In a recent transaction, Claude Maraoui, President and CEO of Journey Medical Corp (NASDAQ:DERM), bolstered his stake in the company by purchasing $34,790 worth of shares. The transaction involved the acquisition of 10,000 shares at a weighted average price of $3.479 each.
The buy, which took place on March 22, 2024, was part of a series of open market purchases executed through a broker-dealer. These transactions occurred at varying prices, with the range being from $3.41 to $3.48 per share. Following this latest buy, Maraoui's total ownership in Journey Medical Corp now stands at 2,163,430 shares, which includes restricted stock units that vest over time.
Investors often keep a close eye on insider transactions such as this, as they can provide valuable insight into an executive's confidence in the company's future performance. Maraoui's purchase is seen as a reaffirmation of his commitment to the company and its prospects.
Journey Medical Corp, headquartered in Scottsdale, Arizona, specializes in pharmaceutical preparations and has been a player in the healthcare sector under the industrial classification of Pharmaceutical Preparations.
The details of the transaction were made public through a Form 4 filing with the Securities and Exchange Commission. The document was signed by attorney-in-fact Ramsey Alloush on behalf of Maraoui on March 25, 2024.
InvestingPro Insights
Following the recent insider share purchase by Claude Maraoui, President and CEO of Journey Medical Corp, market participants may find additional context through InvestingPro data and tips. Journey Medical Corp, trading under the ticker DERM, holds a market capitalization of approximately $63.77 million. Despite recent insider confidence, the company is not currently profitable, with a negative Price/Earnings (P/E) ratio over the last twelve months as of Q4 2023, standing at -37.07. This aligns with the InvestingPro Tip that the company has not been profitable over the last twelve months.
Moreover, Journey Medical's stock has experienced significant volatility, as indicated by a one-week price total return of -11.76% and an even more substantial three-month price total return of -58.54%. This could be seen as a reflection of the InvestingPro Tip that the stock has taken a big hit over the last week and has fallen significantly over the past three months. However, it's noteworthy that the one-year price total return is an impressive 148.12%, which may suggest a more favorable long-term investor sentiment.
Investors considering Journey Medical Corp as part of their portfolio should also note the company's high shareholder yield, which is an InvestingPro Tip that may be of interest. This could be a factor in the CEO's decision to increase his stake, signaling potential value to shareholders. Additionally, Journey Medical Corp does not pay a dividend, a choice that might affect income-focused investors.
For those seeking further insights, there are additional InvestingPro Tips available, including expectations of a sales decline in the current year and the company's high EBIT valuation multiple. To access these insights and more, visit https://www.investing.com/pro/DERM and consider using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, unlocking even more in-depth analysis and data.
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