NAPCO Security Technologies, Inc. (NASDAQ:NSSC) Short Interest Update

Key Points

• Short interest dropped 29.3% in March to 3,296,259 shares (about 9.8% of the float) with a days-to-cover of 5.4.
• CEO Richard Soloway sold 150,000 shares for $6.41M (a 10.67% reduction in his stake); insiders now own 5.65% while institutional investors hold about 85.07% of the stock.
• NAPCO beat quarterly estimates ($0.38 vs. $0.33) with revenue up 12.4%, raised its quarterly dividend to $0.15, and carries a MarketBeat consensus of "Moderate Buy" with a $47.83 target.

NAPCO Security Technologies, Inc. (NASDAQ:NSSC - Get Free Report) was the target of a significant decline in short interest in the month of March. As of March 31st, there was short interest totaling 3,296,259 shares, a decline of 29.3% from the March 15th total of 4,664,025 shares. Based on an average trading volume of 607,393 shares, the days-to-cover ratio is presently 5.4 days. Currently, 9.8% of the shares of the company are short sold.

Insider Activity

In other news, CEO Richard Soloway sold 150,000 shares of the business's stock in a transaction dated Thursday, February 5th. The shares were sold at an average price of $42.74, for a total transaction of $6,411,000.00. Following the transaction, the chief executive officer directly owned 1,256,010 shares in the company, valued at $53,681,867.40. The trade was a 10.67% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. 5.65% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Vest Financial LLC acquired a new position in NAPCO Security Technologies during the third quarter worth about $1,612,000. Fundsmith LLP grew its position in shares of NAPCO Security Technologies by 86.4% in the third quarter. Fundsmith LLP now owns 1,779,857 shares of the industrial products company's stock valued at $76,445,000 after purchasing an additional 824,945 shares during the last quarter. Crawford Investment Counsel Inc. acquired a new stake in shares of NAPCO Security Technologies in the third quarter valued at approximately $4,456,000. SG Americas Securities LLC grew its position in shares of NAPCO Security Technologies by 882.6% in the third quarter. SG Americas Securities LLC now owns 43,036 shares of the industrial products company's stock valued at $1,848,000 after purchasing an additional 38,656 shares during the last quarter. Finally, Fox Run Management L.L.C. acquired a new stake in shares of NAPCO Security Technologies in the third quarter valued at approximately $1,013,000. 85.07% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

A number of brokerages have recently issued reports on NSSC. Weiss Ratings reiterated a "hold (c+)" rating on shares of NAPCO Security Technologies in a research note on Wednesday, January 28th. Needham & Company LLC reiterated a "buy" rating and set a $49.00 price target (up from $47.00) on shares of NAPCO Security Technologies in a research note on Monday, February 2nd. Finally, DA Davidson reiterated a "buy" rating and set a $50.00 price target on shares of NAPCO Security Technologies in a research note on Tuesday, February 3rd. Six research analysts have rated the stock with a Buy rating and two have given a Hold rating to the company's stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $47.83.

NAPCO Security Technologies Trading Up 2.9%

Shares of NSSC opened at $44.00 on Tuesday. The firm's 50-day moving average is $42.79 and its two-hundred day moving average is $41.97. NAPCO Security Technologies has a twelve month low of $21.14 and a twelve month high of $48.12. The firm has a market capitalization of $1.57 billion, a P/E ratio of 33.08 and a beta of 1.48.

NAPCO Security Technologies (NASDAQ:NSSC - Get Free Report) last issued its earnings results on Monday, February 2nd. The industrial products company reported $0.38 earnings per share for the quarter, topping the consensus estimate of $0.33 by $0.05. NAPCO Security Technologies had a net margin of 24.70% and a return on equity of 27.45%. The company had revenue of $48.17 million for the quarter, compared to analyst estimates of $47.82 million. During the same period in the prior year, the business posted $0.28 earnings per share. The firm's revenue for the quarter was up 12.4% compared to the same quarter last year. Analysts predict that NAPCO Security Technologies will post 1.24 EPS for the current year.

NAPCO Security Technologies Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, April 3rd. Shareholders of record on Thursday, March 12th were given a dividend of $0.15 per share. The ex-dividend date was Thursday, March 12th. This is an increase from NAPCO Security Technologies's previous quarterly dividend of $0.14. This represents a $0.60 annualized dividend and a yield of 1.4%. NAPCO Security Technologies's dividend payout ratio (DPR) is currently 45.11%.

NAPCO Security Technologies Company Profile

NAPCO Security Technologies, Inc NASDAQ: NSSC is a designer and manufacturer of electronic security solutions for commercial and residential applications. The company's product portfolio spans intrusion and fire alarm control panels, alarm communicators, access control locks and readers, as well as a broad range of peripheral modules and integrated security accessories. NAPCO's offerings are engineered to deliver scalable, networked security systems suitable for new installations and retrofit projects alike.

Key product lines include hybrid alarm control panels that support both wired and wireless peripherals, cellular and IP alarm communicators for reliable central station reporting, and the acclaimed “Alarm Lock” series of standalone and networked electronic door locks.

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.