Harte Hanks Inc. (NYSE:NASDAQ:HHS) reported that its Chief Financial Officer, David A. Garrison, acquired 4,125 shares of the company's common stock on May 13, 2024. The transaction was executed at an average price of $7.20 per share, amounting to a total investment of $29,700.
This purchase by the CFO is a direct acquisition, as noted in the latest SEC filing. The shares were bought and are now held in a participant's retirement account. This detail suggests a long-term perspective on the investment, as retirement accounts typically indicate a buy-and-hold strategy.
Investors often monitor insider transactions such as these, as they can provide insights into the executive's confidence in the company's future prospects. The acquisition by Garrison might be interpreted as a positive signal regarding Harte Hanks' financial health and future performance.
Harte Hanks, with its headquarters in San Antonio, Texas, specializes in direct mail advertising services and is well-known within the Trade & Services sector. The company, incorporated in Delaware, has a history that dates back to its former names as Harte Hanks Communications Inc and Harte Hanks Newspapers Inc.
The filing did not include any sales of stock, and therefore, no sales transactions were reported. Investors will continue to watch for further insider transactions that could indicate trends or shifts in the company's internal sentiment.
InvestingPro Insights
In light of the recent insider purchase by Harte Hanks Inc.'s CFO, David A. Garrison, there are some noteworthy insights from InvestingPro that could be of interest to investors. The company's management has been actively engaging in share buybacks, an initiative that often reflects leadership's belief in the company's undervalued stock and a commitment to enhancing shareholder value. This aligns with Garrison's acquisition, potentially signaling management confidence in the firm's trajectory.
On the financial front, Harte Hanks has been trading at a low revenue valuation multiple, with a Price to Earnings (P/E) Ratio (adjusted for the last twelve months as of Q1 2024) of 19.96. This metric can be appealing to value-oriented investors looking for stocks trading at prices that are modest relative to their earnings. Additionally, the company's gross profit margin stands at 16.11% for the same period, which, while modest, indicates that the company is able to retain a portion of its revenue after accounting for the cost of goods sold.
From a market performance perspective, Harte Hanks has demonstrated a strong return over the last five years, with a 1 Year Price Total Return as of 2024 at 21.57%. This performance is a significant indicator of the company's ability to create shareholder value over time. Moreover, the company's stock generally trades with low price volatility, which might be attractive to investors seeking stability in their investments.
For investors seeking a deeper analysis and more InvestingPro Tips, there are additional insights available on the company's profile page on InvestingPro. Currently, there are 11 more tips that could help investors make a more informed decision regarding HHS. To access these insights and tips, use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
InvestingPro Data also reveals that the company's Market Cap stands at $50.61 million USD, and the Price, Previous Close was $6.99 USD. This data, combined with the insights above, provides a clearer picture of Harte Hanks' current market position and potential for future growth.
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