Barrett Bus Servs President & CEO Trades $1.23M In Company Stock

Gary Kramer, President & CEO at Barrett Bus Servs BBSI, disclosed an insider sell on August 21, according to a recent SEC filing.

What Happened: Kramer's decision to sell 35,093 shares of Barrett Bus Servs was revealed in a Form 4 filing with the U.S. Securities and Exchange Commission on Wednesday. The total value of the sale is $1,230,018.

Barrett Bus Servs shares are trading down 0.0% at $35.02 at the time of this writing on Thursday morning.

Unveiling the Story Behind Barrett Bus Servs

Barrett Business Services Inc is a provider of payroll administrative services and staffing services. The company categories of services include professional employer services and staffing. Professional employer services offer payroll management, payroll tax services, and workers' compensation coverage solutions, as well as workforce management services, including hiring and termination of employees. Staffing offers temporary staffing services, as well as contract staffing, long-term or indefinite on-site management, and direct placement services. The company operates in the United States of America. It generates maximum revenue from the Professional employer service fees.

Financial Milestones: Barrett Bus Servs's Journey

Revenue Growth: Barrett Bus Servs displayed positive results in 3 months. As of 30 June, 2024, the company achieved a solid revenue growth rate of approximately 5.68%. This indicates a notable increase 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 Industrials sector.

Interpreting Earnings Metrics:

• Gross Margin: The company shows a low gross margin of 24.28%, indicating concerns regarding cost management and overall profitability relative to its industry counterparts.

• Earnings per Share (EPS): Barrett Bus Servs's EPS is a standout, portraying a positive bottom-line trend that exceeds the industry average with a current EPS of 0.64.

Debt Management: Barrett Bus Servs's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.11.

Exploring Valuation Metrics Landscape:

• Price to Earnings (P/E) Ratio: Barrett Bus Servs's P/E ratio of 19.16 is below the industry average, suggesting the stock may be undervalued.

• Price to Sales (P/S) Ratio: The Price to Sales ratio is 0.86, which is lower than the industry average. This suggests a possible undervaluation based on sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): With a below-average EV/EBITDA ratio of 11.15, Barrett Bus Servs presents an opportunity for value investors. This lower valuation may attract investors seeking undervalued opportunities.

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Now trade stocks online commission free with Charles Schwab, a trusted and complete investment firm.

Why Insider Transactions Are Important

While insider transactions provide valuable information, they should be part of a broader analysis in making investment decisions.

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.

The Insider's Guide to Important Transaction Codes

Delving into transactions, investors typically prioritize those unfolding in the open market, as precisely 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 Barrett Bus Servs's Insider Trades.

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