Eye On Growth: Fredrick DiSanto Adds $55K Of Eastern Stock To Portfolio

Fredrick DiSanto, Director at Eastern EML, reported an insider buy on May 21, according to a new SEC filing.

What Happened: DiSanto demonstrated confidence in Eastern by purchasing 2,396 shares, as reported in a Form 4 filing with the U.S. Securities and Exchange Commission on Wednesday. The total value of the transaction is $55,993.

As of Thursday morning, Eastern shares are down by 0.0%, currently priced at $23.15.

All You Need to Know About Eastern

The Eastern Co manages industrial businesses that design, manufacture, and sell engineered solutions to industrial markets. The company manages the financial, operational, and strategic performance of its businesses to increase cash generation, operating earnings, and long-term shareholder value. It operates in the United States and Other Countries and generates the majority of its revenue from the United States.

Key Indicators: Eastern's Financial Health

Revenue Growth: Eastern's revenue growth over a period of 3 months has faced challenges. As of 31 March, 2025, the company experienced a revenue decline of approximately -2.03%. This indicates a decrease 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.

Holistic Profitability Examination:

• Gross Margin: With a low gross margin of 22.41%, the company exhibits below-average profitability, signaling potential struggles in cost efficiency compared to its industry peers.

• Earnings per Share (EPS): Eastern's EPS is a standout, portraying a positive bottom-line trend that exceeds the industry average with a current EPS of 0.32.

Debt Management: With a high debt-to-equity ratio of 0.52, Eastern faces challenges in effectively managing its debt levels, indicating potential financial strain.

Evaluating Valuation:

• Price to Earnings (P/E) Ratio: With a lower-than-average P/E ratio of 11.02, the stock indicates an attractive valuation, potentially presenting a buying opportunity.

• Price to Sales (P/S) Ratio: With a lower-than-average P/S ratio of 0.53, 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): With an EV/EBITDA ratio lower than industry benchmarks at 7.81, Eastern presents an attractive value opportunity.

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

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Why Pay Attention to Insider Transactions

Insider transactions shouldn't be used primarily to make an investing decision, however, they can be an important factor for an investor to consider.

Exploring the legal landscape, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, as stipulated by Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and major hedge funds. These insiders are required to report their transactions through a Form 4 filing, which must be submitted within two business days of the transaction.

Highlighted by a company insider's new purchase, there's a positive anticipation for the stock to rise.

But, insider sells may not necessarily indicate a bearish view and can be motivated by various factors.

Navigating the World of Insider 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 Eastern's Insider Trades.

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