DE grew its position in shares of Babcock by 62.8% in the fourth quarter. Bank of America Corp DE now owns 319,495 shares of the technology company's stock valued at $524,000 after purchasing an additional 123,194 shares during the period. Finally, Equitec Proprietary Markets LLC grew its position in shares of Babcock by 28.3% in the first quarter. Equitec Proprietary Markets LLC now owns 327,365 shares of the technology company's stock valued at $220,000 after purchasing an additional 72,265 shares during the period. Hedge funds and other institutional investors own 83.17% of the company's stock.

Babcock Company Profile

Babcock & Wilcox Enterprises, Inc engages in the provision of fossil and renewable power generation and environmental equipment. It operates through the following segments: B&W Renewable, B&W Environmental, and B&W Thermal. The B&W Renewable segment supports a circular economy, diverting waste from landfills to use for power generation and replacing fossil fuels, while recovering metals and reducing emissions.

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