Acushnet Hldgs President and CEO Trades $155K In Company Stock

A significant insider buy by Eugene David Maher, President and CEO at Acushnet Hldgs GOLF, was executed on December 26, and reported in the recent SEC filing.

What Happened: A Form 4 filing with the U.S. Securities and Exchange Commission on Thursday unveiled that Maher made a notable purchase of 2,230 shares of Acushnet Hldgs, valuing at $155,921.

Tracking the Friday's morning session, Acushnet Hldgs shares are trading at $71.9, showing a up of 0.57%.

Discovering Acushnet Hldgs: A Closer Look

Acushnet Holdings Corp is engaged in the design, development, manufacture, and distribution of golf products. Its product category includes golf balls, golf shoes, golf clubs, wedges, putters, golf gloves, golf gear and golf wear, of which key revenue is derived from the sales of golf balls and golf gloves. The operating segments of the company are Titleist golf balls, Titleist golf clubs, Titleist golf gear and FootJoy golf wear. Geographically, the company operates in the United States, EMEA, Japan, Korea and other countries, of which a majority of the revenue is generated from the operations in the United States.

Understanding the Numbers: Acushnet Hldgs's Finances

Positive Revenue Trend: Examining Acushnet Hldgs's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 4.57% as of 30 September, 2024, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Consumer Discretionary sector.

Key Insights into Profitability Metrics:

• Gross Margin: Achieving a high gross margin of 54.37%, the company performs well in terms of cost management and profitability within its sector.

• Earnings per Share (EPS): Acushnet Hldgs's EPS is a standout, portraying a positive bottom-line trend that exceeds the industry average with a current EPS of 0.89.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 0.85, caution is advised due to increased financial risk.

Analyzing Market Valuation:

• Price to Earnings (P/E) Ratio: The current P/E ratio of 23.83 is below industry norms, indicating potential undervaluation and presenting an investment opportunity.

• Price to Sales (P/S) Ratio: A higher-than-average P/S ratio of 1.9 suggests overvaluation in the eyes of investors, considering sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): Boasting an EV/EBITDA ratio of 14.66, Acushnet Hldgs demonstrates a robust market valuation, outperforming industry benchmarks.

Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.

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The Impact of Insider Transactions on Investments

Insider transactions, although significant, should be considered within the larger context of market analysis and trends.

In legal terms, an "insider" refers to any officer, director, or beneficial owner of more than ten percent of a company's equity securities registered under Section 12 of the Securities Exchange Act of 1934. This can include executives in the c-suite and large hedge funds. These insiders are required to let the public know of their transactions via a Form 4 filing, which must be filed within two business days of the transaction.

When a company insider makes a new purchase, that is an indication that they expect the stock to rise.

Insider sells, on the other hand, can be made for a variety of reasons, and may not necessarily mean that the seller thinks the stock will go down.

A Closer Look at Important 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 Acushnet Hldgs's Insider Trades.

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