Unsafe At Current Price? – BIO-key International Inc. (BKYI), Helmerich & Payne Inc. (HP)

BIO-key International Inc. (NASDAQ: BKYI) shares are 23.32% up in the year-to-date (YTD) period and have moved -5.39% or -$0.03 lower in the latest trading session. However, stock’s trailing 12-month performance remains nearly +76.17% lower. Comparatively, the stock is -76.10% down YTD and -17.27% over the trailing 3-month period. If we look at the shorter duration, its week performance is -15.91% and -14.53% over the month.

Earnings Forecast

Analysts estimate the earnings to decrease -133.30% in the current quarter to -$0.01, up from the -$0.13 reported in the same quarter a year ago. For the current year, earnings should grow to an average of -$0.15, up 36.20% from -$0.41 reported last year. Analysts also offered guidance for the next financial quarter, with their average projected EPS at between -$0.02 and -$0.02. Wall Street estimates earnings per share to be at an average of -$0.01 for the next year.

Insider Transactions Summary

According to SEC data, total insider shares purchases at the company stands at 36 over the last 12 months, while SEC filings reveal that there have been 0 insider sales over the same period. Insiders have purchases 48,659 shares while those sold by company executives and officers stand at 0. The last 3 months have seen insiders trade a total of 20,369 and 0 in purchases and sales respectively.

DEPASQUALE MICHAEL W, a Pres., CEO & Director at the company, bought 5,000 shares worth $4750.0 at $0.95 per share on Jun 10. The Pres., CEO & Director had earlier bought another 5,000 BKYI shares valued at $4150.0 on Jun 11. The shares were bought at $0.83 per share.

Helmerich & Payne Inc. (NYSE:HP), on the other hand, is trading around $16.57 with a market cap of $1.83B and analyst research firms have a negative stance on its shares. Analysts predict that the stock will reach $19.21 and spell out a more modest performance – a 13.74% return. Some analysts are even forecasting -$1.94 per share in earnings this year on a short term (1 year) basis.

Let us briefly look at the Helmerich & Payne Inc. (HP) financials, with a focus on its operating details as indicated in its earnings report for the last quarter.

Company balance sheet and cash flow

HP’s operating margin was negative on the trailing 12 months basis, remaining steady at -22.20%, while the operating expenses over the recent quarter were at $168.95 million. This represented a 46.77% of the company’s total revenues which amounted $317.36 million. With this in place, we can see that the company’s diluted EPS declined -$0.43 on the year-over-year period, shrinking to -$1.42 as given in the last earnings report.

In terms of the balance sheet & cash flow as of (Sep 2020), the total assets figure advanced to $4.96 billion from $5.18 billion over the previous quarter. Short term investments amounted to $65.79 million while total current assets were at $990.54 million. The cash flow from operating activities totaled $446.25 million, significantly lower than the $659.37 million reported in the year-ago quarter. The company’s free cash flow for the quarter was $325.29 million.

Insider activity

Insiders have transacted a total of 7 times at Helmerich & Payne Inc. over the last 6 months, with insider purchases undertaken 6 times and accounting for 35,770 shares. Insider sales totaled 450 shares over the same period, with these deals completed in 1 transactions. Looking at these numbers, we realize that net purchases over that period are 5.0 shares. Insiders now hold a total of 3.38M shares after the latest sales, with 1.80% net shares purchased.

Major holders

Insiders own 1.00% of the company shares, while shares held by institutions stand at 90.00% with a share float percentage of 104.10M. Investors are also buoyed by the number of investors in a company, with Helmerich & Payne Inc. having a total of 599 institutions that hold shares in the company. The top two institutional holders are Blackrock Inc. with over 15.28 million shares worth more than $298.04 million. As of Jun 29, 2020, Blackrock Inc. held 14.21% of shares outstanding.

The other major institutional holder is Vanguard Group, Inc. (The), with the investment firm holding over 11.22 million shares as of Jun 29, 2020. The firm’s total holdings are worth over $218.99 million and represent 10.44% of shares outstanding.