Matrix Service Co (NASDAQ:MTRX) President and CEO John R. Hewitt has sold a portion of his company shares, according to a recent filing with the Securities and Exchange Commission. The transaction, which took place on March 20, 2024, involved the sale of 10,000 shares at an average price of $13.2502 per share, resulting in a total sale value of over $132,502.
The shares sold by Hewitt were part of the company's common stock, as indicated in the SEC filing. The sale was executed in multiple transactions, with prices ranging from $13.25 to $13.26. The provided price range represents a weighted average, and Hewitt has agreed to furnish detailed information about the number of shares sold at each price upon request.
Following the transaction, Hewitt continues to hold a substantial number of shares in the company. The filing notes that he retains ownership of 477,891 shares of Matrix Service Co common stock, which includes 358,535 shares owned outright.
The sale by the company's CEO is a notable transaction for investors keeping an eye on insider activity. Matrix Service Co, with its specialization in construction and special trade contracting, operates within the industrial sector and is incorporated in Delaware.
Investors and market watchers often look to insider sales and purchases as indicators of confidence in the company's performance and outlook. The recent sale by Hewitt represents a significant change in his investment in the company, although the reasons for the sale have not been disclosed.
As Matrix Service Co continues its operations, stakeholders will be watching to see how this transaction might relate to the company's future performance and strategic direction.
InvestingPro Insights
Amidst the news of Matrix Service Co (NASDAQ:MTRX) CEO John R. Hewitt's share sale, investors are keen on understanding the company's financial health and market performance. According to real-time data from InvestingPro, Matrix Service Co holds a market capitalization of $354.96 million USD. Despite a challenging market, the company's stock has demonstrated a high return over the last year with a 162.82% price total return, indicating a robust investor confidence level.
InvestingPro Tips suggest that Matrix Service Co has more cash than debt on its balance sheet, which could provide financial flexibility in its operations. However, the company is not expected to be profitable this year, as analysts predict, and suffers from weak gross profit margins of 5.43%. Additionally, the Relative Strength Index (RSI) indicates that the stock is currently in overbought territory, which might prompt investors to proceed with caution.
With the current Price to Earnings (P/E) ratio standing at -18.64, and an adjusted P/E ratio for the last twelve months as of Q2 2024 at -16.97, the valuation suggests that the market has expectations of future growth despite the company's lack of profitability over the last twelve months. The InvestingPro platform offers 9 additional tips for Matrix Service Co, providing a more comprehensive analysis for investors who are considering this stock in their portfolio. For those interested in gaining full access to these insights, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
As Matrix Service Co approaches its next earnings date on May 8, 2024, stakeholders and potential investors will be closely monitoring the company's financial results and strategic initiatives to assess the impact of insider transactions and the overall trajectory of the company.
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