Altair Engineering Inc. (NASDAQ:ALTR) has reported insider trading activity involving the sale of company stock by executive George J. Christ. According to the latest SEC filing, Christ, who serves in a significant ownership position, disposed of a total of 12,783 shares of Class A Common Stock in two separate transactions.
On April 9, 2024, Christ sold 12,145 shares at a weighted average price of approximately $85.81, with individual sales prices ranging from $85.42 to $86.38. In a subsequent transaction on the same day, an additional 638 shares were sold at an average price of $86.57, with the price range for these shares stretching from $86.495 to $86.6275. The combined sales resulted in a total transaction value of $1,097,379.
The transactions were conducted indirectly through trusts for which Christ serves as Trustee or Manager, indicating that the shares sold were held in a trust capacity. The SEC filing includes a footnote indicating that Christ disclaims beneficial ownership of these securities except to the extent of his pecuniary interest therein.
Investors and market watchers often pay close attention to insider trading patterns for indications of executives' confidence in their company's prospects. However, it's important to note that such transactions can be motivated by a variety of personal financial needs or strategic portfolio adjustments and do not necessarily signal a change in company outlook.
Altair Engineering Inc., with its headquarters in Troy, Michigan, is known for its specialized services in prepackaged software, operating under the technology sector. Following the reported transactions, the updated holdings and the indirect nature of the ownership were duly noted in the SEC filing, with George J. Christ maintaining a significant number of shares in the company through various trusts and investment entities.
InvestingPro Insights
Following the insider trading activity by executive George J. Christ at Altair Engineering Inc. (NASDAQ:ALTR), a deeper look at the company's financial metrics offers additional context for investors. Altair's market capitalization stands at a robust $6.95 billion, reflecting the company's significant presence in the prepackaged software industry. Despite a challenging P/E Ratio, currently at an adjusted -754.05 for the last twelve months as of Q4 2023, and an even more pronounced adjusted figure of -1289.3, the company's revenue tells a story of growth. Over the same period, Altair has achieved a revenue increase of 7.07%, with a gross profit margin impressively holding at 80.12%, underscoring the company's ability to maintain profitability.
Investors looking for growth indicators may find the EBITDA growth rate of 110.48% particularly noteworthy, suggesting potential for future profitability and operational efficiency improvements. Furthermore, the company's share price is hovering at 92.48% of its 52-week high, showcasing a relatively strong performance in the market. Altair's shares have also seen a notable 6-month price total return of 26.61%, demonstrating investor confidence and a potentially bullish trend for the stock.
With these insights in mind, an InvestingPro Tip to consider is the company's upcoming earnings date on May 2, 2024, which could provide further clarity on the company's trajectory and potentially impact share prices. Additionally, Altair's fair value is estimated at $63.85 by InvestingPro, compared to analyst targets of $95, suggesting a divergence in valuation perspectives that investors may want to explore further.
For those seeking to delve deeper into Altair's financials and insider trading implications, InvestingPro offers a suite of additional tips and analytics – there are currently 25 more tips available for ALTR. Use the exclusive coupon code PRONEWS24 to get an extra 10% off a yearly or biyearly Pro and Pro+ subscription, and gain access to comprehensive tools and insights that could enhance your investment decisions.
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