Powell Industries, Inc. (NASDAQ:POWL) Receives Consensus Rating of "Buy" from Analysts

Key Points

• Analysts maintain a consensus “Buy” rating on Powell Industries, with three Buy, two Strong Buy and two Hold ratings. The average 12-month price target is $236.67, although recent targets range from $320 to $360.
• Powell reported quarterly EPS of $1.25, below the $1.34 consensus estimate, while revenue of $296.62 million narrowly missed expectations but increased 6.5% year over year. Analysts expect full-year EPS of approximately $5.47.
• Insiders sold $16.1 million of stock over the last quarter, while institutional investors own a substantial 89.77% of outstanding shares. The company recently paid a quarterly dividend of $0.09 per share, equating to a 0.2% yield.

Shares of Powell Industries, Inc. (NASDAQ:POWL - Get Free Report) have been assigned an average rating of "Buy" from the seven analysts that are presently covering the company, Marketbeat reports. Two investment analysts have rated the stock with a hold rating, three have issued a buy rating and two have given a strong buy rating to the company. The average twelve-month price target among analysts that have covered the stock in the last year is $236.6667.

POWL has been the topic of several recent analyst reports. Glj Research upgraded Powell Industries from a "hold" rating to a "strong-buy" rating in a research note on Tuesday, July 14th. JPMorgan Chase & Co. upped 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. Cantor Fitzgerald increased their target price on shares of Powell Industries from $160.00 to $320.00 and gave the company a "neutral" rating in a report on Monday, May 11th. Zacks Research lowered shares of Powell Industries from a "strong-buy" rating to a "hold" rating in a research report on Monday, May 11th. Finally, Weiss Ratings cut shares of Powell Industries from a "buy (b)" rating to a "buy (b-)" rating in a report on Thursday, July 16th.

Insider Buying and Selling

In other Powell Industries news, EVP Michael William Metcalf sold 4,500 shares of the business's stock in a transaction on Tuesday, June 30th. The stock was sold at an average price of $284.64, for a total value of $1,280,880.00. Following the transaction, the executive vice president owned 78,900 shares of the company's stock, valued at approximately $22,458,096. The trade was a 5.40% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Richard E. Williams sold 5,250 shares of the business's stock in a transaction on Thursday, May 14th. The stock was sold at an average price of $299.19, for a total value of $1,570,747.50. Following the completion of the transaction, the director directly owned 39,630 shares in the company, valued at approximately $11,856,899.70. This represents 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 valued at $16,070,066 over the last quarter. Corporate insiders own 2.20% of the company's stock.

Institutional Investors Weigh In On Powell Industries

A number of hedge funds have recently made changes to their positions in the business. Northwestern Mutual Wealth Management Co. raised its holdings in shares of Powell Industries by 1,230,312.7% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 775,160 shares of the industrial products company's stock worth $247,106,000 after purchasing an additional 775,097 shares during the period. Tema ETFs LLC grew its holdings in Powell Industries by 217.3% during the second quarter. Tema ETFs LLC now owns 268,692 shares of the industrial products company's stock valued at $76,943,000 after purchasing an additional 184,010 shares during the period. Summit Partners Public Asset Management LLC bought a new position in Powell Industries during the third quarter valued at $43,515,000. Rock Creek Group LP increased its position in Powell Industries by 1,900.0% in the fourth quarter. Rock Creek Group LP now owns 150,000 shares of the industrial products company's stock worth $47,817,000 after buying an additional 142,500 shares during the last quarter. Finally, Janus Henderson Group PLC increased its position in Powell Industries by 55.1% in the first quarter. Janus Henderson Group PLC now owns 224,966 shares of the industrial products company's stock worth $121,643,000 after buying an additional 79,932 shares during the last quarter. 89.77% of the stock is currently owned by institutional investors.

Powell Industries Stock Performance

Shares of NASDAQ POWL opened at $208.46 on Monday. The stock has a market cap of $7.59 billion, a price-to-earnings ratio of 40.79, a PEG ratio of 2.73 and a beta of 1.18. Powell Industries has a fifty-two week low of $69.00 and a fifty-two week high of $328.00. The firm's 50-day simple moving average is $263.99 and its 200 day simple moving average is $224.08.

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

Powell Industries Cuts Dividend

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

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.

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