In a recent transaction, a major shareholder of AMREP Corp. (NYSE:AXR), a company specializing in land development, has increased their stake in the company. The shareholder, James H. Dahl, purchased 1,800 shares at a weighted average price between $21.79 and $22.00, totaling over $39,574.
This move by Dahl, who is identified as a ten percent owner of AMREP Corp., reflects a notable investment in the company's common shares. Following the acquisition, Dahl now holds a total of 358,665 shares directly. In addition to Dahl's direct holdings, the SEC filing also mentioned various indirect holdings, including shares held in IRA accounts and a trust, which are not part of this transaction.
The purchase was made public through a Form 4 filing with the Securities and Exchange Commission, dated April 11, 2024. This form is used to report changes in company ownership and was signed by Ivan A. Colao, Attorney-in-Fact for James H. Dahl, on April 12, 2024.
Investors often monitor such insider transactions as they can provide insights into how the company's leadership perceives the firm's future prospects. The decision by an insider to increase their ownership can be interpreted as a sign of confidence in the company's potential for growth and profitability.
AMREP Corp. operates within the real estate and construction industry, with a focus on land subdivision and development. The company's shares are traded on the New York Stock Exchange under the ticker symbol AXR.
InvestingPro Insights
The recent purchase by James H. Dahl, a significant shareholder of AMREP Corp. (NYSE:AXR), not only indicates a strong belief in the company's future but aligns with several positive metrics highlighted by InvestingPro. According to the latest real-time data, AMREP Corp. boasts a market capitalization of $112.57 million and a price-to-earnings (P/E) ratio of 51.02. However, when adjusted for the last twelve months as of Q3 2024, the P/E ratio stands at a more attractive 18.04. This suggests that the company's earnings potential may be undervalued at its current share price of $21.93.
One of the key InvestingPro Tips for AMREP Corp. is that it is trading at a low revenue valuation multiple, which may appeal to value investors looking for underappreciated stocks. Moreover, with a price-to-book ratio as of Q3 2024 at just below 1 (0.99), the company's assets are potentially being traded close to their intrinsic value. Furthermore, AMREP Corp. has seen a large price uptick of 31.0% over the last six months, with a one-year price total return of 44.7%, indicating a robust performance in the stock market.
For investors seeking more insights, there are additional InvestingPro Tips available for AMREP Corp. at https://www.investing.com/pro/AXR. These tips include the company's strong free cash flow yield, its ability to cover short term obligations with liquid assets, and its profitability over the last twelve months. Interested readers can explore these valuable insights and take advantage of the exclusive offer by using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. With 11 more tips listed in InvestingPro, investors have a wealth of information to guide their investment decisions.
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