Fuel tech director Sharon Jones buys shares worth $8,655

In a recent transaction reported to the Securities and Exchange Commission, Sharon L. Jones, a director at Fuel Tech , Inc. (NASDAQ:FTEK), has acquired additional shares of the company. On November 19, Jones purchased 8,014.40 shares of common stock at a price of $1.08 per share, totaling approximately $8,655. This acquisition increases her total direct ownership to 96,599.565 shares. Fuel Tech is based in Warrenville, Illinois, and operates in the industrial and commercial air purification equipment sector.

In other recent news, Fuel Tech Incorporated has announced its third quarter financial results for 2024. Despite facing market challenges, the company has returned to profitability, albeit with a slight decline in revenue from $8 million in Q3 2023 to $7.9 million in Q3 2024. The company's Chemical Technologies segment, particularly from coal-fired utilities, played a significant role in this return to profitability. However, the Air Pollution Control (APC) segment experienced a decrease due to project delays.

Fuel Tech maintains a strong financial position with $31 million in cash and no debt. The company has also announced $2 million in new ATC orders and expects an additional $2 million to $4 million by early 2025. The FUEL CHEM segment revenue grew by 8% year-over-year, with a new commercial account expected to generate $1.5 million to $2 million annually.

Despite these positive developments, the company's consolidated gross margin decreased to 43% from 45% the previous year, primarily due to a decrease in APC segment margins. Fuel Tech leaders, including CEO Vincent Arnone and CFO William Bremer, expressed optimism about the company's future, particularly regarding opportunities in Mexico under the new government administration's environmental policies.

InvestingPro Insights

The recent insider purchase by Sharon L. Jones aligns with several key financial indicators for Fuel Tech, Inc. (NASDAQ:FTEK). According to InvestingPro data, the company's market capitalization stands at $32.09 million, reflecting its position as a small-cap player in the air purification equipment sector.

InvestingPro Tips highlight that Fuel Tech is trading at a low revenue valuation multiple, which could be a factor in Jones's decision to increase her stake. This metric suggests the stock may be undervalued relative to its sales, potentially offering an attractive entry point for investors who see growth potential in the company's future.

Another relevant InvestingPro Tip indicates that Fuel Tech holds more cash than debt on its balance sheet. This strong liquidity position is further supported by the fact that the company's liquid assets exceed its short-term obligations. Such financial stability could be reassuring for directors like Jones, especially in a sector that may require capital for research and development or expansion.

It's worth noting that while these factors paint a positive picture, InvestingPro also points out that Fuel Tech has not been profitable over the last twelve months, with analysts not anticipating profitability this year. This context adds depth to Jones's investment decision, suggesting a long-term outlook on the company's prospects despite current challenges.

For investors seeking a more comprehensive analysis, InvestingPro offers additional tips and metrics beyond those mentioned here. In fact, there are 7 more InvestingPro Tips available for Fuel Tech, providing a broader perspective on the company's financial health and market position.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.