Short Interest in Energy Recovery, Inc. (NASDAQ:ERII) Declines By 10.5%

Energy Recovery, Inc. (NASDAQ:ERII) was the target of a large drop in short interest during the month of August. As of August 31st, there was short interest totalling 2,220,000 shares, a drop of 10.5% from the August 15th total of 2,480,000 shares. Based on an average daily volume of 401,000 shares, the short-interest ratio is presently 5.5 days. Currently, 4.0% of the company’s shares are short sold.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on the company. Raymond James upgraded Energy Recovery from an “outperform” rating to a “strong-buy” rating and set a $21.00 price target for the company in a report on Tuesday, July 9th. StockNews.com upgraded Energy Recovery from a “sell” rating to a “hold” rating in a research note on Thursday, August 1st.

Energy Recovery Price Performance

Shares of ERII traded up $0.39 during trading hours on Wednesday, hitting $16.84. The stock had a trading volume of 437,079 shares, compared to its average volume of 425,073. The firm has a 50 day simple moving average of $15.88 and a 200-day simple moving average of $14.67. The firm has a market capitalization of $965.44 million, a P/E ratio of 48.38 and a beta of 1.22. Energy Recovery has a 1-year low of $12.26 and a 1-year high of $23.05.

Energy Recovery (NASDAQ:ERII) last issued its earnings results on Wednesday, July 31st. The industrial products company reported ($0.01) EPS for the quarter, beating the consensus estimate of ($0.11) by $0.10. The company had revenue of $27.20 million during the quarter, compared to the consensus estimate of $23.36 million. Energy Recovery had a return on equity of 9.88% and a net margin of 15.40%. Equities analysts predict that Energy Recovery will post 0.37 EPS for the current fiscal year.

Insider Buying and Selling

In related news, SVP Rodney Clemente sold 2,353 shares of the firm’s stock in a transaction on Monday, July 29th. The stock was sold at an average price of $14.63, for a total transaction of $34,424.39. Following the completion of the transaction, the senior vice president now directly owns 140,328 shares of the company’s stock, valued at approximately $2,052,998.64. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. In other Energy Recovery news, insider William Yeung sold 2,012 shares of the stock in a transaction dated Monday, July 29th. The stock was sold at an average price of $14.63, for a total transaction of $29,435.56. Following the completion of the sale, the insider now directly owns 85,291 shares in the company, valued at approximately $1,247,807.33. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, SVP Rodney Clemente sold 2,353 shares of the stock in a transaction dated Monday, July 29th. The stock was sold at an average price of $14.63, for a total value of $34,424.39. Following the sale, the senior vice president now owns 140,328 shares of the company’s stock, valued at $2,052,998.64. The disclosure for this sale can be found here. Insiders sold a total of 8,444 shares of company stock valued at $123,536 in the last three months. Insiders own 4.10% of the company’s stock.

Hedge Funds Weigh In On Energy Recovery

A number of hedge funds have recently added to or reduced their stakes in the stock. The Manufacturers Life Insurance Company boosted its stake in Energy Recovery by 6.4% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 22,127 shares of the industrial products company’s stock valued at $294,000 after purchasing an additional 1,330 shares during the last quarter. Sentry Investment Management LLC boosted its stake in Energy Recovery by 23.2% during the 1st quarter. Sentry Investment Management LLC now owns 7,627 shares of the industrial products company’s stock valued at $120,000 after purchasing an additional 1,438 shares during the last quarter. Rhumbline Advisers boosted its stake in Energy Recovery by 2.0% during the 2nd quarter. Rhumbline Advisers now owns 95,559 shares of the industrial products company’s stock valued at $1,270,000 after purchasing an additional 1,893 shares during the last quarter. Hantz Financial Services Inc. acquired a new position in Energy Recovery during the 2nd quarter valued at about $26,000. Finally, AQR Capital Management LLC lifted its position in shares of Energy Recovery by 19.8% during the 2nd quarter. AQR Capital Management LLC now owns 11,998 shares of the industrial products company’s stock worth $159,000 after buying an additional 1,986 shares in the last quarter. Institutional investors and hedge funds 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.