Benzinga - by Benzinga Insights, Benzinga Staff Writer.
On April 25, a recent SEC filing unveiled that Aimee Katz, 10% Owner at Zurn Elkay Water (NYSE:ZWS) made an insider sell.
What Happened: Katz's decision to sell 236,728 shares of Zurn Elkay Water was revealed in a Form 4 filing with the U.S. Securities and Exchange Commission on Thursday. The total value of the sale is $7,679,456.
Zurn Elkay Water's shares are actively trading at $31.99, experiencing a up of 0.35% during Friday's morning session.
Delving into Zurn Elkay Water's Background Zurn Elkay Water Solutions Corp designs procure, manufactures, and markets a range of clean water solutions for drinking water, hygiene, and sustainable water management. The Zurn Elkay product portfolio includes professional-grade water control and safety, water distribution and drainage, drinking water, finish plumbing, hygienic, environmental and site works products for public and private spaces.
Zurn Elkay Water's Financial Performance Positive Revenue Trend: Examining Zurn Elkay Water's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 0.46% as of 31 March, 2024, showcasing a substantial increase in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Industrials sector.
Key Profitability Indicators:
- Gross Margin: With a high gross margin of 45.51%, the company demonstrates effective cost control and strong profitability relative to its peers.
- Earnings per Share (EPS): Zurn Elkay Water's EPS lags behind the industry average, indicating concerns and potential challenges with a current EPS of 0.2.
Navigating Market Valuation:
- Price to Earnings (P/E) Ratio: Zurn Elkay Water's current Price to Earnings (P/E) ratio of 49.05 is higher than the industry average, indicating that the stock may be overvalued according to market sentiment.
- Price to Sales (P/S) Ratio: A higher-than-average P/S ratio of 3.67 suggests overvaluation in the eyes of investors, considering sales performance.
- EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): A high EV/EBITDA ratio of 20.85 reflects market recognition of Zurn Elkay Water's value, positioning it as more highly valued compared to industry peers.
Now trade stocks online commission free with Charles Schwab, a trusted and complete investment firm.
Unmasking the Significance of Insider Transactions Insider transactions shouldn't be used primarily to make an investing decision, however, they can be an important factor for an investor to consider.
From a legal standpoint, the term "insider" pertains to any officer, director, or beneficial owner holding more than ten percent of a company's equity securities as outlined in Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and significant hedge funds. These insiders are mandated to inform the public of their transactions through a Form 4 filing, to be submitted within two business days of the transaction.
A company insider's new purchase is a indicator of their positive anticipation for a rise in the stock.
While insider sells may not necessarily reflect a bearish view and can be motivated by various factors.
Navigating the World of Insider Transaction Codes Investors prefer focusing on transactions that take place in the open market, indicated in Table I of the Form 4 filing. A P in Box 3 indicates a purchase, while S indicates a sale. Transaction code C indicates the conversion of an option, and transaction code A indicates grant, award or other acquisition of securities from the company.
Check Out The Full List Of Zurn Elkay Water's Insider Trades.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.