WINONA, MN—Nicholas J. Lundquist, a director at Fastenal Co (NASDAQ:FAST), reported selling shares valued at approximately $1.74 million, according to a recent SEC filing. The transactions, dated October 15, involved the sale of 22,532 shares of common stock at prices ranging from $77.0564 to $77.2606 per share.
In addition to the sales, Lundquist executed multiple stock option exercises, acquiring a total of 22,532 shares at prices between $23.50 and $64.00, with a total value of $903,155. Following these transactions, Lundquist holds 426,000 shares directly. An additional 17,488 shares are maintained in his self-directed IRA, as noted in the filing.
These transactions are part of routine financial activities by company insiders and are closely monitored by investors for potential insights into the company's performance and insider sentiment. Fastenal Co, a major player in the retail-building materials and hardware sector, continues to be a stock of interest on the NASDAQ exchange.
In other recent news, Fastenal Company (NASDAQ:FAST) reported a 3.5% increase in net sales and a 1% rise in earnings per share to $0.52 in its Q3 2024 earnings call. The industrial supply company's daily sales rate grew by 1.9%, despite disruptions from Hurricane Helene. The company also signed 93 new Onsite locations, increasing active sites by 12%, and saw a 25.5% rise in eCommerce sales, which accounted for 61.1% of total sales. Investment firms Loop Capital, Baird, and Stephens have recently raised their price targets for Fastenal to $72, $80, and $75 respectively, maintaining neutral ratings. Fastenal aims to reach between 375 and 400 active Onsite locations and projects a stable fourth quarter performance. The company anticipates lower capital expenditures in 2025 compared to the current $250 million run rate and has set a target of $10 billion in future revenue, with plans to add $1 billion annually. These strategies will be outlined in an Analyst Day scheduled for April.
InvestingPro Insights
Fastenal Co's recent insider transaction aligns with several key metrics and trends highlighted by InvestingPro. The company's stock has shown significant momentum, with InvestingPro data revealing a 11.12% price total return over the past week and a 33.36% return over the last year. This upward trajectory has brought Fastenal's stock to 98.68% of its 52-week high, suggesting strong market confidence.
An InvestingPro Tip indicates that Fastenal is trading at a high earnings multiple, which is corroborated by the current P/E ratio of 38.48. This valuation reflects investor optimism about the company's future prospects, possibly influenced by its consistent performance and dividend history. Another InvestingPro Tip notes that Fastenal has maintained dividend payments for 32 consecutive years, underscoring its financial stability and commitment to shareholder returns.
Despite the high valuation, Fastenal's financials appear robust. The company reported a revenue of $7.48 billion in the last twelve months as of Q3 2024, with a healthy gross profit margin of 45.23%. These figures suggest that Fastenal continues to perform well in the retail-building materials and hardware sector.
For investors seeking a more comprehensive analysis, InvestingPro offers 13 additional tips that could provide deeper insights into Fastenal's financial health and market position.
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