Benzinga - by Benzinga Insights, Benzinga Staff Writer.
A significant insider buy by JOSEPH RIGBY, Board Member at Dominion Energy (NYSE:D), was executed on May 8, and reported in the recent SEC filing.
What Happened: RIGBY made a significant move by purchasing 3,812 shares of Dominion Energy as reported in a Form 4 filing with the U.S. Securities and Exchange Commission. The transaction's total worth stands at $195,974.
At Thursday morning, Dominion Energy shares are up by 1.19%, trading at $52.77.
All You Need to Know About Dominion Energy Based in Richmond, Virginia, Dominion Energy is an integrated energy company with over 30 gigawatts of electric generation capacity and more than 90,000 miles of electric transmission and distribution lines. Dominion is constructing a rate-regulated 5.2 GW wind farm off the Virginia Beach coast.
Key Indicators: Dominion Energy's Financial Health Revenue Growth: Dominion Energy's revenue growth over a period of 3 months has faced challenges. As of 31 March, 2024, the company experienced a revenue decline of approximately -6.46%. This indicates a decrease in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Utilities sector.
Analyzing Profitability Metrics:
- Gross Margin: The company excels with a remarkable gross margin of 46.39%, indicating superior cost efficiency and profitability compared to its industry peers.
- Earnings per Share (EPS): Dominion Energy's EPS is below the industry average. The company faced challenges with a current EPS of 0.78. This suggests a potential decline in earnings.
Analyzing Market Valuation:
- Price to Earnings (P/E) Ratio: Dominion Energy's P/E ratio of 22.58 is below the industry average, suggesting the stock may be undervalued.
- Price to Sales (P/S) Ratio: The current P/S ratio of 3.09 is above industry norms, reflecting an elevated valuation for Dominion Energy's stock and potential overvaluation based on sales performance.
- EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): With an impressive EV/EBITDA ratio of 13.55, Dominion Energy demonstrates exemplary market valuation, surpassing industry averages.
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Why Insider Activity Matters in Finance Investors should view insider transactions as part of a multifaceted analysis and not rely solely on them for decision-making.
In the context of legal matters, the term "insider" refers to any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, as outlined by Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and significant hedge funds. Such insiders are obligated to report their transactions through a Form 4 filing, which must be completed within two business days of the transaction.
Pointing towards optimism, a company insider's new purchase signals their positive anticipation for the stock to rise.
Despite insider sells not always signaling a bearish sentiment, they can be driven by various factors.
Deciphering Transaction Codes in Insider Filings Navigating through the landscape of transactions, investors often prioritize those unfolding in the open market, precisely detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.
Check Out The Full List Of Dominion Energy's Insider Trades.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
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