Energy solutions insider sells more than $1.1 million in company shares to Investing.com

Gary S. Winemaster, a significant shareholder of Power Solutions International, Inc. (NASDAQ:PSIX), sold a substantial amount of the company’s stock, transactions that were disclosed in a recent filing with the Securities and Exchange Commission. Over a three-day streak, Winemaster sold a total of 58,890 shares, resulting in proceeds of more than $1.1 million.

Sales took place on September 19, 20 and 23, with prices per share ranging from $17.5706 to $19.4801. In the first day, Winemaster sold 6,681 shares at an average price of $17.5706, with individual trades ranging from $17.6547 to $17.55. In the next day, another 12,209 shares were sold at an average price of $17.8793, with a price range of $17.75 to $17.95. The final sale, which was the largest, involved 40,000 shares at an average price of $19.4801, with prices ranging from $19.35 to $19.65 per share.

Following these transactions, Winemaster’s direct holdings in Power Solutions International decreased to 3,147,570 shares. Additionally, an indirect ownership of 681 shares held by Winemaster’s husband was reported.

Investors often monitor such insider trades because they can provide insight into an insider’s view of the company’s value. The SEC filing provides transparency by allowing investors to see the details of these stock sales.

Power Solutions International, based in Wood Dale, Illinois, specializes in engines and turbines, a sector that is being closely watched by investors for signs of growth and innovation. As with any insider trading, market participants will be closely watching the company’s performance and strategic direction following this significant sale by a key shareholder.

In other recent news, Power Solutions has made notable inroads in the market. The company’s second-quarter performance, despite slightly missing revenue expectations, delivered a record gross margin, resulting in a significant decline in EBITDA and adjusted EPS. This prompted Craig-Hallum to raise his price target for the company from $10.00 to $22.00, while maintaining a Buy rating.

Power Solutions continues to project year-over-year revenue growth of about 3%, even on the soft backdrop in its industrial sectors and an expected decline in transportation volumes. The company’s commitment to profitability was underlined in the second quarter, marked by an optimized cost structure, a shift away from unprofitable businesses and continued repayment of debt.

In particular, the Power Systems division made significant progress, particularly due to initial successes in data center applications. The company’s stock is currently trading at around 4.5x EV/EBITDA and 4.5x FY25 forecast P/E. In addition, there is an ongoing focus on the stock’s potential upside to a larger stock market. These are among the recent developments in the company’s business operations.

InvestingPro Insights

As investors digest the news of Gary S. Winemaster’s recent sale of shares in Power Solutions International, Inc. (NASDAQ:PSIX), it’s worth considering some key financial indicators and insights provided by InvestingPro. The company has a market cap of $456.37 million and trades at a P/E ratio of 10.24, suggesting that the stock may be undervalued relative to its near-term earnings growth potential.

According to InvestingPro, Power Solutions International is expected to post an increase in net income this year, which may be a signal to potential investors about the company’s profitability trajectory. Additionally, the stock has seen a significant return over the past week, with a total price return of 15.5%, reflecting a strong short-term performance. This, along with a robust return of 504.08% over the past year, indicates positive momentum for the company’s share price.

InvestingPro tips for Power Solutions International highlight the company’s high shareholder returns and analysts’ prediction that the company will be profitable this year. For investors seeking a more in-depth analysis, there are additional InvestingPro Tips available, which can be found at https://www.investing.com/pro/PSIX. These tips can provide more information about the company’s financial health and investment potential.

This article was generated with support from AI and reviewed by an editor. For more information, see T&C.