Envela Corporation (NYSEAMERICAN:ELA) Sees Significant Decrease in Short Interest

Key Points

• Short interest fell 19.7% to 135,316 shares as of April 15, representing about 2.0% of the company's stock and a short-interest ratio of 2.1 days.
• Envela posted a strong quarter, reporting $0.23 EPS vs. $0.09 expected and $80.5M revenue vs. $52.25M expected, with a 6.06% net margin and 24.22% ROE.
• Analysts have a consensus rating of "Moderate Buy" (consensus target $16.50) with recent price-target increases, while institutional investors—led by large additions from Allspring—have been boosting stakes and now own 8.15% of the stock.

Envela Corporation (NYSEAMERICAN:ELA - Get Free Report) saw a significant decline in short interest in April. As of April 15th, there was short interest totaling 135,316 shares, a decline of 19.7% from the March 31st total of 168,560 shares. Approximately 2.0% of the company's stock are short sold. Based on an average trading volume of 62,967 shares, the short-interest ratio is presently 2.1 days.

Envela Stock Performance

Shares of NYSEAMERICAN ELA traded up $0.52 during trading hours on Thursday, hitting $17.61. 41,451 shares of the stock were exchanged, compared to its average volume of 63,156. The company has a debt-to-equity ratio of 0.03, a current ratio of 3.50 and a quick ratio of 1.63. The company's 50 day moving average is $15.68 and its 200 day moving average is $13.18. The firm has a market capitalization of $457.16 million, a P/E ratio of 30.89 and a beta of 0.16. Envela has a one year low of $5.33 and a one year high of $18.98.

Envela (NYSEAMERICAN:ELA - Get Free Report) last posted its quarterly earnings data on Wednesday, March 18th. The company reported $0.23 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.09 by $0.14. Envela had a net margin of 6.06% and a return on equity of 24.22%. The business had revenue of $80.50 million during the quarter, compared to the consensus estimate of $52.25 million. On average, research analysts expect that Envela will post 0.59 EPS for the current year.

Wall Street Analyst Weigh In

Several research firms have recently issued reports on ELA. Zacks Research downgraded Envela from a "strong-buy" rating to a "hold" rating in a research note on Wednesday, February 4th. Lake Street Capital upped their price target on Envela from $12.00 to $15.00 and gave the stock a "buy" rating in a research note on Thursday, March 19th. Finally, B. Riley Financial upped their price target on Envela from $14.00 to $18.00 and gave the stock a "buy" rating in a research note on Thursday, March 19th. Two investment analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to data from MarketBeat, Envela currently has an average rating of "Moderate Buy" and a consensus target price of $16.50.

Institutional Trading of Envela

Several hedge funds have recently added to or reduced their stakes in the business. Allspring Global Investments Holdings LLC boosted its holdings in Envela by 1,213.5% in the 4th quarter. Allspring Global Investments Holdings LLC now owns 185,382 shares of the company's stock valued at $2,480,000 after purchasing an additional 171,268 shares during the period. NewEdge Advisors LLC boosted its holdings in Envela by 129.2% in the 4th quarter. NewEdge Advisors LLC now owns 35,833 shares of the company's stock valued at $479,000 after purchasing an additional 20,197 shares during the period. Bank of America Corp DE boosted its holdings in Envela by 10.5% in the 3rd quarter. Bank of America Corp DE now owns 48,507 shares of the company's stock valued at $379,000 after purchasing an additional 4,601 shares during the period. Millennium Management LLC boosted its holdings in Envela by 58.9% in the 3rd quarter. Millennium Management LLC now owns 34,026 shares of the company's stock valued at $266,000 after purchasing an additional 12,614 shares during the period. Finally, O Shaughnessy Asset Management LLC bought a new stake in Envela in the 4th quarter valued at $212,000. Institutional investors own 8.15% of the company's stock.

About Envela

Envela Corporation is a technology-enabled asset recovery and monetization company that specializes in the acquisition, refurbishment and resale of pre-owned consumer electronics and jewelry, as well as the manufacture and distribution of industrial diamonds. Through its integrated platform, the company sources assets from individuals, retailers and corporate clients, employing proprietary software and physical channel operations to optimize value recovery across multiple product categories.

Originally founded as American Jewelry Liquidators, the business rebranded as Envela in 2018 to reflect its broader strategic focus beyond jewelry.

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