Savant Capital LLC has made a significant investment in NAPCO Security Technologies, Inc., acquiring a new position valued at approximately $422,000. This move was reported in the firm’s recent Form 13F filing with the Securities and Exchange Commission (SEC). The investment involved the purchase of 14,210 shares of the industrial products company’s stock, which trades on the NASDAQ under the ticker symbol NSSC.
Several other institutional investors have also adjusted their stakes in NAPCO Security Technologies during the second quarter. Notably, First Horizon Advisors Inc. increased its holdings by 49.8%, bringing its total to 1,552 shares, valued at approximately $46,000. Similarly, Emerald Mutual Fund Advisers Trust raised its position by 3.0%, now holding 227,852 shares worth $6,765,000. Other notable investors include Emerald Advisers LLC, which expanded its stake by 27.2%, and Quaker Wealth Management LLC, which boosted its holdings by 200.0%.
Hedge funds and institutional investors collectively own 85.07% of NAPCO Security Technologies’ stock, highlighting the firm’s appeal among larger investors.
Analysts Raise Price Targets for NSSC Shares
Equity research analysts have recently updated their ratings and target prices for NSSC shares. DA Davidson has established a target price of $50.00, assigning a “buy” rating in a report dated September 24. Wall Street Zen also upgraded its recommendation from “hold” to “buy” on August 30. TD Cowen similarly raised its price target from $43.00 to $50.00 while increasing its rating to “buy” on November 4. Needham & Company LLC has set a new target price of $47.00, up from $36.00, while maintaining a “buy” rating.
Currently, seven analysts have rated NAPCO Security Technologies as a “buy,” while two maintain a “hold” rating. MarketBeat reports an average rating of “Moderate Buy” with a consensus target price of $47.50.
Performance Metrics and Upcoming Dividend
As of Monday, the stock opened at $40.35 per share, with a market capitalization of $1.44 billion. The company has a P/E ratio of 33.91 and a beta of 1.54. Over the past year, the stock has fluctuated between a low of $19.00 and a high of $48.12. The 50-day simple moving average stands at $42.68, while the 200-day average is $34.49.
On November 3, NAPCO Security Technologies reported earnings of $0.34 per share for the quarter, surpassing analyst expectations of $0.30 by $0.04. The company achieved a net margin of 23.90% and a return on equity of 25.42%, with quarterly revenue reaching $49.17 million, exceeding the estimated $46.81 million. This marks an 11.8% increase in revenue compared to the same quarter last year.
Looking ahead, NAPCO Security Technologies has announced a quarterly dividend of $0.14 per share, to be paid on January 2, 2024. Shareholders on record as of December 12, 2023, will be eligible for this dividend. This represents an annualized dividend yield of 1.4% and a payout ratio of 45.53%.
About NAPCO Security Technologies
NAPCO Security Technologies, Inc. specializes in the development, manufacture, and sale of electronic security systems for a wide range of applications, including commercial, residential, institutional, industrial, and governmental settings both in the United States and internationally. The company offers various products, including access control systems, intrusion and fire alarm systems, and innovative door locking devices.
With a robust portfolio and growing market presence, NAPCO Security Technologies continues to attract significant investment interest, reflecting confidence in its future prospects.
