NVE (NASDAQ:NVEC) Stock Price Down 6.2% After Insider Selling

NVE Corporation (NASDAQ:NVEC) fell 6.2% during mid-day trading on Wednesday following insider selling activity. The company traded as low as $105.01 and last traded at $107.7030. Approximately 27,665 shares were traded during mid-day trading, a decline of 79% from the average session volume of 134,130 shares. The stock had previously closed at $114.78.

Specifically, Director Daniel A. Baker sold 1,500 shares of the company’s stock in a transaction that occurred on Monday, August 17th. The shares were sold at an average price of $121.50, for a total value of $182,250.00. Following the transaction, the director directly owned 44,803 shares in the company, valued at approximately $5,443,564.50. This represents a 3.24% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website.

Analyst Upgrades and Downgrades

Several equities research analysts have issued reports on the stock. Weiss Ratings upgraded shares of NVE from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, July 23rd. Wall Street Zen lowered shares of NVE from a “buy” rating to a “hold” rating in a report on Saturday, August 15th. One equities research analyst has rated the stock with a Buy rating, Based on data from MarketBeat.com, the company presently has a consensus rating of “Buy”.

Key Headlines Impacting NVE

Here are the key news stories impacting NVE this week:

• Positive Sentiment: NVE recently declared a quarterly dividend of $1.00 per share, equivalent to a $4.00 annualized payout and an approximately 3.6% yield. The dividend may support investor interest, although the reported payout ratio above 100% raises questions about long-term sustainability. NVE Corporation stock and dividend information
• Positive Sentiment: Institutional investors have been active buyers, including new second-quarter positions by Ranger Investment Management and Bank of New York Mellon. Handelsbanken Fonder and the Tennessee Department of Treasury also increased their holdings, while institutions collectively own about 65.95% of NVEC shares.
• Positive Sentiment: NVE’s latest quarterly results showed $1.32 in earnings per share and $11.03 million in revenue. The company continues to report exceptionally high profitability, including a 57.64% net margin and 30.53% return on equity.
• Neutral Sentiment: Analyst sentiment remains broadly favorable, with a consensus “Buy” rating. However, recent opinions are mixed: Weiss Ratings upgraded the stock to Buy, while Wall Street Zen downgraded it to Hold.
• Negative Sentiment: Director Daniel A. Baker sold 1,500 shares at an average price of $121.50 for approximately $182,250, reducing his holdings by 3.24% to 44,803 shares. The sale is relatively small compared with his remaining stake, but it may create near-term caution while NVEC trades at an elevated valuation of roughly 30 times earnings. NVE director stock sale

NVE Stock Performance

The stock has a market capitalization of $532.88 million, a P/E ratio of 29.60 and a beta of 1.37. The firm has a 50-day moving average price of $106.72 and a 200 day moving average price of $88.33.

NVE (NASDAQ:NVEC) last released its earnings results on Wednesday, July 22nd. The semiconductor company reported $1.32 earnings per share for the quarter. The company had revenue of $11.03 million during the quarter. NVE had a return on equity of 30.53% and a net margin of 57.64%.

NVE Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, August 31st. Shareholders of record on Monday, August 3rd will be paid a dividend of $1.00 per share. The ex-dividend date of this dividend is Monday, August 3rd. This represents a $4.00 annualized dividend and a dividend yield of 3.6%. NVE’s dividend payout ratio (DPR) is 107.53%.

Institutional Investors Weigh In On NVE

A number of hedge funds have recently made changes to their positions in the business. McMillan Office Inc. purchased a new stake in shares of NVE in the 4th quarter valued at $30,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its position in NVE by 5.7% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 2,873 shares of the semiconductor company’s stock worth $183,000 after purchasing an additional 156 shares during the period. Jane Street Group LLC purchased a new position in NVE in the 1st quarter worth $351,000. State of Tennessee Department of Treasury lifted its stake in NVE by 137.4% in the second quarter. State of Tennessee Department of Treasury now owns 6,596 shares of the semiconductor company’s stock worth $486,000 after purchasing an additional 3,818 shares during the last quarter. Finally, Bank of New York Mellon Corp bought a new stake in NVE in the second quarter worth $4,879,000. 65.95% of the stock is currently owned by institutional investors.

About NVE

NVE Corporation (NASDAQ:NVEC) is a technology company specializing in the development, manufacturing, and marketing of spintronic products. The company’s core expertise lies in magnetoresistive sensing and magnetic-field-based digital isolation, leveraging patented spin-valve and tunneling magnetoresistance technologies to deliver high-performance, low-power solutions.

NVE’s product portfolio includes magnetic sensors for current, position, and angle sensing applications, as well as micro-isolators and digital isolators that provide galvanic isolation in industrial, automotive, medical, instrumentation, and consumer electronics systems.