Flowserve Corporation (NYSE:FLS), a leading provider of pumps and pumping equipment, has reported a significant stock transaction by its President and CEO, Robert Scott Rowe. According to the latest filings, Rowe sold a total of 99,999 shares of Flowserve stock in a series of transactions.
The stock sales, which took place on May 22 and 23, 2024, amounted to over $4.95 million. The shares were sold at weighted average prices that varied, with a range between $48.96 and $49.98 per share. Specifically, on May 22, Rowe sold 42,269 shares at an average price of $49.98, while on May 23, he sold 17,549 shares at an average price of $48.96 and another 40,182 shares at $49.36 each.
The transactions were disclosed in a Form 4 filing with the Securities and Exchange Commission, which provides insights into the trading activities of the company's insiders. Following the sales, the CEO still owns a substantial number of Flowserve shares, indicating continued investment in the company's future.
Investors often monitor insider transactions as they can provide valuable signals about the company's financial health and executive confidence. In the case of Flowserve, the sale by its CEO represents a noteworthy adjustment in his holdings, but it's important to note that the reasons for such transactions can vary and are not always immediately clear from the filings alone.
Flowserve Corporation, headquartered in Irving, Texas, has a long history in the industrial manufacturing sector, with a focus on producing equipment for the flow control industry. The company's stock is publicly traded on the New York Stock Exchange under the ticker symbol FLS.
InvestingPro Insights
As Flowserve Corporation (NYSE:FLS) navigates the market, recent data from InvestingPro provides a snapshot of the company's financial standing. With a market capitalization of $6.43 billion, Flowserve's valuation reflects its position in the industrial manufacturing sector. The company's P/E ratio, a measure of its current share price relative to its per-share earnings, stands at 27.52, suggesting that investors are willing to pay a higher price for its earnings potential. Notably, the adjusted P/E ratio for the last twelve months as of Q1 2024 is slightly lower at 22.92, indicating a potential shift in valuation.
Additionally, Flowserve's revenue growth is a bright spot, with a 17.31% increase over the last twelve months as of Q1 2024, and a quarterly growth rate of 10.93% in Q1 2024. These figures are significant as they highlight the company's ability to expand its sales in a competitive industry. Moreover, the company's gross profit margin sits comfortably at 30.39%, showcasing its efficiency in converting sales into profit.
InvestingPro Tips further illuminate the company's financial nuances. Despite a recent downward revision in earnings by analysts for the upcoming period, Flowserve has demonstrated a strong return over the last three months with a price total return of 16.54%. This is complemented by a large price uptick over the last six months, amounting to a 30.0% return. For investors seeking stability, it is worth noting that the stock generally trades with low price volatility and that Flowserve has maintained dividend payments for 18 consecutive years, with a current dividend yield of 1.72% and a 5.0% dividend growth over the last twelve months as of Q1 2024. These factors may contribute to a more comprehensive understanding of the company's financial health and future prospects.
For those looking to delve deeper into Flowserve's performance and potential, there are an additional 9 InvestingPro Tips available at https://www.investing.com/pro/FLS. To enhance your investment research, use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, offering a wealth of data and analytics to inform your trading decisions.
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