Shares of Power Solutions International, Inc. (NASDAQ: PSIX) experienced a decline of 3.6% on Wednesday, trading as low as $56.89 before closing at $57.07. During mid-day trading, the company saw a volume of 271,021 shares, a significant drop of 48% from its average session volume of 521,351 shares. This drop follows a previous closing price of $59.19.
Analyst Ratings Impact Stock Performance
Recent reports from various research analysts have influenced the stock’s performance. On December 1, Jefferies Financial Group initiated coverage on Power Solutions International, issuing a “buy” rating and setting a price target of $110.51. Conversely, Weiss Ratings reiterated a “hold (C+)” rating, while Wall Street Zen adjusted their rating from “strong-buy” to “buy” on December 13. Currently, two analysts have assigned a buy rating and one has given a hold rating to the stock. According to data from MarketBeat.com, Power Solutions International holds an average rating of “Moderate Buy” with a target price of $101.51.
Financial Performance Highlights
Power Solutions International released its earnings report on November 6, revealing an earnings per share (EPS) of $1.20 for the quarter. The company reported a net margin of 17.94% and a return on equity of 109.04%. Revenue for the quarter reached $203.83 million, demonstrating the company’s strong financial performance in a competitive market.
Institutional investors have also been active in the stock, with several firms adjusting their holdings. Vanguard Group Inc. increased its stake in Power Solutions International by 38.9% in the third quarter, acquiring an additional 140,743 shares for a total of 502,381 shares valued at approximately $49.34 million. Other notable institutional movements include a 344.1% increase in holdings by Arrowstreet Capital Limited Partnership, which acquired an additional 251,883 shares during the same period.
Several other institutions have also entered the fray, with Busey Bank acquiring a new stake valued around $21.61 million and Allspring Global Investments Holdings LLC taking a new position worth approximately $19.00 million. Currently, institutional investors and hedge funds hold 22.28% of the stock.
Company Overview
Based in Wood Dale, Illinois, Power Solutions International specializes in the design and manufacture of integrated powertrain solutions for commercial vehicles, industrial applications, and military use. The company develops advanced diesel engine and transmission packages under the Atlas® brand, aiming to deliver high-efficiency, power-dense systems. Their offerings cater to a range of vehicles, including medium- and heavy-duty trucks, buses, and construction equipment, alongside a variety of component products such as diesel engines and aftertreatment modules.
As the market continues to react to analyst ratings and investor activities, Power Solutions International remains a focal point for stakeholders tracking developments in the energy sector.
