President of Tutor Perini Corp (NYSE:TPC), Gary G. Smalley, has sold a total of $508,196 worth of company stock, according to recent SEC filings. The transactions occurred over two consecutive days, with shares being sold at prices ranging from $12.30 to $12.80.
On March 14, 2024, Smalley sold 20,303 shares of common stock at an average price of $12.40 per share. The following day, he sold an additional 20,304 shares for an average price of $12.63 per share. These sales resulted in a combined total of 40,607 shares sold by the president of the construction firm.
The SEC filing included footnotes indicating that the prices reported were weighted averages, with the actual sales occurring at various prices within the stated ranges. Smalley has committed to providing further details regarding the number of shares sold at each price upon request.
After these transactions, Smalley still holds a substantial number of shares in Tutor Perini Corp. Following the March 14 sale, his holdings were at 160,507 shares, and after the March 15 sale, they decreased to 140,203 shares.
The SEC filing also disclosed that on March 13, 2024, Smalley was granted 172,048 phantom stock units, which are cash-settled based on the closing price of Tutor Perini's common stock on the vesting date. These units are set to vest over the next three years, contingent upon his continued employment with the company.
Investors often monitor insider selling and buying as it can provide insights into executives' confidence in the company's future performance. With significant transactions like these, the market keeps a close eye on the movements of company insiders.
InvestingPro Insights
As Tutor Perini Corp (NYSE:TPC) sees its president, Gary G. Smalley, offload a significant amount of stock, investors are keen to understand the underlying value and performance metrics of the company. According to InvestingPro, Tutor Perini's market capitalization stands at a modest $662.8 million, which may reflect its niche positioning within the construction industry.
Despite recent insider selling, InvestingPro Tips suggest that net income for Tutor Perini is expected to grow this year, which could signal future potential for the stock. Furthermore, the company is currently trading at a low Price / Book multiple of 0.52, indicating that the stock may be undervalued relative to the company's book value. This could present an attractive entry point for value investors.
From a financial health perspective, Tutor Perini's liquid assets exceed its short-term obligations, providing a cushion for operational uncertainties. However, it's worth noting that the company has been grappling with weak gross profit margins, standing at 3.62% for the last twelve months as of Q1 2023. This could be a point of concern for profitability and margin improvement moving forward.
For those looking to delve deeper into Tutor Perini's financials and stock performance, InvestingPro offers additional insights. There are more InvestingPro Tips available on the platform, and with the promo code PRONEWS24, readers can get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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