Powell Industries (NASDAQ:POWL) Downgraded to “Hold” Rating by Zacks Research

Zacks Research downgraded shares of Powell Industries (NASDAQ:POWL) from a strong-buy rating to a hold rating in a report published on Monday morning,Zacks.com reports.

POWL has been the subject of a number of other research reports. Glj Research initiated coverage on shares of Powell Industries in a research report on Thursday, March 5th. They set a “hold” rating and a $150.00 price objective for the company. Weiss Ratings raised shares of Powell Industries from a “buy (b-)” rating to a “buy (b)” rating in a research report on Friday. Wall Street Zen cut shares of Powell Industries from a “buy” rating to a “hold” rating in a research report on Saturday, March 7th. Cantor Fitzgerald increased 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. Finally, Texas Capital raised shares of Powell Industries to a “strong-buy” rating in a research report on Friday, March 27th. One investment analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and three have given a Hold rating to the company. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $236.67.

Powell Industries Price Performance

Shares of NASDAQ POWL opened at $308.05 on Monday. The company has a 50 day simple moving average of $215.09 and a 200-day simple moving average of $162.15. The company has a market capitalization of $11.22 billion, a P/E ratio of 60.28, a P/E/G ratio of 4.21 and a beta of 1.14. Powell Industries has a 1 year low of $54.75 and a 1 year high of $328.00.

Powell Industries (NASDAQ:POWL) last announced its quarterly earnings results on Monday, May 4th. The industrial products company reported $1.25 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.34 by ($0.09). The firm had revenue of $296.62 million for the quarter, compared to analyst estimates of $298.12 million. Powell Industries had a return on equity of 28.61% and a net margin of 16.51%.The firm’s quarterly revenue was up 6.5% on a year-over-year basis. During the same quarter in the prior year, the business earned $3.81 EPS. As a group, research analysts expect that Powell Industries will post 5.47 EPS for the current year.

Powell Industries Cuts Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, June 17th. Shareholders of record on Wednesday, May 20th will be given a $0.09 dividend. This represents a $0.36 annualized dividend and a yield of 0.1%. The ex-dividend date of this dividend is Wednesday, May 20th. Powell Industries’s dividend payout ratio (DPR) is currently 7.05%.

Insider Buying and Selling at Powell Industries

In other news, major shareholder Thomas W. Powell sold 149,334 shares of Powell Industries stock in a transaction on Thursday, March 19th. The shares were sold at an average price of $167.41, for a total transaction of $25,000,004.94. Following the completion of the sale, the insider directly owned 1,796,082 shares of the company’s stock, valued at approximately $300,682,087.62. The trade was a 7.68% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Michael William Metcalf sold 9,000 shares of Powell Industries stock in a transaction on Tuesday, March 31st. The stock was sold at an average price of $176.00, for a total transaction of $1,584,000.00. Following the sale, the executive vice president directly owned 83,400 shares of the company’s stock, valued at approximately $14,678,400. This trade represents a 9.74% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 216,738 shares of company stock valued at $38,231,123 in the last 90 days. Company insiders own 2.20% of the company’s stock.

Institutional Investors Weigh In On Powell Industries

Several institutional investors have recently modified their holdings of POWL. Alps Advisors Inc. increased its stake in shares of Powell Industries by 1.1% during the fourth quarter. Alps Advisors Inc. now owns 1,599 shares of the industrial products company’s stock worth $510,000 after acquiring an additional 18 shares during the period. CWM LLC increased its stake in shares of Powell Industries by 2.0% during the fourth quarter. CWM LLC now owns 1,219 shares of the industrial products company’s stock worth $389,000 after acquiring an additional 24 shares during the period. Sequoia Financial Advisors LLC increased its stake in shares of Powell Industries by 3.8% during the fourth quarter. Sequoia Financial Advisors LLC now owns 686 shares of the industrial products company’s stock worth $219,000 after acquiring an additional 25 shares during the period. Maryland State Retirement & Pension System increased its stake in shares of Powell Industries by 2.0% during the fourth quarter. Maryland State Retirement & Pension System now owns 1,380 shares of the industrial products company’s stock worth $440,000 after acquiring an additional 27 shares during the period. Finally, State of Wyoming increased its stake in shares of Powell Industries by 18.5% during the third quarter. State of Wyoming now owns 186 shares of the industrial products company’s stock worth $57,000 after acquiring an additional 29 shares during the period. 89.77% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about Powell Industries

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

• Positive Sentiment: JPMorgan raised its price target on POWL to $360, and Cantor Fitzgerald lifted its target to $320, signaling continued Wall Street confidence in the stock’s longer-term upside. Powell Industries (POWL) Price Target Increased to $360 by JPMorgan
• Positive Sentiment: Analysts and commentary highlighted Powell’s diversification beyond oil and gas, with growing backlog and stronger demand in utility and industrial end markets. Is Powell Industries’ Diversification Efforts Gaining Traction?
• Positive Sentiment: The company recently reported a record backlog and disclosed a more than $400 million data center order after quarter-end, supporting the growth narrative even after a weaker-than-expected earnings print.
• Neutral Sentiment: Recent articles also noted that Powell remains very highly valued after its sharp rally, so some investors may be using strength to take profits. Powell Industries Inc (POWL) Stock Up 4.0% but GF Value Says Overvalued
• Negative Sentiment: Powell’s latest quarterly results missed EPS estimates, and the stock is being pressured by a broader selloff in momentum stocks after inflation data pushed interest-rate expectations higher. Powell Industries (POWL) slides as hotter inflation data pressures high-momentum industrial names

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.