Energy Recovery (NASDAQ:ERII) Shares Gap Up – Here’s Why

Energy Recovery, Inc. (NASDAQ:ERII) gapped up prior to trading on Tuesday . The stock had previously closed at $14.66, but opened at $15.34. Energy Recovery shares last traded at $15.14, with a volume of 69,978 shares traded.

Wall Street Analysts Forecast Growth

Several equities analysts have recently issued reports on the company. StockNews.com raised Energy Recovery from a “sell” rating to a “hold” rating in a research note on Thursday, August 1st. Evercore ISI decreased their price objective on shares of Energy Recovery from $23.00 to $20.00 and set an “outperform” rating for the company in a report on Tuesday. Fearnley Fonds lowered shares of Energy Recovery from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, November 6th. Finally, B. Riley lowered their price objective on shares of Energy Recovery from $22.00 to $20.00 and set a “buy” rating for the company in a report on Tuesday. Two investment analysts have rated the stock with a hold rating, two have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat, Energy Recovery currently has a consensus rating of “Moderate Buy” and a consensus price target of $20.33.

Energy Recovery Stock Up 4.2 %

The company has a market cap of $884.56 million, a PE ratio of 45.76 and a beta of 1.22. The business’s fifty day moving average is $17.78 and its 200-day moving average is $15.67.

Energy Recovery (NASDAQ:ERII) last posted its quarterly earnings data on Wednesday, October 30th. The industrial products company reported $0.15 earnings per share for the quarter, beating analysts’ consensus estimates of $0.14 by $0.01. The firm had revenue of $38.60 million for the quarter, compared to analysts’ expectations of $37.37 million. Energy Recovery had a return on equity of 8.90% and a net margin of 14.35%. The business’s quarterly revenue was up 4.3% on a year-over-year basis. During the same period in the previous year, the firm earned $0.17 EPS. Analysts forecast that Energy Recovery, Inc. will post 0.41 EPS for the current fiscal year.

Insider Activity

In related news, CEO David W. Moon sold 2,550 shares of Energy Recovery stock in a transaction that occurred on Monday, October 28th. The stock was sold at an average price of $17.97, for a total transaction of $45,823.50. Following the sale, the chief executive officer now owns 87,101 shares of the company’s stock, valued at approximately $1,565,204.97. This trade represents a 2.84 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CTO Farshad Ghasripoor sold 10,526 shares of the company’s stock in a transaction that occurred on Monday, October 28th. The stock was sold at an average price of $17.97, for a total value of $189,152.22. Following the completion of the transaction, the chief technology officer now owns 126,961 shares of the company’s stock, valued at $2,281,489.17. The trade was a 7.66 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 43,406 shares of company stock worth $828,688 over the last ninety days. Corporate insiders own 4.10% of the company’s stock.

Hedge Funds Weigh In On Energy Recovery

Several institutional investors have recently added to or reduced their stakes in ERII. Geode Capital Management LLC lifted its stake in shares of Energy Recovery by 4.3% in the 3rd quarter. Geode Capital Management LLC now owns 1,358,620 shares of the industrial products company’s stock valued at $23,631,000 after purchasing an additional 56,306 shares during the last quarter. Barclays PLC lifted its holdings in shares of Energy Recovery by 376.6% in the 3rd quarter. Barclays PLC now owns 96,677 shares of the industrial products company’s stock worth $1,681,000 after acquiring an additional 76,393 shares during the last quarter. HighTower Advisors LLC boosted its stake in shares of Energy Recovery by 10.6% during the 3rd quarter. HighTower Advisors LLC now owns 33,239 shares of the industrial products company’s stock worth $578,000 after purchasing an additional 3,176 shares during the period. Alpha Wave Global LP grew its holdings in Energy Recovery by 93.0% during the 3rd quarter. Alpha Wave Global LP now owns 1,171,586 shares of the industrial products company’s stock valued at $20,374,000 after purchasing an additional 564,463 shares during the last quarter. Finally, Charles Schwab Investment Management Inc. raised its position in Energy Recovery by 1.6% in the 3rd quarter. Charles Schwab Investment Management Inc. now owns 468,639 shares of the industrial products company’s stock worth $8,150,000 after purchasing an additional 7,440 shares during the period. Hedge funds and other institutional investors own 83.58% of the company’s stock.

About Energy Recovery

Energy Recovery, Inc, together with its subsidiaries, designs, manufactures, and sells energy efficiency technology solutions in the Americas, the Middle East, Africa, Asia, and Europe. The company operates through Water and Emerging Technologies segments. The company offers high and low pressure, and ultra pressure exchangers; AT and LPT hydraulic turbochargers; and high-pressure feed and circulation booster pumps for use in seawater and brackish desalination, and wastewater treatment.