XTX Topco Ltd Acquires New Stake in Energy Recovery, Inc. (NASDAQ:ERII)

Key Points

• XTX Topco Ltd has acquired a new stake in Energy Recovery, Inc. (NASDAQ:ERII), purchasing 23,568 shares valued at approximately $374,000.
• Energy Recovery reported a loss of $0.13 EPS for the last quarter, significantly missing the consensus estimate of $0.03 EPS, with a revenue of $8.07 million versus an expected $21.97 million.
• Brokerages are divided on the stock, with ratings ranging from "strong-buy" to "hold," and a consensus average price target of $18.67.

XTX Topco Ltd acquired a new position in Energy Recovery, Inc. (NASDAQ:ERII - Free Report) during the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund acquired 23,568 shares of the industrial products company's stock, valued at approximately $374,000.

Several other hedge funds have also modified their holdings of the company. Vanguard Group Inc. lifted its stake in Energy Recovery by 1.3% in the fourth quarter. Vanguard Group Inc. now owns 3,252,378 shares of the industrial products company's stock worth $47,810,000 after acquiring an additional 43,290 shares during the period. Franklin Resources Inc. purchased a new position in shares of Energy Recovery in the 4th quarter valued at approximately $459,000. Wells Fargo & Company MN lifted its stake in shares of Energy Recovery by 9.7% during the fourth quarter. Wells Fargo & Company MN now owns 57,652 shares of the industrial products company's stock worth $847,000 after buying an additional 5,115 shares during the period. Bank of Montreal Can lifted its position in Energy Recovery by 99.0% during the 4th quarter. Bank of Montreal Can now owns 49,358 shares of the industrial products company's stock worth $726,000 after acquiring an additional 24,555 shares during the period. Finally, Invesco Ltd. grew its stake in Energy Recovery by 14.4% during the 4th quarter. Invesco Ltd. now owns 858,309 shares of the industrial products company's stock valued at $12,617,000 after purchasing an additional 107,800 shares during the last quarter. 83.58% of the stock is owned by hedge funds and other institutional investors.

Insider Activity

In related news, SVP Rodney Clemente sold 5,387 shares of the company's stock in a transaction dated Monday, July 28th. The stock was sold at an average price of $13.97, for a total value of $75,256.39. Following the completion of the transaction, the senior vice president owned 100,765 shares of the company's stock, valued at approximately $1,407,687.05. This represents a 5.07% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Arve Hanstveit sold 30,000 shares of the business's stock in a transaction that occurred on Thursday, June 12th. The shares were sold at an average price of $12.68, for a total value of $380,400.00. Following the completion of the sale, the director owned 655,220 shares of the company's stock, valued at $8,308,189.60. This trade represents a 4.38% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 55,387 shares of company stock valued at $710,656. 3.20% of the stock is owned by company insiders.

Analysts Set New Price Targets

ERII has been the subject of several research analyst reports. B. Riley raised their price objective on Energy Recovery from $12.50 to $14.00 and gave the stock a "neutral" rating in a research note on Thursday, August 7th. Wall Street Zen cut shares of Energy Recovery from a "buy" rating to a "hold" rating in a research note on Thursday, May 8th. Finally, Fearnley Fonds upgraded shares of Energy Recovery from a "hold" rating to a "strong-buy" rating in a research note on Tuesday, May 20th. Two investment analysts have rated the stock with a hold rating, two have given a buy rating and two have given a strong buy rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Buy" and an average price target of $18.67.

Energy Recovery Trading Down 1.7%

ERII traded down $0.25 on Thursday, reaching $14.37. The stock had a trading volume of 170,597 shares, compared to its average volume of 424,063. The business's 50-day moving average price is $13.13 and its two-hundred day moving average price is $14.14. Energy Recovery, Inc. has a 12-month low of $10.86 and a 12-month high of $20.27. The company has a market cap of $764.27 million, a P/E ratio of 34.23 and a beta of 1.03.

About Energy Recovery

Energy Recovery, Inc, together with its subsidiaries, designs, manufactures, and sells energy efficiency technology solutions in the Americas, the Middle East, Africa, Asia, and Europe. The company operates through Water and Emerging Technologies segments. The company offers high and low pressure, and ultra pressure exchangers; AT and LPT hydraulic turbochargers; and high-pressure feed and circulation booster pumps for use in seawater and brackish desalination, and wastewater treatment.