Encompass Capital Advisors LLC Invests $21.64 Million in Powell Industries, Inc. $POWL

Key Points

• Encompass Capital Advisors acquired 40,000 Powell Industries shares worth approximately $21.64 million, establishing a 0.11% stake. Institutional investors collectively own 89.77% of the company.
• Powell Industries reported quarterly EPS of $1.25, missing estimates of $1.34, while revenue rose 6.5% year over year to $296.62 million. The stock opened at $219.23, down 5.6%, after trading between $69 and $328 over the past year.
• Insiders sold 55,088 shares valued at approximately $16.07 million over the past 90 days, while analysts maintained an overall “Buy” consensus with an average price target of $236.67.

Encompass Capital Advisors LLC acquired a new position in shares of Powell Industries, Inc. (NASDAQ:POWL - Free Report) in the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor acquired 40,000 shares of the industrial products company's stock, valued at approximately $21,643,000. Encompass Capital Advisors LLC owned about 0.11% of Powell Industries as of its most recent SEC filing.

Other institutional investors and hedge funds have also added to or reduced their stakes in the company. Greenline Wealth Management LLC acquired a new position in Powell Industries in the 4th quarter valued at approximately $29,000. State of Wyoming acquired a new stake in Powell Industries in the second quarter worth $33,000. Steward Partners Investment Advisory LLC increased its position in Powell Industries by 126.0% in the 4th quarter. Steward Partners Investment Advisory LLC now owns 113 shares of the industrial products company's stock valued at $36,000 after buying an additional 63 shares in the last quarter. First Horizon Corp acquired a new stake in Powell Industries in the 4th quarter valued at $40,000. Finally, Larson Financial Group LLC boosted its position in shares of Powell Industries by 12,800.0% during the fourth quarter. Larson Financial Group LLC now owns 129 shares of the industrial products company's stock valued at $41,000 after buying an additional 128 shares during the last quarter. Institutional investors own 89.77% of the company's stock.

Insider Buying and Selling

In related news, major shareholder Thomas W. Powell sold 33,958 shares of the stock in a transaction that occurred on Thursday, June 25th. The shares were sold at an average price of $294.49, for a total value of $10,000,291.42. Following the completion of the sale, the insider directly owned 564,736 shares of the company's stock, valued at approximately $166,309,104.64. This represents a 5.67% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director Richard E. Williams sold 5,250 shares of the firm's stock in a transaction that occurred on Thursday, May 14th. The stock was sold at an average price of $299.19, for a total transaction of $1,570,747.50. Following the sale, the director owned 39,630 shares in the company, valued at approximately $11,856,899.70. The trade was a 11.70% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 55,088 shares of company stock worth $16,070,066 in the last ninety days. Corporate insiders own 2.20% of the company's stock.

Powell Industries Stock Down 5.6%

Shares of Powell Industries stock opened at $219.23 on Tuesday. Powell Industries, Inc. has a twelve month low of $69.00 and a twelve month high of $328.00. The company has a market cap of $7.99 billion, a price-to-earnings ratio of 42.90, a price-to-earnings-growth ratio of 3.03 and a beta of 1.13. The company's 50 day moving average is $269.54 and its 200 day moving average is $221.86.

Powell Industries (NASDAQ:POWL - Get Free Report) last issued its quarterly earnings results on Monday, May 4th. The industrial products company reported $1.25 earnings per share for the quarter, missing the consensus estimate of $1.34 by ($0.09). Powell Industries had a return on equity of 28.61% and a net margin of 16.51%.The business had revenue of $296.62 million for the quarter, compared to analysts' expectations of $298.12 million. During the same quarter in the prior year, the business earned $3.81 EPS. The company's revenue was up 6.5% compared to the same quarter last year. Sell-side analysts expect that Powell Industries, Inc. will post 5.47 EPS for the current fiscal year.

Powell Industries Cuts Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, June 17th. Investors of record on Wednesday, May 20th were paid a dividend of $0.09 per share. The ex-dividend date was Wednesday, May 20th. This represents a $0.36 dividend on an annualized basis and a dividend yield of 0.2%. Powell Industries's payout ratio is 7.05%.

Analyst Upgrades and Downgrades

Several research firms have recently weighed in on POWL. JPMorgan Chase & Co. lifted their target price on shares of Powell Industries from $310.00 to $360.00 and gave the stock an "overweight" rating in a research note on Wednesday, May 6th. Weiss Ratings downgraded shares of Powell Industries from a "buy (b)" rating to a "buy (b-)" rating in a research note on Thursday, July 16th. Glj Research upgraded shares of Powell Industries from a "hold" rating to a "strong-buy" rating in a report on Tuesday, July 14th. Zacks Research downgraded shares of Powell Industries from a "strong-buy" rating to a "hold" rating in a research report on Monday, May 11th. Finally, Cantor Fitzgerald lifted their price objective on Powell Industries from $160.00 to $320.00 and gave the company a "neutral" rating in a research note on Monday, May 11th. Two research analysts have rated the stock with a Strong Buy rating, three have issued a Buy rating and two have issued a Hold rating to the company's stock. Based on data from MarketBeat, the company currently has a consensus rating of "Buy" and an average price target of $236.67.

Powell Industries Company Profile

Powell Industries, Inc is an industrial electrical engineering company specializing in the design, manufacture and integration of customized power control and distribution solutions. The firm's offerings range from medium‐voltage switchgear and power control centers to bus duct, motor control centers and specialty transformers. Powell also provides automation systems, protective relaying, metering, supervisory control and data acquisition (SCADA) platforms, and turnkey engineering services to help clients manage critical power infrastructure.

Serving the oil and gas, petrochemical, refining, utility, mining and industrial sectors, Powell's products are engineered to meet demanding performance, safety and reliability requirements.

Want to see what other hedge funds are holding POWL? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Powell Industries, Inc. (NASDAQ:POWL - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.