Vicor (NASDAQ:VICR) Shares Gap Down Following Insider Selling

Key Points

• Vicor shares gapped down after insider selling, opening at $265.50 versus a prior close of $285.34 and trading as low as $258.81. The decline followed recent stock sales by CEO Patrizio Vinciarelli and VP Philip D. Davies.
• CEO Patrizio Vinciarelli sold 20,000 shares on July 2 for about $6.38 million, and also sold another 20,000 shares on June 30 for about $7.5 million. Davies sold 3,073 shares on July 1 for about $1.10 million.
• Despite the weakness, analysts remain generally bullish: Vicor has a Buy consensus rating and an average price target of $408.33. The company also recently beat quarterly earnings and revenue estimates, with revenue up 20.2% year over year.

Shares of Vicor Corporation (NASDAQ:VICR - Get Free Report) gapped down prior to trading on Tuesday following insider selling activity. The stock had previously closed at $285.34, but opened at $265.50. Vicor shares last traded at $258.81, with a volume of 117,488 shares trading hands.

Specifically, CEO Patrizio Vinciarelli sold 20,000 shares of the company's stock in a transaction that occurred on Thursday, July 2nd. The stock was sold at an average price of $318.88, for a total transaction of $6,377,600.00. Following the sale, the chief executive officer owned 8,348,090 shares in the company, valued at $2,662,038,939.20. This represents a 0.24% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this link. Also, VP Philip D. Davies sold 3,073 shares of the stock in a transaction that occurred on Wednesday, July 1st. The shares were sold at an average price of $356.97, for a total value of $1,096,968.81. Following the completion of the sale, the vice president directly owned 1,920 shares of the company's stock, valued at approximately $685,382.40. The trade was a 61.55% decrease in their position. The SEC filing for this sale provides additional information. In related news, CEO Patrizio Vinciarelli sold 20,000 shares of the firm's stock in a transaction on Tuesday, June 30th. The shares were sold at an average price of $375.04, for a total value of $7,500,800.00. Following the completion of the transaction, the chief executive officer directly owned 8,368,090 shares of the company's stock, valued at approximately $3,138,368,473.60. This trade represents a 0.24% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website.

Wall Street Analysts Forecast Growth

Several research firms have issued reports on VICR. Needham & Company LLC upped their price target on shares of Vicor to $400.00 and gave the stock a "buy" rating in a research report on Monday, June 22nd. Craig Hallum lifted their price objective on shares of Vicor to $450.00 and gave the company a "buy" rating in a research report on Monday, June 22nd. Roth Capital boosted their price objective on shares of Vicor from $285.00 to $375.00 and gave the stock a "buy" rating in a research note on Monday, June 22nd. Wall Street Zen cut shares of Vicor from a "buy" rating to a "hold" rating in a report on Saturday, April 25th. Finally, Weiss Ratings reiterated a "hold (c+)" rating on shares of Vicor in a report on Monday, June 1st. One analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and one has issued a Hold rating to the stock. According to MarketBeat.com, Vicor currently has an average rating of "Buy" and a consensus target price of $408.33.

Vicor Stock Performance

The firm has a fifty day simple moving average of $300.86 and a 200-day simple moving average of $211.58. The firm has a market cap of $11.56 billion, a price-to-earnings ratio of 84.81 and a beta of 2.33.

Vicor (NASDAQ:VICR - Get Free Report) last released its quarterly earnings data on Tuesday, April 21st. The electronics maker reported $0.44 EPS for the quarter, beating the consensus estimate of $0.40 by $0.04. The firm had revenue of $112.97 million for the quarter, compared to the consensus estimate of $109.05 million. Vicor had a net margin of 28.98% and a return on equity of 20.21%. The company's quarterly revenue was up 20.2% on a year-over-year basis. During the same period in the previous year, the company earned $0.06 earnings per share. Analysts expect that Vicor Corporation will post 2.94 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Federated Hermes Inc. bought a new position in Vicor in the 4th quarter valued at about $27,000. Blue Trust Inc. boosted its holdings in shares of Vicor by 1,814.3% during the first quarter. Blue Trust Inc. now owns 268 shares of the electronics maker's stock worth $43,000 after acquiring an additional 254 shares during the period. ROSS JOHNSON & Associates LLC boosted its holdings in shares of Vicor by 13,750.0% during the first quarter. ROSS JOHNSON & Associates LLC now owns 277 shares of the electronics maker's stock worth $45,000 after acquiring an additional 275 shares during the period. Harbour Investments Inc. acquired a new position in shares of Vicor in the fourth quarter valued at approximately $32,000. Finally, Meeder Asset Management Inc. grew its position in shares of Vicor by 189.4% in the first quarter. Meeder Asset Management Inc. now owns 301 shares of the electronics maker's stock valued at $48,000 after purchasing an additional 197 shares during the last quarter. Institutional investors and hedge funds own 47.45% of the company's stock.

Vicor Company Profile

Vicor Corporation is a designer and manufacturer of modular power components and systems, serving a wide range of industries that demand high performance and efficiency. Headquartered in Andover, Massachusetts, the company develops power conversion solutions that help customers optimize energy delivery in applications from telecommunications and data centers to industrial and automotive systems.

The company's product portfolio includes high-density DC-DC converters, AC-DC front-end modules, point-of-load regulators and complete power systems that combine multiple conversion stages in a single package.

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