Performance Food Group Co (NYSE:PFGC) has reported a significant stock transaction by one of its top executives. Patrick T. Hagerty, the company's Executive Vice President and Chief Commercial Officer, sold 8,000 shares of common stock at a weighted average price of $74.56 per share. The transaction, which took place on August 30, 2024, amounted to a total value of $596,480.
The sales were executed in multiple transactions, with prices ranging from $74.45 to $74.63 per share. Following the sale, Hagerty holds a total of 162,987 shares in the company, maintaining a substantial stake in Performance Food Group's future.
Investors and shareholders are often interested in the trading behavior of company insiders, as it can provide insights into their perspective on the company's current valuation and future prospects.
Performance Food Group, headquartered in Richmond, Virginia, is a leading distributor of food products, with a broad range of offerings that serve a variety of customer segments in the foodservice industry.
The transaction details, including the range of prices at which the shares were sold, are available to any interested party upon request, as per the footnote in the SEC filing. The company and its representatives are prepared to furnish full information regarding the number of shares sold at each individual price within the specified range.
This latest filing reflects the ongoing financial transactions by company executives and provides transparency to the market regarding insider trading activities.
In other recent news, Performance Food Group reported strong fourth-quarter results for fiscal year 2024, including a 10.5% year-over-year growth in EBITDA. The firm's management forecasts a similar growth trajectory for the coming year, despite challenges in the restaurant and convenience store industries. Piper Sandler and Truist Securities have both shown confidence in the company's potential, raising their price targets to $87 and $88 respectively, while maintaining positive ratings.
Performance Food Group's recent acquisition of Cheney Bros for $2.1 billion, along with the purchase of José Santiago, a foodservice distributor in Puerto Rico, played a significant role in these adjustments. These acquisitions, part of an ongoing expansion strategy, are expected to enhance EBITDA growth and contribute to a shift in sales and profit mix.
According to the firm's fiscal year 2025 guidance, net sales are projected to range between $60 billion and $61 billion, with adjusted EBITDA ranging from $1.6 billion to $1.7 billion. The company plans to drive growth through organic investments, share repurchases, and debt reduction. These recent developments highlight Performance Food Group's commitment to its growth strategy and financial performance.
InvestingPro Insights
Performance Food Group Co (NYSE:PFGC) is navigating an interesting point in its market trajectory, with executive-level stock transactions capturing investor attention. In light of Executive Vice President Patrick T. Hagerty's recent sale of shares, a deeper dive into the company's financial health and market position is warranted, as provided by InvestingPro insights.
InvestingPro Data reveals a market capitalization of $11.41 billion, underscoring the company's significant presence in the Consumer Staples Distribution & Retail industry. Its Price-to-Earnings (P/E) ratio stands at 26.06, suggesting a higher valuation relative to near-term earnings growth. This valuation is further highlighted by the adjusted P/E ratio for the last twelve months as of Q4 2024, which is 26.27.
Amidst these valuation metrics, Performance Food Group's revenue growth remains steady, with a 2.49% increase over the last twelve months as of Q4 2024, and a more robust quarterly growth of 5.69% in Q4 2024. This indicates a resilient performance in generating sales, which is a vital aspect for investors to consider.
InvestingPro Tips provide additional context to these figures. Notably, the company is trading at a low revenue valuation multiple, which could suggest an opportunity for investors looking at revenue-based valuations. Additionally, Performance Food Group's liquid assets have been reported to exceed its short-term obligations, reflecting a strong liquidity position that can be reassuring for stakeholders.
For those seeking further insights, there are additional InvestingPro Tips available, which provide a comprehensive analysis of Performance Food Group's financial and market position. These insights can be pivotal for investors trying to gauge the implications of insider trading activities and the company's overall investment potential.
It is also worth mentioning that Performance Food Group has been profitable over the last twelve months and analysts predict the company will maintain profitability this year. This is a key consideration for investors monitoring insider transactions like Hagerty's, as profitability often influences executive decisions to buy or sell shares.
For a more detailed analysis, including an extensive list of InvestingPro Tips, interested parties can explore the full suite of insights available for Performance Food Group at https://www.investing.com/pro/PFGC.
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