AL ET JEFFREY GENDELL, Chief Executive Officer at IES Hldgs IESC, executed a substantial insider sell on September 16, according to an SEC filing.
What Happened: A Form 4 filing with the U.S. Securities and Exchange Commission on Monday outlined that GENDELL executed a sale of 150,000 shares of IES Hldgs with a total value of $23,918,699.
Monitoring the market, IES Hldgs's shares up by 0.48% at $161.02 during Tuesday's morning.
Get to Know IES Hldgs Better
IES Holdings Inc owns and manages subsidiaries that design and installs integrated electrical and technology systems and provide infrastructure products and services. It has four business segments; Communications, Residential, Infrastructure Solutions and Commercial & Industrial. Majority of the revenue for the company is generated from its Residential segment in which the company provides electrical installation services for single-family housing and multi-family apartment complexes, as well as heating, ventilation and air conditioning (HVAC) and plumbing installation services. Through this segment it also provides services for the installation of residential solar power, both for new construction and existing residences.
Financial Insights: IES Hldgs
Revenue Growth: IES Hldgs's revenue growth over a period of 3 months has been noteworthy. As of 30 June, 2024, the company achieved a revenue growth rate of approximately 31.48%. This indicates a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Industrials sector.
Profitability Metrics:
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Gross Margin: Achieving a high gross margin of 25.35%, the company performs well in terms of cost management and profitability within its sector.
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Earnings per Share (EPS): IES Hldgs's EPS is notably higher than the industry average. The company achieved a positive bottom-line trend with a current EPS of 2.71.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.07.
Valuation Metrics:
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Price to Earnings (P/E) Ratio: With a lower-than-average P/E ratio of 18.85, the stock indicates an attractive valuation, potentially presenting a buying opportunity.
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Price to Sales (P/S) Ratio: With a P/S ratio of 1.19 below industry standards, the stock shows potential undervaluation, making it an appealing investment option for those focusing on sales performance.
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EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): IES Hldgs's EV/EBITDA ratio, lower than industry averages at 10.17, indicates attractively priced shares.
Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.
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Delving Into the Significance of Insider Transactions
Insider transactions, although significant, should be considered within the larger context of market analysis and trends.
Considering the legal perspective, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, according to 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.
Pointing towards optimism, a company insider's new purchase signals their positive anticipation for the stock to rise.
Nevertheless, insider sells may not necessarily indicate a bearish view and can be influenced by various factors.
Exploring Key Transaction Codes
When dissecting transactions, the focal point for investors is often those occurring 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 IES Hldgs's Insider Trades.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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