Executives at Forager Fund, L.P., a significant shareholder in Willdan Group , Inc. (NASDAQ:WLDN), have recently sold a substantial number of shares in the engineering services company. The transactions, which took place over a series of days, resulted in the sale of company stock totaling approximately $584,586.
The sales occurred between June 11 and June 13, with prices for the shares ranging from $30.2324 to $31.311. On June 11, a total of 10,000 shares were sold at an average price of $30.2324, with the sales conducted in multiple transactions at prices from $30.10 to $30.41. The following day, 7,941 shares changed hands at an average price of $31.311, with individual sales prices ranging from $31.10 to $31.59. The final batch of sales on June 13 involved 1,100 shares at an average price of $30.5652, with the transactions occurring at prices between $30.51 and $30.75.
The sellers, identified as Forager Fund, L.P., and its principals, Robert Symmes MacArthur and Edward Urban Kissel, are reported to have shared authority to vote and dispose of the shares on behalf of the fund. Following these transactions, the ownership stakes of the reporting individuals have been adjusted. It's important to note that each of the reporting individuals has disclaimed beneficial ownership of the shares sold except to the extent of their pecuniary interest therein.
Willdan Group, Inc., headquartered in Anaheim, California, specializes in engineering services and has been a part of the portfolios of various institutional and individual investors. The recent sales by Forager Fund executives represent a notable change in their investment in the company, and such moves are closely watched by market participants for indications of an insider's perspective on the company's prospects.
Investors and analysts often scrutinize insider transactions as they can provide insights into the executives' confidence in the company's future performance. However, it is also common for insiders to sell shares for reasons unrelated to their outlook on the company, such as portfolio diversification or personal financial planning.
The executives at Forager Fund have fulfilled their obligation to report these transactions to the Securities and Exchange Commission, providing transparency into their trading activities regarding Willdan Group, Inc. shares.
In other recent news, Willdan Group Inc. has reported a robust growth in the first quarter of fiscal year 2024, with a 19% increase in revenue to $123 million and a 12% rise in adjusted EBITDA to $11 million. The company also saw a significant 56% increase in cash flow from operations, reaching $27 million. Key sectors such as government and utility showed strong performance, and there was a marked increase in demand for services in the data center sector, particularly due to the rising electricity load from artificial intelligence processing.
Willdan Group is actively seeking strategic acquisitions to bolster its capabilities and remains confident about meeting its full-year financial targets, which include a net revenue of $270 million to $280 million and adjusted EBITDA of $48 million to $50 million. While there were no specific misses mentioned in the earnings call summary, the company did not disclose revenue numbers for two software sales made during the quarter. The company is also increasing its hiring efforts to support anticipated growth and is working towards operating more efficiently and reducing DSO levels. These recent developments suggest a positive trajectory for Willdan Group.
InvestingPro Insights
As investors assess the recent insider sales at Willdan Group, Inc. (NASDAQ:WLDN), it's beneficial to consider the company's financial health and market performance. InvestingPro data provides a snapshot of Willdan's current situation:
- The company's market capitalization stands at $417.97 million, reflecting its valuation within the engineering services sector.
- Willdan's Price-to-Earnings (P/E) ratio is currently 31.56, suggesting that investors are willing to pay a premium for its earnings compared to the broader market.
- Over the last twelve months leading up to Q1 2024, Willdan has experienced robust revenue growth of 20.48%, indicating a solid expansion in its business operations.
InvestingPro Tips reveal several positive aspects of Willdan's performance and outlook:
1. Analysts forecast that net income is expected to grow this year, which could signal improving profitability and potentially justify the company's higher earnings multiple.
2. Willdan has demonstrated a strong return over the last three months, with a price total return of 15.76%, and an even more impressive six-month price total return of 50.07%.
These metrics and tips, available in greater detail on InvestingPro, may offer investors a deeper understanding of Willdan's financial trajectory and market sentiment. For those seeking additional insights, there are 10 more InvestingPro Tips available at https://www.investing.com/pro/WLDN. Use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, enhancing your investment research with valuable, real-time data and analysis.
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