Chemed Corporation (NYSE:CHE), a company specializing in home health care services, has reported a significant transaction by one of its top executives. Brian C. Judkins, the company's Vice President and Chief Legal Officer, sold a total of 11,158 shares of capital stock on March 20, 2024, at an average price of $645.00, resulting in a transaction valued at approximately $7.2 million.
The sale was disclosed in a regulatory filing where the prices of the shares sold ranged from $642.00 to $649.00. Judkins has committed to provide further details on the exact number of shares sold at each price point upon request.
Prior to this sale, Judkins also acquired shares through option exercises, with a total value of approximately $5.3 million. The acquisition prices for these shares varied between $413.19 and $471.74. The transactions resulted in an increase in his direct ownership of Chemed Corp shares, followed by the substantial sale noted above.
Following the sale, Judkins's direct ownership in the company has decreased, but he still maintains a significant stake. It's worth noting that these transactions are part of the standard disclosure requirements for company insiders and can be indicative of their confidence in the company's future performance.
Investors often monitor such insider transactions for insights into the perspectives of high-ranking officials within the company. However, it's important to consider a range of factors when evaluating the potential impact of insider trades on investment decisions.
Chemed Corp has not made any additional comments regarding these transactions.
InvestingPro Insights
Chemed Corporation (NYSE:CHE), recently witnessed a notable insider transaction, which can often provide deeper insights into a company's financial health and future prospects. According to InvestingPro data, Chemed has a market capitalization of approximately $9.7 billion, with a P/E ratio of 35.44 as of the last twelve months ending in Q4 2023. Despite this relatively high earnings multiple, the company's revenue growth has been steady, reporting a 6.06% increase over the last twelve months.
One of the key InvestingPro Tips for Chemed is its commendable track record of raising dividends, having done so for 15 consecutive years. This is a strong signal of the company's financial stability and its commitment to returning value to shareholders. Additionally, the company has maintained dividend payments for a remarkable 54 consecutive years, further emphasizing its robust financial management practices. For investors seeking steady income, these attributes could be particularly reassuring.
Another InvestingPro Tip highlights that three analysts have revised their earnings estimates upwards for the upcoming period. This consensus move could suggest a positive outlook on the company's future earnings potential, which might be a factor for investors to consider when assessing the company's stock performance and the recent insider selling activity.
For those interested in a deeper dive into Chemed's financials and additional expert analysis, InvestingPro offers a comprehensive set of tips. In fact, there are 16 more InvestingPro Tips available for Chemed, which can be accessed by visiting their website. To sweeten the deal, investors can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, providing even more value for those looking to make informed investment decisions.
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