Benzinga - by Benzinga Insights, Benzinga Staff Writer.
Disclosed in the latest SEC filing, a significant insider purchase on March 1, involves RICHARD HANDLER, CEO at Jefferies Financial Gr (NYSE:JEF).
What Happened: HANDLER made a significant move by purchasing 90,790 shares of Jefferies Financial Gr as reported in a Form 4 filing with the U.S. Securities and Exchange Commission. The transaction's total worth stands at $3,745,995.
Jefferies Financial Gr shares are trading down 0.0% at $41.82 at the time of this writing on Friday morning.
Get to Know Jefferies Financial Gr Better Jefferies Financial Group Inc is a diversified financial services company. It has two reportable segments; Investment Banking and Capital Markets which is also the majority revenue generating segment, includes securities, commodities, corporate lending, futures and foreign exchange capital markets activities and its investment banking business, which provides underwriting and financial advisory services to clients across different sectors. The Asset Management reportable business segment provides alternative investment management services to investors in the U.S. and overseas and generates investment income from capital invested in and managed by it or its affiliated asset managers.
Understanding the Numbers: Jefferies Financial Gr's Finances Revenue Growth: Jefferies Financial Gr displayed positive results in 3 months. As of 30 November, 2023, the company achieved a solid revenue growth rate of approximately 8.9%. This indicates a notable increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Financials sector.
Analyzing Profitability Metrics:
- Gross Margin: Achieving a high gross margin of 62.72%, the company performs well in terms of cost management and profitability within its sector.
- Earnings per Share (EPS): Jefferies Financial Gr's EPS is below the industry average. The company faced challenges with a current EPS of 0.3. This suggests a potential decline in earnings.
Insights into Valuation Metrics:
- Price to Earnings (P/E) Ratio: Jefferies Financial Gr's current Price to Earnings (P/E) ratio of 38.02 is higher than the industry average, indicating that the stock may be overvalued according to market sentiment.
- Price to Sales (P/S) Ratio: With a lower-than-average P/S ratio of 1.33, the stock presents an attractive valuation, potentially signaling a buying opportunity for investors interested in sales performance.
- EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): With an EV/EBITDA ratio lower than industry averages at 5.12, Jefferies Financial Gr could be considered undervalued.
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Why Pay Attention to Insider Transactions While insider transactions should not be the sole basis for making investment decisions, they can play a significant role in an investor's decision-making process.
When discussing 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 stipulated in Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and significant hedge funds. Such insiders are required to report their transactions through a Form 4 filing, which must be completed within two business days of the transaction.
A new purchase by a company insider is a indication that they anticipate the stock will rise.
On the other hand, insider sells may not necessarily indicate a bearish view and can be motivated by various factors.
Exploring Key Transaction Codes Digging into the details of stock transactions, investors frequently turn their attention to those taking place in the open market, as outlined in Table I of the Form 4 filing. A P in Box 3 indicates 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 Jefferies Financial Gr's Insider Trades.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
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