In a recent transaction, Joseph Thomas Hand, CEO and President of York Water Co (NASDAQ:YORW), has purchased shares of the company's common stock, signaling confidence in the firm. The transaction involved the acquisition of 275.878 shares at a price of $35.3424 per share, amounting to a total investment of $9,750.
The purchase took place on July 16, 2024, as reported in a Form 4 filing with the Securities and Exchange Commission. Following this transaction, the CEO now directly owns 32,487.5786 shares of York Water Co. Additionally, it is noted that shares are also held indirectly by the CEO's child, amounting to 96.532 shares. These holdings include shares acquired under The York Water Company (NASDAQ:YORW) dividend reinvestment plan.
Investors often monitor insider transactions such as these for insights into executive sentiment toward their company's stock. The acquisition by Mr. Hand may be seen as a positive sign by investors who consider insider buying to be indicative of executives' belief in the company's future performance.
The filing was signed on behalf of Mr. Hand by Molly Elizabeth Houck, Assistant Secretary by Power of Attorney, on July 17, 2024. It is important for investors to keep track of such insider transactions as part of their assessment of the company's financial health and strategic direction.
InvestingPro Insights
The recent insider purchase by Joseph Thomas Hand, CEO and President of York Water Co (NASDAQ:YORW), is a strong vote of confidence in the company's prospects. This move aligns with several positive indicators highlighted by InvestingPro. Notably, York Water Co has demonstrated a commendable commitment to shareholder returns, having raised its dividend for an impressive 27 consecutive years. Additionally, the company boasts an outstanding gross profit margin of 75.34% for the last twelve months as of Q1 2024, which is a testament to its operational efficiency and pricing power.
On the valuation front, York Water Co is trading at a P/E ratio of 23.99 and a slightly lower adjusted P/E ratio of 23.74 for the last twelve months as of Q1 2024. These figures suggest a reasonable valuation relative to near-term earnings growth, as indicated by a PEG ratio of 0.94 for the same period. Moreover, the company's stock has seen a strong return over the last three months, with a price total return of 19.7%, which might interest investors looking for momentum in their investments.
For those seeking more in-depth analysis and additional insights, InvestingPro offers a comprehensive array of InvestingPro Tips, with 7 additional tips available for York Water Co at https://www.investing.com/pro/YORW. To enhance your investment research, use the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription.
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