Wall Street Zen Downgrades Broadwind Energy (NASDAQ:BWEN) to Sell

Key Points

• Wall Street Zen downgraded Broadwind Energy from a "hold" to a "sell" rating in a recent research report, indicating a shift in market sentiment towards the stock.
• Despite the downgrade, Broadwind Energy's shares are considered to have a Moderate Buy average rating and an average target price of $4.50 according to MarketBeat.com.
• The company has initiated a $3.00 million share buyback plan, typically seen as a sign that management believes the stock is undervalued.

Wall Street Zen lowered shares of Broadwind Energy (NASDAQ:BWEN - Free Report) from a hold rating to a sell rating in a report published on Saturday.

Separately, Zacks Research raised shares of Broadwind Energy to a "hold" rating in a report on Tuesday, August 12th. Two research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $4.50.

Broadwind Energy Trading Down 0.5%

Shares of BWEN stock traded down $0.01 during trading hours on Friday, reaching $2.12. 151,719 shares of the stock were exchanged, compared to its average volume of 153,649. The company has a current ratio of 1.53, a quick ratio of 0.52 and a debt-to-equity ratio of 0.17. The firm has a market capitalization of $48.84 million, a price-to-earnings ratio of -21.20 and a beta of 1.56. The company's 50-day moving average price is $2.31 and its 200-day moving average price is $1.88. Broadwind Energy has a 12-month low of $1.41 and a 12-month high of $3.03.

Broadwind Energy (NASDAQ:BWEN - Get Free Report) last announced its quarterly earnings results on Tuesday, August 12th. The industrial products company reported ($0.04) earnings per share for the quarter, missing the consensus estimate of $0.02 by ($0.06). Broadwind Energy had a negative return on equity of 3.71% and a negative net margin of 1.52%.The business had revenue of $39.24 million during the quarter, compared to analysts' expectations of $37.65 million. As a group, equities analysts anticipate that Broadwind Energy will post 0.01 earnings per share for the current year.

Broadwind Energy declared that its board has approved a stock buyback plan on Wednesday, September 10th that authorizes the company to buyback $3.00 million in outstanding shares. This buyback authorization authorizes the industrial products company to reacquire up to 6.1% of its shares through open market purchases. Shares buyback plans are generally an indication that the company's management believes its shares are undervalued.

Institutional Investors Weigh In On Broadwind Energy

Large investors have recently added to or reduced their stakes in the stock. Quinn Opportunity Partners LLC raised its position in shares of Broadwind Energy by 0.8% during the second quarter. Quinn Opportunity Partners LLC now owns 502,008 shares of the industrial products company's stock worth $909,000 after purchasing an additional 4,000 shares during the period. Bridgeway Capital Management LLC lifted its holdings in shares of Broadwind Energy by 5.0% during the second quarter. Bridgeway Capital Management LLC now owns 102,221 shares of the industrial products company's stock worth $185,000 after buying an additional 4,903 shares in the last quarter. XTX Topco Ltd acquired a new position in Broadwind Energy in the 2nd quarter valued at $25,000. Corsair Capital Management L.P. acquired a new position in shares of Broadwind Energy during the 2nd quarter worth $30,000. Finally, US Bancorp DE increased its holdings in Broadwind Energy by 11.9% in the 1st quarter. US Bancorp DE now owns 160,128 shares of the industrial products company's stock worth $232,000 after purchasing an additional 16,998 shares in the last quarter. Institutional investors own 33.27% of the company's stock.

About Broadwind Energy

Broadwind, Inc manufactures and sells structures, equipment, and components for clean tech and other specialized applications primarily in the United States. It operates through three segments: Heavy Fabrications, Gearing, and Industrial Solutions. The Heavy Fabrications segment provides fabrications to various industrial markets.