NAPCO Security Technologies (NASDAQ:NSSC) Price Target Cut to $45.00 by Analysts at TD Cowen

NAPCO Security Technologies (NASDAQ:NSSC) had its price target decreased by equities researchers at TD Cowen from $55.00 to $45.00 in a research report issued on Tuesday, Benzinga reports. The brokerage presently has a “buy” rating on the industrial products company’s stock. TD Cowen‘s price target indicates a potential upside of 40.85% from the stock’s current price.

Other equities research analysts have also recently issued research reports about the stock. Weiss Ratings upgraded shares of NAPCO Security Technologies from a “hold (c)” rating to a “hold (c+)” rating in a research report on Thursday, October 8th. DA Davidson set a $52.00 price target on shares of NAPCO Security Technologies in a research report on Tuesday, August 25th. Benchmark reaffirmed a “buy” rating on shares of NAPCO Security Technologies in a research note on Tuesday, August 25th. Finally, Needham & Company LLC dropped their price objective on shares of NAPCO Security Technologies from $49.00 to $43.00 and set a “buy” rating for the company in a report on Monday. Four research analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat.com, NAPCO Security Technologies presently has a consensus rating of “Moderate Buy” and an average target price of $46.67.

NAPCO Security Technologies Trading Down 0.5%

NSSC stock traded down $0.15 during trading on Tuesday, hitting $31.95. The company had a trading volume of 120,610 shares, compared to its average volume of 472,131. The company has a fifty day moving average price of $36.39 and a two-hundred day moving average price of $39.07. NAPCO Security Technologies has a fifty-two week low of $31.00 and a fifty-two week high of $51.77. The company has a market cap of $1.14 billion, a P/E ratio of 26.30 and a beta of 1.49.

NAPCO Security Technologies (NASDAQ:NSSC) last issued its quarterly earnings data on Monday, November 2nd. The industrial products company reported $0.34 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.38 by ($0.04). NAPCO Security Technologies had a net margin of 21.27% and a return on equity of 31.41%. The company had revenue of $49.98 million for the quarter, compared to the consensus estimate of $52.05 million. During the same period in the previous year, the business posted $0.34 earnings per share. The firm’s revenue was up 1.6% compared to the same quarter last year. On average, analysts expect that NAPCO Security Technologies will post 1.68 earnings per share for the current year.

Insider Buying and Selling at NAPCO Security Technologies

In other news, Director Donna Soloway sold 28,000 shares of NAPCO Security Technologies stock in a transaction on Wednesday, August 26th. The stock was sold at an average price of $35.98, for a total value of $1,007,440.00. Following the completion of the sale, the director directly owned 20,962 shares of the company’s stock, valued at approximately $754,212.76. This trade represents a 57.19% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Chairman Richard Soloway sold 379,529 shares of the business’s stock in a transaction on Thursday, August 27th. The stock was sold at an average price of $34.50, for a total value of $13,093,750.50. Following the sale, the chairman owned 621,958 shares of the company’s stock, valued at approximately $21,457,551. The trade was a 37.90% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders have sold 523,962 shares of company stock worth $18,257,168. Company insiders own 5.65% of the company’s stock.

Institutional Trading of NAPCO Security Technologies

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in NSSC. GAMMA Investing LLC boosted its position in shares of NAPCO Security Technologies by 40.3% during the third quarter. GAMMA Investing LLC now owns 1,345 shares of the industrial products company’s stock worth $48,000 after buying an additional 386 shares during the period. Quantinno Capital Management LP raised its position in NAPCO Security Technologies by 3.2% in the 1st quarter. Quantinno Capital Management LP now owns 19,464 shares of the industrial products company’s stock valued at $767,000 after buying an additional 596 shares during the last quarter. KBC Group NV acquired a new stake in NAPCO Security Technologies in the 1st quarter valued at approximately $26,000. Lazard Asset Management LLC lifted its stake in NAPCO Security Technologies by 6.2% in the 1st quarter. Lazard Asset Management LLC now owns 14,312 shares of the industrial products company’s stock valued at $564,000 after acquiring an additional 841 shares in the last quarter. Finally, SkyOak Wealth LLC lifted its stake in NAPCO Security Technologies by 14.2% in the 2nd quarter. SkyOak Wealth LLC now owns 7,036 shares of the industrial products company’s stock valued at $267,000 after acquiring an additional 874 shares in the last quarter. 85.07% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about NAPCO Security Technologies

Here are the key news stories impacting NAPCO Security Technologies this week:

• Positive Sentiment: Recurring revenue continued to grow. Service revenue increased 11.5%, reached an approximately $106 million run rate, and carried margins above 90%. Management said this mix shift supported overall gross-margin performance despite weaker equipment sales. Napco Recurring Revenue Growth Offsets Softer Equipment Sales in Fiscal Q1
• Positive Sentiment: Needham maintained a Buy rating while lowering its price target from $49 to $43. The revised target still implies substantial upside from the current share price, signaling that the analyst views the recurring-revenue model and long-term growth prospects favorably.
• Positive Sentiment: NAPCO declared a $0.17 quarterly dividend, equivalent to $0.68 annually and a yield of roughly 2.1%. The payout provides some shareholder support, although the ex-dividend date is December 14.
• Neutral Sentiment: Revenue reached a record-like $50.0 million, up 1.6% year over year, while management is targeting full-year equipment gross margins of 26%–27%. However, the outlook depends on a recovery in equipment demand and improved distributor ordering. NAPCO Security Technologies Reports Fiscal Q1 2027 Results
• Negative Sentiment: NAPCO missed first-quarter expectations. Adjusted EPS was $0.34 versus the $0.38 consensus, and revenue was $49.98 million versus approximately $52.05 million expected. EPS was flat year over year, increasing concern about near-term growth. NAPCO Q1 Earnings Flash
• Negative Sentiment: Equipment sales declined 7.3% as distributor ordering softened. Excluding a litigation-related credit, operating income fell about 4%, highlighting that recurring-revenue gains have not yet fully offset pressure in the hardware business. Napco Security Equipment Sales Fall 7.3 Percent

NAPCO Security Technologies Company Profile

NAPCO Security Technologies, Inc develops, manufactures and sells electronic security products and solutions for commercial, institutional, industrial and residential applications. Its offerings include intrusion alarm systems, access control systems, fire alarm products, locking systems and related communications technologies.

The company markets products under brands that include NAPCO, StarLink, Alarm Lock, Continental Instruments and Firewolf. Its solutions are designed to support security dealers, alarm monitoring providers, systems integrators and other professional-channel customers, including applications in schools, healthcare facilities, businesses and government buildings.

Founded in 1969, NAPCO is headquartered in Amityville, New York.