CEO David Somo Buys 90,909 Shares at Offering Price, Signaling Confidence in Ideal Power’s Near‑Term Outlook

Insider Buying Amid a Fresh Public Offering

On February 25, 2026, Chief Executive Officer David Somo purchased 90,909 shares of Ideal Power’s common stock at $2.75—exactly the price paid by the public in the company’s latest underwritten offering. The deal, locked for 90 days, raises the CEO’s post‑transaction holdings to 338,347 shares, roughly 1.2 % of the outstanding equity. While the purchase itself is modest relative to the $14 million raised, it signals confidence in the company’s near‑term prospects, particularly as Ideal Power positions its B‑TRAN® bidirectional semiconductor switch for commercial launch.

What This Means for Investors

The timing of the acquisition is noteworthy. Ideal Power just completed a public offering and announced that the proceeds will fund product development and initial production ramp for its flagship technology. The CEO’s participation suggests alignment between management’s view and the capital‑raising effort. For shareholders, the move can be interpreted as a vote of confidence: the leadership believes the market has undervalued the stock given the company’s recent momentum and upcoming product rollouts. However, the overall market sentiment remains neutral (social‑media sentiment score of –0), and the stock’s performance has been volatile—down 32 % year‑to‑date despite a 6.93 % monthly gain. Investors should weigh the CEO’s bullish stance against the broader industry risks and the company’s negative price‑earnings ratio of –2.61, which points to a valuation challenge.

Somo’s Historical Trading Pattern

David Somo’s insider activity has been consistent and largely buy‑oriented. In November 2025, he acquired 247,438 shares at a zero‑price filing (typical for IPO or secondary offerings), immediately increasing his stake to the same amount. No prior sales have been reported, indicating a long‑term holding philosophy. The February 2026 purchase aligns with this pattern—incremental, supportive buys that reinforce a stable ownership position. Compared with CFO Burns’ recent sell of 3,607 shares in December 2025, Somo’s trades underscore a divergence in short‑term liquidity strategies: the CFO is trimming exposure while the CEO is building it.

Implications for the Company’s Future

Ideal Power’s strategic focus on PV inverters, EV charging, and distributed storage markets positions it well within growing segments of the electrical equipment sector. The CEO’s recent purchase comes as the company prepares to deliver its B‑TRAN® switch to market, a product that could unlock new revenue streams. If the technology achieves commercial traction, the stock could rally, validating the CEO’s buying. Conversely, if execution falters, the shares could continue to lag, making insider purchases a risky bet. Market participants should monitor the upcoming February 26 webcast for deeper insights into the commercialization timeline and any potential dilution from further offerings.

Bottom Line for Investors

David Somo’s buy of 90,909 shares at the offering price is a modest yet meaningful endorsement of Ideal Power’s near‑term outlook. The move aligns with a history of incremental, long‑term purchases, suggesting confidence in the company’s product strategy and capital allocation. Investors should view this activity as a positive cue but remain mindful of the firm’s valuation challenges, market volatility, and the broader competitive landscape in the electrical equipment industry.