Bullish Move: Matthew J Gould Shows Confidence, Acquires $360K In BRT Apartments Stock

Matthew J Gould, Senior Vice President at BRT Apartments BRT, reported an insider buy on March 27, according to a new SEC filing.

What Happened: Gould made a significant move by purchasing 22,214 shares of BRT Apartments as reported in a Form 4 filing with the U.S. Securities and Exchange Commission. The transaction's total worth stands at $360,842.

BRT Apartments's shares are actively trading at $16.77, experiencing a up of 1.95% during Thursday's morning session.

Delving into BRT Apartments's Background

BRT Apartments Corp is a real estate investment trust company. The company is primarily focused on the ownership, operation, and development of multi-family properties. BRT also owns and operates other real estate assets. All of the Company's assets are comprised of multi-family real estate assets generally leased to tenants on a one-year basis.

A Deep Dive into BRT Apartments's Financials

Positive Revenue Trend: Examining BRT Apartments's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 3.51% as of 31 December, 2023, showcasing a substantial increase in top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Real Estate sector.

Holistic Profitability Examination:

• Gross Margin: The company issues a cost efficiency warning with a low gross margin of 56.37%, indicating potential difficulties in maintaining profitability compared to its peers.

• Earnings per Share (EPS): BRT Apartments's EPS lags behind the industry average, indicating concerns and potential challenges with a current EPS of -0.14.

Debt Management: BRT Apartments's debt-to-equity ratio stands notably higher than the industry average, reaching 2.01. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

Insights into Valuation Metrics:

• Price to Earnings (P/E) Ratio: With a higher-than-average P/E ratio of 102.81, BRT Apartments's stock is perceived as being overvalued in the market.

• Price to Sales (P/S) Ratio: The P/S ratio of 3.15 is lower than the industry average, implying a discounted valuation for BRT Apartments's stock in relation to sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): A high EV/EBITDA ratio of 13.21 reflects market recognition of BRT Apartments's value, positioning it as more highly valued compared to industry peers.

Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.

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Why Insider Activity Matters in Finance

Insider transactions are not the sole determinant of investment choices, but they are a factor worth considering.

From a legal standpoint, the term "insider" pertains to any officer, director, or beneficial owner holding more than ten percent of a company's equity securities as outlined in Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and significant hedge funds. These insiders are mandated to inform the public of their transactions through a Form 4 filing, to be submitted within two business days of the transaction.

A company insider's new purchase is a indicator of their positive anticipation for a rise in the stock.

While insider sells may not necessarily reflect a bearish view and can be motivated by various factors.

Exploring Key Transaction Codes

Examining transactions, investors often concentrate on those unfolding in the open market, meticulously 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 indicates 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 BRT Apartments's Insider Trades.

This article was generated by Benzinga's automated content engine and reviewed by an editor.