CX Institutional Increases Stake in Powell Industries, Inc. $POWL

CX Institutional increased its stake in Powell Industries, Inc. (NASDAQ:POWL) by 200.0% in the second quarter, Holdings Channel reports. The firm owned 4,005 shares of the industrial products company’s stock after purchasing an additional 2,670 shares during the period. CX Institutional’s holdings in Powell Industries were worth $1,147,000 as of its most recent filing with the Securities & Exchange Commission.

Several other large investors also recently bought and sold shares of POWL. Capital World Investors acquired a new position in shares of Powell Industries in the fourth quarter valued at about $20,704,000. Voss Capital LP lifted its holdings in shares of Powell Industries by 18.6% during the fourth quarter. Voss Capital LP now owns 350,000 shares of the industrial products company’s stock worth $111,573,000 after purchasing an additional 55,000 shares during the period. State of New Jersey Common Pension Fund D purchased a new stake in Powell Industries in the fourth quarter valued at approximately $2,137,000. Rock Creek Group LP boosted 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 valued at $47,817,000 after buying an additional 142,500 shares during the last quarter. Finally, Convergence Investment Partners LLC acquired a new position in Powell Industries in the 4th quarter worth approximately $1,409,000. Hedge funds and other institutional investors own 89.77% of the company’s stock.

Powell Industries Price Performance

Shares of Powell Industries stock opened at $208.33 on Thursday. The stock has a market capitalization of $7.59 billion, a P/E ratio of 39.99, a PEG ratio of 2.76 and a beta of 1.18. The business has a 50 day simple moving average of $259.44 and a two-hundred day simple moving average of $225.75. Powell Industries, Inc. has a 12 month low of $69.00 and a 12 month high of $328.00.

Powell Industries (NASDAQ:POWL) last issued its quarterly earnings results on Monday, August 3rd. The industrial products company reported $1.42 EPS for the quarter, missing the consensus estimate of $1.49 by ($0.07). Powell Industries had a return on equity of 27.51% and a net margin of 16.49%.The firm had revenue of $311.74 million for the quarter, compared to analysts’ expectations of $316.70 million. During the same quarter in the previous year, the firm posted $3.96 earnings per share. The firm’s revenue for the quarter was up 8.9% compared to the same quarter last year. As a group, research analysts anticipate that Powell Industries, Inc. will post 5.47 EPS for the current fiscal year.

Powell Industries Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, September 16th. Shareholders of record on Wednesday, August 19th will be paid a dividend of $0.09 per share. This represents a $0.36 annualized dividend and a yield of 0.2%. The ex-dividend date of this dividend is Wednesday, August 19th. Powell Industries’s payout ratio is 7.05%.

Powell Industries News Summary

Here are the key news stories impacting Powell Industries this week:

• Positive Sentiment: Record orders increased Powell Industries’ backlog to approximately $2.4 billion, supported by continued demand from data centers, utilities and energy customers. Management is expanding capacity to address the strong pipeline. POWL Q3 Earnings Call Highlights Record Orders and Capacity Push
• Positive Sentiment: The earnings call highlighted strong momentum and a favorable demand environment, suggesting that backlog conversion and additional production capacity could support future revenue growth. Powell Industries Earnings Call Highlights Record Momentum
• Positive Sentiment: Powell declared a quarterly dividend of $0.09 per share, payable September 16 to shareholders of record August 19. The dividend provides modest shareholder income, though its approximately 0.2% yield is not a major valuation driver.
• Neutral Sentiment: Cantor Fitzgerald maintained its Hold rating, indicating that the analyst sees a balance between Powell’s strong backlog and growth prospects and the near-term earnings shortfall or valuation concerns. Cantor Fitzgerald Sticks to Its Hold Rating for Powell Industries
• Negative Sentiment: Fiscal Q3 adjusted EPS was $1.42, below the roughly $1.46–$1.49 analyst consensus, while revenue of $311.7 million also missed expectations near $316.7 million. EPS declined substantially from $3.96 in the year-earlier quarter. Powell Industries Q3 Earnings and Revenues Miss Estimates
• Negative Sentiment: The earnings miss triggered a sharp selloff, as investors focused on weaker-than-expected near-term profitability and sales despite the record backlog. Powell Industries Plunges Following Q3 Miss

Insider Buying and Selling at Powell Industries

In other news, CEO Brett Alan Cope sold 4,440 shares of the firm’s stock in a transaction dated Thursday, July 9th. The shares were sold at an average price of $241.55, for a total value of $1,072,482.00. Following the transaction, the chief executive officer directly owned 517,233 shares of the company’s stock, valued at approximately $124,937,631.15. This trade represents a 0.85% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at 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 firm’s stock in a transaction dated Thursday, May 14th. The stock was sold at an average price of $299.19, for a total transaction 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 ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 55,088 shares of company stock valued at $16,070,066. 2.20% of the stock is owned by company insiders.

Wall Street Analyst Weigh In

A number of equities analysts have issued reports on the stock. Cantor Fitzgerald raised their price target 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. JPMorgan Chase & Co. upped their price objective on shares of Powell Industries from $310.00 to $360.00 and gave the company an “overweight” rating in a report on Wednesday, May 6th. Glj Research upgraded shares of Powell Industries from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, July 14th. Weiss Ratings cut shares of Powell Industries from a “buy (b)” rating to a “buy (b-)” rating in a report on Thursday, July 16th. Finally, Zacks Research downgraded shares of Powell Industries from a “strong-buy” rating to a “hold” rating in a research report on Monday, May 11th. Two research analysts have rated the stock with a Strong Buy rating, three have issued a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Buy” and an average target price of $236.67.

About Powell Industries

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.