ROANOKE, VA - In a recent transaction on April 1, Lawrence T. Oliver, the Vice President and Secretary of RGC Resources Inc. (NASDAQ:RGCO), acquired shares of the company's common stock with a total value of approximately $200.
The purchase, part of the company's Dividend Reinvestment and Stock Purchase Plan, involved 9.843 shares at a price of $20.32 each. Following this transaction, Oliver's direct holdings in RGC Resources Inc. increased to 17,470.935 shares.
RGC Resources Inc., based in Roanoke, Virginia, operates in the natural gas transmission and distribution sector. This transaction by a key executive is often seen by investors as a sign of confidence in the company's future prospects.
The company's stock, traded under the ticker RGCO, is watched by investors who follow insider buying patterns as a potential indicator of the company's long-term value.
This information is based on the latest Form 4 filing with the Securities and Exchange Commission.
InvestingPro Insights
In light of the recent insider stock purchase by Lawrence T. Oliver, investors are paying close attention to RGC Resources Inc. (NASDAQ:RGCO). The company's commitment to shareholder value is underscored by its impressive track record of raising its dividend for 31 consecutive years, coupled with a notable dividend yield of 3.94% as of the last twelve months leading up to Q1 2024.
InvestingPro data reveals a market capitalization of $209.47 million for RGCO, with a P/E ratio that stands at 15.73. This valuation metric suggests a potentially attractive entry point for investors, especially when considering the company's PEG ratio of 0.11 over the same period, indicating a low price relative to earnings growth expectations.
Despite a sales decline of 5.95% in the last twelve months as of Q1 2024, RGCO has maintained profitability with a gross profit margin of 35.22% and an operating income margin of 20.51%. These margins reflect the company's ability to manage its costs and maintain financial health, even in the face of revenue pressures.
For those looking to delve deeper into the financial health and future prospects of RGC Resources Inc., InvestingPro offers additional insights and metrics. By using the coupon code PRONEWS24, readers can get an extra 10% off a yearly or biyearly Pro and Pro+ subscription, providing access to a wealth of InvestingPro Tips, such as the company's short-term obligations exceeding liquid assets and an anticipated sales decline in the current year. Currently, there are 6 more InvestingPro Tips available for RGCO, which can be found at: https://www.investing.com/pro/RGCO.
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