Vertex (NASDAQ:VERX) Shares Gap Up After Insider Buying Activity

Vertex, Inc. (NASDAQ:VERX) gapped up before the market opened on Thursday following insider buying activity. The stock had previously closed at $12.09, but opened at $12.93. Vertex shares last traded at $13.0590, with a volume of 626,927 shares traded.

Specifically, insider Jeffrey Westphal bought 150,000 shares of Vertex stock in a transaction dated Tuesday, February 17th. The shares were acquired at an average cost of $12.53 per share, with a total value of $1,879,500.00. Following the completion of the transaction, the insider owned 397,740 shares in the company, valued at approximately $4,983,682.20. This trade represents a 60.55% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Jeffrey Westphal purchased 247,740 shares of the stock in a transaction that occurred on Friday, February 13th. The shares were purchased at an average cost of $13.08 per share, with a total value of $3,240,439.20. Following the completion of the acquisition, the insider owned 247,740 shares in the company, valued at approximately $3,240,439.20. This represents a ∞ increase in their position. The disclosure for this purchase is available in the SEC filing.

Wall Street Analyst Weigh In

A number of research analysts have recently issued reports on the stock. BMO Capital Markets reduced their price target on shares of Vertex from $22.00 to $16.00 and set a “market perform” rating on the stock in a research report on Thursday, February 12th. DA Davidson set a $13.00 price objective on shares of Vertex in a research note on Thursday, February 12th. Morgan Stanley set a $20.00 target price on shares of Vertex in a report on Thursday, February 12th. Needham & Company LLC decreased their target price on Vertex from $30.00 to $20.00 and set a “buy” rating for the company in a research note on Wednesday, February 11th. Finally, Citizens Jmp lowered their target price on Vertex from $37.00 to $25.00 and set a “market outperform” rating for the company in a report on Thursday, February 12th. Eight investment analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $23.07.

Vertex Stock Down 0.5%

The company has a quick ratio of 1.01, a current ratio of 1.01 and a debt-to-equity ratio of 1.27. The firm has a 50 day simple moving average of $18.03 and a 200-day simple moving average of $21.58. The stock has a market cap of $2.03 billion, a P/E ratio of 318.58, a price-to-earnings-growth ratio of 1.52 and a beta of 0.59.

Vertex (NASDAQ:VERX) last released its quarterly earnings results on Wednesday, February 11th. The company reported $0.17 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.17. The business had revenue of $194.71 million during the quarter, compared to the consensus estimate of $194.33 million. Vertex had a return on equity of 25.25% and a net margin of 0.96%.The firm’s quarterly revenue was up 9.1% on a year-over-year basis. During the same period in the previous year, the company posted $0.15 EPS. On average, equities research analysts forecast that Vertex, Inc. will post 0.38 earnings per share for the current fiscal year.

Vertex announced that its Board of Directors has authorized a share repurchase program on Monday, November 3rd that permits the company to buyback $150.00 million in outstanding shares. This buyback authorization permits the company to reacquire up to 4.1% of its stock through open market purchases. Stock buyback programs are often a sign that the company’s leadership believes its stock is undervalued.

Institutional Trading of Vertex

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Invesco Ltd. boosted its position in shares of Vertex by 14.5% during the 4th quarter. Invesco Ltd. now owns 61,019 shares of the company’s stock worth $1,219,000 after purchasing an additional 7,714 shares in the last quarter. Empowered Funds LLC bought a new position in shares of Vertex in the fourth quarter valued at $45,000. XTX Topco Ltd lifted its stake in shares of Vertex by 436.2% in the fourth quarter. XTX Topco Ltd now owns 107,909 shares of the company’s stock valued at $2,155,000 after buying an additional 87,786 shares in the last quarter. VARCOV Co. acquired a new position in shares of Vertex during the fourth quarter valued at about $391,000. Finally, Saba Capital Management L.P. increased its position in shares of Vertex by 29.5% during the fourth quarter. Saba Capital Management L.P. now owns 263,474 shares of the company’s stock worth $5,262,000 after acquiring an additional 60,000 shares in the last quarter. 70.32% of the stock is currently owned by institutional investors.

Vertex Company Profile

Vertex Energy, Inc (NASDAQ: VERX) is a specialty refiner and marketer of transportation fuels and petrochemical feedstocks in the United States. The company collects and processes a variety of waste petroleum products, including used motor oil and industrial lubricants, which it converts into ultra-low-sulfur diesel, asphalt, and other refined products. By leveraging proprietary re-refining technologies and strategic feedstock sourcing, Vertex Energy aims to deliver cost-effective, lower-carbon fuel solutions to wholesale and retail customers across the country.

Headquartered in Houston, Texas, Vertex operates a network of refining and blending facilities in key regions, including the Central, Northeast and Mid-Atlantic markets.