Powell Industries, Inc. (NASDAQ:POWL) Receives Average Recommendation of “Moderate Buy” from Brokerages

Powell Industries, Inc. (NASDAQ:POWL) has been assigned a consensus rating of “Moderate Buy” from the seven research firms that are covering the company, Marketbeat reports. Three analysts have rated the stock with a hold recommendation, three have assigned a buy recommendation and one has assigned a strong buy recommendation to the company. The average 12-month price objective among brokerages that have covered the stock in the last year is $236.6667.

Several brokerages have issued reports on POWL. JPMorgan Chase & Co. boosted their target price on Powell Industries from $310.00 to $360.00 and gave the company an “overweight” rating in a research note on Wednesday, May 6th. Texas Capital upgraded Powell Industries to a “strong-buy” rating in a research report on Friday, March 27th. Zacks Research lowered shares of Powell Industries from a “strong-buy” rating to a “hold” rating in a research report on Monday, May 11th. Cantor Fitzgerald upped their price objective on shares of Powell Industries from $160.00 to $320.00 and gave the stock a “neutral” rating in a research report on Monday, May 11th. Finally, Weiss Ratings upgraded shares of Powell Industries from a “buy (b-)” rating to a “buy (b)” rating in a research report on Friday, May 8th.

Powell Industries Stock Down 0.9%

Powell Industries stock opened at $231.85 on Thursday. Powell Industries has a twelve month low of $68.33 and a twelve month high of $328.00. The firm has a 50 day moving average price of $284.59 and a 200-day moving average price of $210.69. The company has a market capitalization of $8.45 billion, a P/E ratio of 45.37, a P/E/G ratio of 3.06 and a beta of 1.13.

Powell Industries (NASDAQ:POWL) last posted its quarterly earnings results 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). Powell Industries had a return on equity of 28.61% and a net margin of 16.51%.The company had revenue of $296.62 million during the quarter, compared to the consensus estimate of $298.12 million. During the same period last year, the firm posted $3.81 EPS. The company’s revenue for the quarter was up 6.5% compared to the same quarter last year. Equities analysts expect that Powell Industries will post 5.47 EPS for the current fiscal year.

Powell Industries Cuts Dividend

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

Insiders Place Their Bets

In other news, major shareholder Thomas W. Powell sold 33,958 shares of the company’s stock in a transaction dated Thursday, June 25th. The stock was sold at an average price of $294.49, for a total value of $10,000,291.42. Following the completion of the transaction, the insider directly owned 564,736 shares in the company, valued at approximately $166,309,104.64. This represents a 5.67% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Richard E. Williams sold 5,250 shares of the stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $299.19, for a total value of $1,570,747.50. Following the transaction, the director owned 39,630 shares in the company, valued at $11,856,899.70. This trade represents a 11.70% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 50,648 shares of company stock valued at $14,997,584 over the last quarter. Insiders own 2.20% of the company’s stock.

Hedge Funds Weigh In On Powell Industries

A number of large investors have recently added to or reduced their stakes in POWL. Northwestern Mutual Wealth Management Co. increased its stake in 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. Summit Partners Public Asset Management LLC purchased a new stake in Powell Industries in the third quarter worth about $43,515,000. Rock Creek Group LP boosted its position in shares of Powell Industries by 1,900.0% during the fourth quarter. Rock Creek Group LP now owns 150,000 shares of the industrial products company’s stock valued at $47,817,000 after purchasing an additional 142,500 shares in the last quarter. Voss Capital LP grew its stake in Powell Industries by 59.6% in the third quarter. Voss Capital LP now owns 295,000 shares of the industrial products company’s stock worth $89,919,000 after purchasing an additional 110,140 shares during the period. Finally, Janus Henderson Group PLC grew its stake 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 purchasing an additional 79,932 shares during the period. Hedge funds and other institutional investors own 89.77% of the company’s stock.

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.