Sell Alert: Daniel J Weber Cashes Out $240K In TTM Technologies Stock

Daniel J Weber, EVP at TTM Technologies TTMI, executed a substantial insider sell on August 15, according to an SEC filing.

What Happened: After conducting a thorough analysis, Weber sold 13,000 shares of TTM Technologies. This information was disclosed in a Form 4 filing with the U.S. Securities and Exchange Commission on Thursday. The total transaction value is $240,500.

In the Thursday's morning session, TTM Technologies's shares are currently trading at $18.23, experiencing a down of 0.0%.

About TTM Technologies

TTM Technologies Inc manufactures technology solutions, including mission systems, radio frequency (RF) components/RF microwave/microelectronic assemblies, quick-turn and technologically printed circuit boards (PCB). The company is based in the United States and derives roughly half of its revenue domestically. The company organizes itself into two segments: printed circuit boards and RF&S Components. The printed circuit boards segment, which contributes the majority of revenue, offers a range of printed circuit boards as well as layout design and simulation, and testing services. TTM Technologies' products are used in manufacturing, networking, telecommunications, computing, aerospace, and medical fields.

Financial Milestones: TTM Technologies's Journey

Positive Revenue Trend: Examining TTM Technologies's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 10.73% as of 30 June, 2024, showcasing a substantial increase in top-line earnings. When compared to others in the Information Technology sector, the company excelled with a growth rate higher than the average among peers.

Profitability Metrics: Unlocking Value

• Gross Margin: The company sets a benchmark with a high gross margin of 19.37%, reflecting superior cost management and profitability compared to its peers.

• Earnings per Share (EPS): TTM Technologies's EPS is below the industry average. The company faced challenges with a current EPS of 0.26. This suggests a potential decline in earnings.

Debt Management: TTM Technologies's debt-to-equity ratio stands notably higher than the industry average, reaching 0.66. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

Market Valuation:

• Price to Earnings (P/E) Ratio: With a higher-than-average P/E ratio of 113.94, TTM Technologies's stock is perceived as being overvalued in the market.

• Price to Sales (P/S) Ratio: The P/S ratio of 0.81 is lower than the industry average, implying a discounted valuation for TTM Technologies's stock in relation to sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): TTM Technologies's EV/EBITDA ratio, lower than industry averages at 9.82, indicates attractively priced shares.

Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.

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Uncovering the Importance of Insider Activity

It's important to note that insider transactions alone should not dictate investment decisions, but they can provide valuable insights.

Within the legal framework, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities as per Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are mandated to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.

The initiation of a new purchase by a company insider serves as a strong indication that they expect the stock to rise.

However, insider sells may not always signal a bearish view and can be influenced by various factors.

Important 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 TTM Technologies's Insider Trades.

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