NAPCO Security Technologies (NASDAQ:NSSC) Shares Down 4.1% – Here’s What Happened

NAPCO Security Technologies, Inc. (NASDAQ:NSSC) shares fell 4.1% on Thursday . The stock traded as low as $34.23 and last traded at $34.2620. Approximately 191,257 shares changed hands during trading, a decline of 61% from the average session volume of 490,578 shares. The stock had previously closed at $35.73.

NAPCO Security Technologies News Roundup

Here are the key news stories impacting NAPCO Security Technologies this week:

• Negative Sentiment: Chairman Richard Soloway sold a combined 475,000 shares on August 26 and 27 for approximately $16.5 million. The transactions reduced his direct ownership by roughly 46%, leaving him with 621,958 shares. The size of the sales may concern investors because they came from a senior executive, although the filings do not state the reason for the transactions. SEC filing for Richard Soloway stock sales
• Negative Sentiment: Director Donna Anne Soloway sold 48,962 shares across the same two sessions for approximately $1.7 million, cutting her holdings to 20,962 shares. The combined insider sales totaled 523,962 shares and more than $18.2 million in proceeds. SEC filing for Donna Anne Soloway stock sales
• Negative Sentiment: NSSC shares hit a new 52-week low, reinforcing concerns about momentum. The stock is trading below both its 50-day and 200-day moving averages, indicating continued technical weakness. NAPCO Security Technologies hits new 52-week low

Wall Street Analyst Weigh In

A number of equities analysts have commented on the company. Weiss Ratings restated a “hold (c)” rating on shares of NAPCO Security Technologies in a research note on Friday, August 7th. Benchmark reiterated a “buy” rating on shares of NAPCO Security Technologies in a research report on Tuesday. Wall Street Zen cut NAPCO Security Technologies from a “buy” rating to a “hold” rating in a research report on Saturday, July 4th. DA Davidson set a $52.00 price target on NAPCO Security Technologies in a report on Tuesday. Finally, Needham & Company LLC restated a “buy” rating and set a $49.00 price objective on shares of NAPCO Security Technologies in a research report on Friday, August 21st. Six analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat.com, NAPCO Security Technologies currently has an average rating of “Moderate Buy” and a consensus price target of $50.40.

NAPCO Security Technologies Stock Performance

The stock’s fifty day moving average is $37.44 and its two-hundred day moving average is $39.81. The firm has a market cap of $1.26 billion, a price-to-earnings ratio of 29.21 and a beta of 1.45.

NAPCO Security Technologies (NASDAQ:NSSC) last issued its quarterly earnings data on Monday, August 24th. The industrial products company reported $0.50 earnings per share for the quarter, beating the consensus estimate of $0.39 by $0.11. The firm had revenue of $55.81 million for the quarter, compared to the consensus estimate of $52.51 million. NAPCO Security Technologies had a net margin of 21.27% and a return on equity of 31.41%. NAPCO Security Technologies’s quarterly revenue was up 10.1% compared to the same quarter last year. During the same period last year, the firm posted $0.33 EPS. Sell-side analysts predict that NAPCO Security Technologies, Inc. will post 1.66 earnings per share for the current year.

NAPCO Security Technologies Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, October 2nd. Stockholders of record on Friday, September 11th will be issued a dividend of $0.17 per share. This represents a $0.68 dividend on an annualized basis and a dividend yield of 1.9%. This is a boost from NAPCO Security Technologies’s previous quarterly dividend of $0.15. The ex-dividend date of this dividend is Friday, September 11th. NAPCO Security Technologies’s dividend payout ratio is presently 49.59%.

Insider Activity at NAPCO Security Technologies

In other news, Director Donna Anne Soloway sold 28,000 shares of the business’s stock in a transaction that occurred on Wednesday, August 26th. The stock was sold at an average price of $35.98, for a total transaction of $1,007,440.00. Following the completion of the transaction, the director directly owned 20,962 shares in the company, valued at approximately $754,212.76. The trade was a 57.19% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, Chairman Richard Soloway sold 379,529 shares of the stock in a transaction that occurred on Thursday, August 27th. The stock was sold at an average price of $34.50, for a total value of $13,093,750.50. Following the completion of the transaction, the chairman directly owned 621,958 shares of the company’s stock, valued at $21,457,551. This trade represents a 37.90% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 523,962 shares of company stock valued at $18,257,168. Insiders own 5.65% of the company’s stock.

Institutional Investors Weigh In On NAPCO Security Technologies

Institutional investors have recently bought and sold shares of the stock. IFP Advisors Inc grew its position in NAPCO Security Technologies by 193.3% in the 3rd quarter. IFP Advisors Inc now owns 572 shares of the industrial products company’s stock valued at $25,000 after buying an additional 377 shares in the last quarter. KBC Group NV bought a new stake in shares of NAPCO Security Technologies during the 1st quarter worth about $26,000. Advisory Services Network LLC acquired a new stake in shares of NAPCO Security Technologies in the 3rd quarter worth approximately $41,000. Blue Trust Inc. acquired a new stake in shares of NAPCO Security Technologies in the 1st quarter worth approximately $44,000. Finally, Acadian Asset Management LLC bought a new position in shares of NAPCO Security Technologies in the first quarter valued at approximately $91,000. Institutional investors and hedge funds own 85.07% of the company’s stock.

About NAPCO Security Technologies

NAPCO Security Technologies, Inc (NASDAQ: NSSC) is a designer and manufacturer of electronic security solutions for commercial and residential applications. The company’s product portfolio spans intrusion and fire alarm control panels, alarm communicators, access control locks and readers, as well as a broad range of peripheral modules and integrated security accessories. NAPCO’s offerings are engineered to deliver scalable, networked security systems suitable for new installations and retrofit projects alike.

Key product lines include hybrid alarm control panels that support both wired and wireless peripherals, cellular and IP alarm communicators for reliable central station reporting, and the acclaimed “Alarm Lock” series of standalone and networked electronic door locks.