Chairman At World Kinect Sells $1.65M Of Stock

MICHAEL KASBAR, Chairman at World Kinect WKC, reported an insider sell on August 21, according to a new SEC filing.

What Happened: KASBAR's recent Form 4 filing with the U.S. Securities and Exchange Commission on Wednesday unveiled the sale of 58,948 shares of World Kinect. The total transaction value is $1,645,828.

At Thursday morning, World Kinect shares are down by 0.0%, trading at $27.73.

Unveiling the Story Behind World Kinect

World Kinect Corp is a energy management company involved in providing supply fulfillment, energy procurement advisory services, and transaction and payment management solutions to commercial and industrial customers . It sells and delivers liquid fuels, natural gas, electricity, renewable energy, and other sustainability solutions. Company operate in three reportable segments consisting of aviation, land, and marine. Company earn majority of revenue from Aviation segment.

World Kinect's Financial Performance

Revenue Growth: World Kinect's revenue growth over a period of 3 months has faced challenges. As of 30 June, 2024, the company experienced a revenue decline of approximately -0.14%. This indicates a decrease in the company's top-line earnings. When compared to others in the Energy sector, the company excelled with a growth rate higher than the average among peers.

Evaluating Earnings Performance:

• Gross Margin: The company shows a low gross margin of 2.24%, suggesting potential challenges in cost control and profitability compared to its peers.

• Earnings per Share (EPS): World Kinect's EPS is significantly higher than the industry average. The company demonstrates a robust bottom-line performance with a current EPS of 1.81.

Debt Management: World Kinect's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.43.

Exploring Valuation Metrics Landscape:

• Price to Earnings (P/E) Ratio: A higher-than-average P/E ratio of 12.22 suggests caution, as the stock may be overvalued in the eyes of investors.

• Price to Sales (P/S) Ratio: With a lower-than-average P/S ratio of 0.04, 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): At 5.33, the company's EV/EBITDA ratio outperforms industry norms, reflecting positive market perception. This positioning indicates optimistic expectations for the company's future performance.

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

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Exploring the Significance of Insider Trading

Insider transactions shouldn't be used primarily to make an investing decision, however an insider transaction can be an important factor in the investing decision.

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.

Cracking Transaction Codes

Surveying the realm of stock transactions, investors often give prominence to those unfolding in the open market, systematically detailed in Table I of the Form 4 filing. A P in Box 3 indicates a purchase, while S signifies a sale. Transaction code C denotes 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 World Kinect's Insider Trades.

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