Accelerant (NYSE:ARX) Shares Gap Up on Earnings Beat

Accelerant Holdings (NYSE:ARX) shares gapped up before the market opened on Thursday following a better than expected earnings announcement. The stock had previously closed at $12.53, but opened at $13.89. Accelerant shares last traded at $14.9480, with a volume of 336,544 shares trading hands.

The technology company reported $0.17 earnings per share for the quarter, beating the consensus estimate of $0.16 by $0.01. Accelerant had a negative net margin of 148.33% and a positive return on equity of 67.99%. The firm had revenue of $273.20 million during the quarter. The firm’s quarterly revenue was up 53.5% compared to the same quarter last year.

Wall Street Analyst Weigh In

A number of research analysts recently weighed in on the company. Wells Fargo & Company raised Accelerant from an “equal weight” rating to an “overweight” rating and dropped their price target for the stock from $17.00 to $15.00 in a research note on Friday, March 20th. Piper Sandler decreased their price objective on Accelerant from $18.00 to $13.00 and set an “overweight” rating for the company in a report on Monday, February 23rd. Morgan Stanley lowered their target price on Accelerant from $16.00 to $15.00 and set an “equal weight” rating on the stock in a research report on Monday, April 6th. Raymond James Financial reiterated an “outperform” rating and issued a $13.00 target price on shares of Accelerant in a report on Tuesday, February 17th. Finally, TD Cowen reduced their price target on shares of Accelerant from $36.00 to $30.00 and set a “buy” rating for the company in a research report on Thursday, March 26th. Ten equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, Accelerant presently has an average rating of “Moderate Buy” and a consensus price target of $18.17.

Insider Transactions at Accelerant

In other Accelerant news, CFO Jay Michael Green sold 50,000 shares of Accelerant stock in a transaction dated Monday, March 23rd. The stock was sold at an average price of $12.77, for a total transaction of $638,500.00. Following the completion of the transaction, the chief financial officer owned 1,175,589 shares in the company, valued at approximately $15,012,271.53. The trade was a 4.08% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Company insiders own 66.59% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the stock. Pembroke Management LTD purchased a new position in shares of Accelerant during the third quarter valued at approximately $1,396,000. Teacher Retirement System of Texas purchased a new stake in Accelerant in the 3rd quarter valued at $2,606,000. Allianz Asset Management GmbH bought a new position in shares of Accelerant during the third quarter valued at about $1,063,000. Envestnet Asset Management Inc. purchased a new stake in Accelerant in the 3rd quarter valued at about $165,000. Finally, PNC Financial Services Group Inc. purchased a new position in shares of Accelerant in the 3rd quarter worth approximately $42,000.

Accelerant Trading Up 18.1%

The company has a debt-to-equity ratio of 0.17, a current ratio of 1.61 and a quick ratio of 1.61. The company has a market capitalization of $3.29 billion and a P/E ratio of -2.14. The firm has a fifty day moving average price of $12.83 and a 200-day moving average price of $13.39.

About Accelerant

Aeroflex Holding Corp. (Aeroflex Holding) is a provider of radio frequency (RF) and microwave integrated circuits, components and systems used in the design, development and maintenance of wireless communication systems. The Company’s solutions include microelectronic components and test and measurement equipment used by companies in the space, avionics and defense; commercial wireless communications, and medical and other markets. Its products include a range of RF, microwave and millimeter wave microelectronic components, integrated circuits (ICs), and analog and mixed-signal devices.