Insider Selling: Justin Clair Unloads $92K Of One Liberty Props Stock

On June 25, a recent SEC filing unveiled that Justin Clair, Executive Vice President at One Liberty Props OLP made an insider sell.

What Happened: A Form 4 filing with the U.S. Securities and Exchange Commission on Tuesday outlined that Clair executed a sale of 3,800 shares of One Liberty Props with a total value of $92,242.

At Wednesday morning, One Liberty Props shares are up by 0.26%, trading at $23.08.

All You Need to Know About One Liberty Props

One Liberty Properties Inc is a self-administered and self-managed real estate investment trust. It acquires, owns, and manages a geographically diversified portfolio of industrial, retail, restaurant, health and fitness, and theater properties. OLP owns hundred and ten properties, including three properties owned by consolidated joint ventures and two properties owned by unconsolidated joint ventures. The hundred and ten properties are located in thirty one states. The group generates the majority of its revenue in the form of rental income.

One Liberty Props's Economic Impact: An Analysis

Revenue Challenges: One Liberty Props's revenue growth over 3 months faced difficulties. As of 31 March, 2024, the company experienced a decline of approximately -1.12%. This indicates a decrease in top-line earnings. When compared to others in the Real Estate sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Profitability Metrics:

• Gross Margin: The company excels with a remarkable gross margin of 80.3%, indicating superior cost efficiency and profitability compared to its industry peers.

• Earnings per Share (EPS): With an EPS below industry norms, One Liberty Props exhibits below-average bottom-line performance with a current EPS of 0.24.

Debt Management: One Liberty Props's debt-to-equity ratio is below the industry average. With a ratio of 1.37, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

In-Depth Valuation Examination:

• Price to Earnings (P/E) Ratio: The Price to Earnings ratio of 16.93 is lower than the industry average, indicating potential undervaluation for the stock.

• Price to Sales (P/S) Ratio: With a relatively high Price to Sales ratio of 5.24 as compared to the industry average, the stock might be considered overvalued based on sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): One Liberty Props's EV/EBITDA ratio, lower than industry averages at 11.75, 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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Illuminating the Importance of Insider Transactions

Investors should view insider transactions as part of a multifaceted analysis and not rely solely on them for decision-making.

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.

Deciphering Transaction Codes in Insider Filings

When analyzing transactions, investors tend to focus on those in the open market, 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 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 One Liberty Props's Insider Trades.

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