Insider He Jilun purchased 1,306,737 shares of EnSync Inc. (ESNC, Financial) for 94 cents per share. According to a Form 4 of the Securities and Exchange Commission, the purchase came in three transactions.
On Sept. 27 Jilun purchase 649,627 shares of the company, on Sept. 28 Jilun added 196,610 shares, and on Sept. 29 he bought another 460,500 shares of EnSync. Since the trade EnSync’s market price has gained an estimated 5.32%.
EnSync has a market cap of $47.16 million, an enterprise value of $32.93 million, a price-book (P/B) ratio of 2.86 and a quick ratio of 13.71.
EnSync was incorporated in 1998 and is headquartered in Menomonee Falls, Wisconsin. EnSync Energy Systems is a leading developer of innovative energy management systems. The company is enabling the future of electricity with advanced energy management systems critical to a global economy becoming increasingly reliant upon the expansion of renewable energy. The company was formerly known as ZBB Energy before the company changed its name to EnSync.
On Aug. 17, 2015 the common stock began trading under the name EnSync after shareholders approved the name change.
It's possible that Jilun purchased the shares because the company has patented technology that is not easy to replicate. EnSync has a patented solution with its matrix energy management that can synchronize energy from any source, both conventional and renewable.
“The matrix is a fully configurable UL-certified system for the commercial and industrial markets as well as distributed assets in the electrical utility market. As the matrix is considered a 'platform,' it provides a roadmap for incorporation of features, functionality, capabilities and higher power ratings, whether created organically or from third parties.” – EnSync 10-K
The company also has an Agile Hybrid series storage system that provides forward-looking technology that seamlessly combines a variety of storage units to meet a breadth of applications. These applications include power applications – PV ramp, frequency regulation, power quality – and energy applications – demand response, rate shifting and critical backup power. The Hybrid series is also configurable for any building, any application requiring discharge time from seconds to greater than eight hours.
You can learn more about the company’s new energy solutions here.
GuruFocus has detected two severe warning signs to which investors should pay attention.
- The company’s per share revenue has been in a five-year decline at an average rate of -41.90% per year.
- The company’s days inventory is building up. If a company builds up inventory, it may mean it is having difficulty selling its goods.
Jilun may have bought shares of EnSync because the company has proprietary patented technology, it is attempting to improve the world through clean energy solutions, and it is also expanding its operations. Over the previous year, EnSync’s market price has gained an estimated 78%.
Disclosure:Ă‚ Author does not own any shares of this company.
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