HCI Group, Inc. (NYSE:HCI) Director Madhu Sanjay has recently sold a significant portion of his holdings in the company, according to the latest SEC filings. The transactions, which took place on March 27 and 28, resulted in the sale of a total of 33,500 shares, with the proceeds amounting to over $3.8 million.
On the first day of transactions, Sanjay sold 3,294 shares of HCI Group at a weighted average price of $118.716, with individual sales prices ranging from $118.63 to $119.50. The following day, he sold an additional 30,206 shares at an average price of $115.212, with the price per share varying between $113.77 and $116.26.
The sales were made indirectly through Universal Finance & Investments, LLC, an entity in which Sanjay holds voting and investment power. This move is part of Sanjay's strategy to modestly improve the diversification of his investment portfolio, as noted in the footnotes accompanying the filing.
Following these transactions, Sanjay's remaining direct and indirect holdings in HCI Group amount to 71,706 shares held through Universal Finance & Investments, LLC, 2,803 shares in his IRA, 9,988 shares held directly, and an additional 500 restricted shares which are set to vest in May 2024.
Investors often monitor such filings to gain insight into the actions of company insiders. The sale of a large block of shares by a director may be significant, but the reasons for such transactions can vary and are not always immediately clear from the filings alone.
HCI Group, Inc., headquartered in Tampa, Florida, operates in the property and casualty insurance sector, providing coverage for homeowners, condominium owners, and tenants among other insurance products.
InvestingPro Insights
Amidst the news of Director Madhu Sanjay's significant share sale, HCI Group, Inc. (NYSE:HCI) continues to show financial robustness in several key areas. The company boasts a market capitalization of $1.16 billion and has demonstrated a commendable Price/Earnings (P/E) ratio of 12.52, which adjusted for the last twelve months as of Q4 2023, stands at 15.16. This indicates an attractive valuation relative to earnings.
An InvestingPro Tip highlights that HCI Group has maintained dividend payments for 15 consecutive years, showcasing a commitment to returning value to shareholders. Moreover, analysts predict the company will remain profitable this year, which is supported by a strong performance over the past year with a one-year price total return of 123.78%.
Investors should note the company's revenue growth of 10.92% over the last twelve months as of Q4 2023, signaling a healthy expansion in its core business activities. Additionally, the company's gross profit margin stands at a solid 37.28%, reflecting its efficiency in generating earnings.
For those seeking further insights, there are additional InvestingPro Tips available, including analysis on the company's recent price uptick and long-term returns. Get the full list of tips and make more informed decisions with a subscription to InvestingPro. Use the coupon code PRONEWS24 to receive an extra 10% off a yearly or biyearly Pro and Pro+ subscription.
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