Insider Decision: Maxim Shishin Exercises Options At CorVel For $729K

A significant insider transaction involving the exercise of company stock options was reported on August 22, by Maxim Shishin, Chief Information Officer at CorVel CRVL, as per the latest SEC filing.

What Happened: Disclosed in a Form 4 filing on Friday with the U.S. Securities and Exchange Commission, Shishin, Chief Information Officer at CorVel, executed a strategic derivative sale. This involved exercising stock options for 12,000 shares of CRVL, resulting in a transaction value of $729,960.

The Friday morning update indicates CorVel shares down by 0.0%, currently priced at $90.06. At this value, Shishin's 12,000 shares are worth $729,960.

Unveiling the Story Behind CorVel

CorVel Corp applies technology including artificial intelligence, machine learning, and natural language processing to enhance the managing of episodes of care and the related health care costs. It partners with employers, third-party administrators, insurance companies, and government agencies in managing worker's compensation and health, auto, and liability services. The company's solutions combine integrated technologies with a human touch providing services that include claims management, bill review, preferred provider networks, utilization management, case management, pharmacy services, directed care, and medicare services.

CorVel: Delving into Financials

Revenue Growth: CorVel's remarkable performance in 3 months is evident. As of 30 June, 2025, the company achieved an impressive revenue growth rate of 10.86%. This signifies a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Health Care sector.

Holistic Profitability Examination:

• Gross Margin: The company shows a low gross margin of 24.18%, indicating concerns regarding cost management and overall profitability relative to its industry counterparts.

• Earnings per Share (EPS): CorVel's EPS is below the industry average, signaling challenges in bottom-line performance with a current EPS of 0.53.

Debt Management: CorVel's debt-to-equity ratio is below the industry average at 0.08, reflecting a lower dependency on debt financing and a more conservative financial approach.

Valuation Metrics:

• Price to Earnings (P/E) Ratio: The current P/E ratio of 46.66 is below industry norms, indicating potential undervaluation and presenting an investment opportunity.

• Price to Sales (P/S) Ratio: The current P/S ratio of 5.1 is above industry norms, reflecting an elevated valuation for CorVel's stock and potential overvaluation based on sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): At 28.06, 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 Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.

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Navigating the Impact of Insider Transactions on Investments

In the complex landscape of investment decisions, investors should approach insider transactions as part of a comprehensive analysis, considering various elements.

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.

Transaction Codes To Focus On

When it comes to 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 indicates 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 CorVel's Insider Trades.

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