Truist Financial Corp Sells 9,530 Shares of Powell Industries, Inc. $POWL

Key Points

• Truist Financial Corp cut its stake in Powell Industries by 63.4% in the fourth quarter, selling 9,530 shares and leaving it with 5,511 shares worth about $1.76 million.
• Insider selling has been notable, including EVP Michael William Metcalf and VP William Marshall Mauney, Jr., while insiders sold 174,145 shares total over the last 90 days.
• Powell Industries continues to benefit from strong demand, highlighted by a record data center order worth more than $400 million, even as some analysts warn the stock may be fully priced after its sharp run-up.

Truist Financial Corp trimmed its stake in shares of Powell Industries, Inc. (NASDAQ:POWL - Free Report) by 63.4% during the fourth quarter, according to the company in its most recent 13F filing with the SEC. The firm owned 5,511 shares of the industrial products company's stock after selling 9,530 shares during the quarter. Truist Financial Corp's holdings in Powell Industries were worth $1,757,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors also recently made changes to their positions in POWL. Avanza Fonder AB purchased a new stake in shares of Powell Industries in the fourth quarter worth about $30,000. State of Wyoming bought a new position in Powell Industries in the 2nd quarter valued at $33,000. First Horizon Corp bought a new position in Powell Industries in the 4th quarter valued at $40,000. Johnson Financial Group Inc. purchased a new position in Powell Industries during the third quarter worth about $81,000. Finally, iSAM Funds UK Ltd purchased a new position in Powell Industries during the third quarter worth about $87,000. 89.77% of the stock is currently owned by institutional investors.

Insider Activity

In other news, EVP Michael William Metcalf sold 9,000 shares of the stock in a transaction that occurred on Tuesday, March 31st. The shares were sold at an average price of $176.00, for a total transaction of $1,584,000.00. Following the sale, the executive vice president owned 83,400 shares in the company, valued at $14,678,400. This represents a 9.74% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP William Marshall Mauney, Jr. sold 2,500 shares of Powell Industries stock in a transaction on Monday, May 11th. The stock was sold at an average price of $323.69, for a total value of $809,225.00. Following the completion of the sale, the vice president directly owned 10,853 shares of the company's stock, valued at approximately $3,513,007.57. The trade was a 18.72% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 174,145 shares of company stock worth $30,008,023. Corporate insiders own 2.20% of the company's stock.

More Powell Industries News

Here are the key news stories impacting Powell Industries this week:

• Positive Sentiment: Powell’s business outlook remains strong after it disclosed a record data center order worth more than $400 million, reinforcing the company’s exposure to AI-driven power infrastructure demand. How Powell Industries (POWL) Became a Direct Play on AI’s Power Bottleneck
• Positive Sentiment: Wall Street sentiment has improved, with firms such as JPMorgan and Cantor Fitzgerald raising price targets, signaling confidence in Powell’s growth prospects. Powell Industries (POWL) Price Target Increased to $360 by JPMorgan
• Neutral Sentiment: Analysts still point to strong demand in utility and industrial markets and growing backlog, but some commentary suggests the stock may already reflect much of that good news. Powell Industries (POWL) Valuation Check After Record AI Data Center Order And Strong Utility Demand
• Neutral Sentiment: A valuation-focused article argued Powell may be “fully priced” after its sharp rally, which can limit upside in the near term if growth expectations cool. Powell Industries: +164% Since December, Now A Fully-Priced HOLD
• Negative Sentiment: Zacks Research downgraded Powell Industries from “strong-buy” to “hold,” adding pressure by suggesting the stock’s recent strength may have outpaced fundamentals. Zacks.com downgrade coverage
• Negative Sentiment: Vice President William Marshall Mauney, Jr. sold 2,500 shares, which investors often read as a caution signal when a stock is trading near highs. SEC filing for insider transaction

Powell Industries Price Performance

Shares of POWL opened at $296.98 on Friday. Powell Industries, Inc. has a one year low of $54.75 and a one year high of $328.00. The firm has a market capitalization of $10.82 billion, a PE ratio of 58.12, a price-to-earnings-growth ratio of 3.93 and a beta of 1.14. The company has a 50-day simple moving average of $220.09 and a two-hundred day simple moving average of $164.70.

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

Powell Industries Cuts Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, June 17th. Stockholders of record on Wednesday, May 20th will be issued a dividend of $0.09 per share. The ex-dividend date is Wednesday, May 20th. This represents a $0.36 dividend on an annualized basis and a dividend yield of 0.1%. Powell Industries's dividend payout ratio is presently 7.05%.

Analyst Upgrades and Downgrades

Several research firms recently commented on POWL. Weiss Ratings upgraded Powell Industries from a "buy (b-)" rating to a "buy (b)" rating in a research report on Friday, May 8th. JPMorgan Chase & Co. raised their price objective on shares of Powell Industries from $310.00 to $360.00 and gave the company an "overweight" rating in a research report on Wednesday, May 6th. Glj Research started coverage on shares of Powell Industries in a research report on Thursday, March 5th. They set a "hold" rating and a $150.00 price objective on the stock. Wall Street Zen cut shares of Powell Industries from a "buy" rating to a "hold" rating in a research report on Saturday, March 7th. Finally, Cantor Fitzgerald lifted their price target on Powell Industries from $160.00 to $320.00 and gave the stock a "neutral" rating in a research note on Monday. One analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $236.67.

About Powell Industries

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.

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