Hillman Solutions Corp. (NYSE:HLMN) director Aaron Jagdfeld executed a sale of company stock on June 5, 2024, totaling approximately $447,000. The transaction involved the sale of 49,447 shares at an average price of $9.04 per share, according to a recent SEC filing.
The filing indicated that the shares were sold in multiple trades with prices ranging from $8.95 to $9.085. The reported average price reflects the weighted average sale price of these trades. This sale reduced Jagdfeld's direct holdings in Hillman Solutions Corp. to 197,031 shares.
On the same day, Jagdfeld also acquired 49,447 shares of Hillman Solutions Corp. common stock at a price of $6.07 per share, totaling $300,143. This transaction was related to the exercise of stock options that were granted on August 29, 2014, and vested over a period of four years, contingent upon continued service with the company.
The exercised options were set to expire on August 29, 2024, and the shares acquired through this exercise have now been fully vested. Following these transactions, Jagdfeld's ownership in the company stands at 246,478 shares of common stock.
Investors and market watchers often look to insider buying and selling as indicators of a company's financial health and future prospects. Transactions by company directors like Jagdfeld are closely monitored for insights into insider sentiment towards the company's performance and valuation.
In other recent news, Hillman Solutions Corp. reported growth in its Q1 2024 earnings call, with net sales rising to $350.3 million and a 30% increase in adjusted EBITDA to $52.3 million. Despite challenges, including a 9.2% decline in the Robotics & Digital Solutions segment, the company remains focused on its growth strategy. Hillman also acquired Koch Industries and is evaluating seven more companies for potential acquisitions.
The company's full-year guidance remains unchanged, with net sales expected to range from $1.475 billion to $1.555 billion and adjusted EBITDA between $230 million to $240 million. Hillman is also optimistic about growth opportunities, including MinuteKey 3.5 and K2 Key Technology Platform.
The company's Canadian business has shown margin strength due to new business and the installation of mini key machines. However, the relocation of key-cutting machines at Walmart (NYSE:WMT) has negatively impacted the kiosk business. Despite these developments, Hillman Solutions Corp. is actively pursuing strategic M&A opportunities and expects to maintain gross margins above 45%.
InvestingPro Insights
Amidst the recent insider trading activity by Hillman Solutions Corp. (NYSE:HLMN) director Aaron Jagdfeld, investors may find the latest data and insights from InvestingPro particularly enlightening. Hillman Solutions Corp. currently holds a market capitalization of approximately $1.76 billion, reflecting its standing within the market. Despite a challenging past twelve months, with a negative P/E ratio of -898, analysts are optimistic about the company's future. The adjusted P/E ratio for the last twelve months as of Q1 2024 stands at 165.27, indicating potential for future earnings growth as the company's financials evolve.
One of the noteworthy InvestingPro Tips is that analysts have a positive outlook on Hillman Solutions Corp., with 6 analysts having revised their earnings upwards for the upcoming period. This is a strong signal that the company's performance may outpace previous expectations. Additionally, the company's liquid assets surpass its short-term obligations, suggesting a healthy liquidity position that could support ongoing operations and investments.
The company's revenue growth has been modest, with a 0.28% increase over the last twelve months as of Q1 2024. However, the gross profit margin stands at an impressive 45.31%, highlighting the company's ability to maintain profitability in its core operations. While Hillman Solutions Corp. has not been profitable over the last twelve months, analysts predict the company will turn a profit this year, which could be a pivotal moment for investor confidence.
For those looking to delve deeper into Hillman Solutions Corp.'s financials and future prospects, InvestingPro offers additional insights and tips. There are currently 6 additional tips available on InvestingPro, which can be accessed at: https://www.investing.com/pro/HLMN. As a special offer, readers can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, unlocking a wealth of data and expert analysis to inform their investment decisions.
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