FuelCell Energy (NASDAQ:FCEL) Shares Gap Down on Insider Selling

FuelCell Energy, Inc. (NASDAQ:FCEL) gapped down before the market opened on Wednesday following insider selling activity. The stock had previously closed at $25.96, but opened at $21.18. FuelCell Energy shares last traded at $23.2690, with a volume of 6,656,143 shares trading hands.

Specifically, EVP Shankar Achanta sold 2,500 shares of the firm’s stock in a transaction on Monday, July 6th. The shares were sold at an average price of $28.71, for a total transaction of $71,775.00. Following the transaction, the executive vice president directly owned 2,618 shares of the company’s stock, valued at approximately $75,162.78. This trade represents a 48.85% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at the SEC website.

Analyst Ratings Changes

A number of equities research analysts have recently commented on the stock. Wall Street Zen cut shares of FuelCell Energy from a “hold” rating to a “sell” rating in a report on Saturday, June 13th. UBS Group raised their price target on FuelCell Energy from $7.25 to $22.00 and gave the stock a “neutral” rating in a report on Friday, June 26th. Weiss Ratings upgraded FuelCell Energy from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Wednesday, May 20th. Wells Fargo & Company upped their price objective on FuelCell Energy from $6.00 to $8.00 and gave the company an “underweight” rating in a research note on Tuesday, June 16th. Finally, Jefferies Financial Group raised FuelCell Energy from a “hold” rating to a “buy” rating and increased their price objective for the stock from $16.00 to $24.00 in a research report on Friday, June 26th. Three research analysts have rated the stock with a Buy rating, four have given a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of “Hold” and an average price target of $22.00.

Trending Headlines about FuelCell Energy

Here are the key news stories impacting FuelCell Energy this week:

• Positive Sentiment: FuelCell Energy’s collaboration with Siemens could help speed deployment of larger fuel cell power projects and strengthen its position in distributed energy markets. Siemens and FuelCell Energy Collaborate to Explore Scalable Fuel Cell Power Solutions
• Neutral Sentiment: A recent insider sale by EVP Shankar Achanta added to the news flow, but it appears more informational than a major business catalyst. FuelCell Energy insider trade disclosure
• Negative Sentiment: The upsized stock offering is the main drag on FCEL, since investors are reacting to expected dilution from the new shares sold below recent trading levels. FuelCell Energy Announces Launch of Offering of Common Stock
• Negative Sentiment: After a strong run-up in recent weeks, some investors also seem to be taking profits, which is amplifying the stock’s pullback. Why FuelCell Energy Stock Is Tumbling on Wednesday

FuelCell Energy Price Performance

The company has a market cap of $1.56 billion, a price-to-earnings ratio of -3.50 and a beta of 2.31. The company has a current ratio of 8.59, a quick ratio of 7.20 and a debt-to-equity ratio of 0.18. The company’s 50 day moving average price is $21.26 and its 200 day moving average price is $12.57.

FuelCell Energy (NASDAQ:FCEL) last issued its earnings results on Monday, June 8th. The energy company reported ($0.53) earnings per share for the quarter, missing the consensus estimate of $0.52 by ($1.05). FuelCell Energy had a negative net margin of 132.41% and a negative return on equity of 15.90%. The firm had revenue of $35.59 million during the quarter, compared to analysts’ expectations of $40.47 million. During the same period in the previous year, the firm earned ($1.79) EPS. Equities research analysts forecast that FuelCell Energy, Inc. will post -1.84 earnings per share for the current year.

Institutional Investors Weigh In On FuelCell Energy

Institutional investors have recently added to or reduced their stakes in the business. Legal & General Group Plc purchased a new position in shares of FuelCell Energy during the 4th quarter worth approximately $21,149,000. Invesco Ltd. lifted its holdings in shares of FuelCell Energy by 75.4% in the 4th quarter. Invesco Ltd. now owns 1,505,430 shares of the energy company’s stock valued at $11,005,000 after buying an additional 647,151 shares during the period. CenterBook Partners LP purchased a new stake in shares of FuelCell Energy in the fourth quarter valued at approximately $9,348,000. Renaissance Technologies LLC boosted its stake in shares of FuelCell Energy by 14.1% in the fourth quarter. Renaissance Technologies LLC now owns 1,219,600 shares of the energy company’s stock valued at $8,915,000 after buying an additional 150,600 shares in the last quarter. Finally, Vanguard Group Inc. grew its holdings in FuelCell Energy by 2.3% during the third quarter. Vanguard Group Inc. now owns 1,073,609 shares of the energy company’s stock worth $8,374,000 after acquiring an additional 23,981 shares during the period. Hedge funds and other institutional investors own 42.78% of the company’s stock.

About FuelCell Energy

FuelCell Energy, Inc (NASDAQ: FCEL) is a publicly traded company that designs, manufactures and operates turnkey molten carbonate fuel cell power plants. These stationary, on-site energy solutions generate electricity and heat through an electrochemical process that combines natural gas or biogas with oxygen, producing power with lower greenhouse gas emissions than traditional fossil fuel-based generation. The company’s fuel cell technology is engineered for continuous, baseload operation and can be integrated into microgrid architectures and industrial power systems to provide reliable, around-the-clock energy.

The company’s core product suite, marketed under the SureSource brand, encompasses both power generation and integrated carbon capture or hydrogen production capabilities.