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Corpay's Alan King sells $8.1 million in stock

Published 11/27/2024, 04:30 PM
CPAY
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Alan King, Group President of Global Fleet at Corpay, Inc. (NASDAQ:CPAY), recently executed significant stock transactions according to a filing with the Securities and Exchange Commission. On November 26, King sold 21,272 shares of Corpay's common stock at a price of $381.97 per share, totaling approximately $8.1 million.

In addition to the sale, King acquired 21,272 shares through the exercise of stock options. These transactions involved purchasing shares at prices ranging from $133.4 to $152.31, amounting to a total acquisition value of around $2.96 million. Following these transactions, King holds 17,990 shares of Corpay directly.

In other recent news, Corpay has released its third-quarter results, showcasing a revenue of approximately $1.029 billion and earnings per share of $3.90. The company's Q3 performance was bolstered by a 28% gross sales growth in its Corporate Payments division and an 18% year-over-year revenue increase in Brazil. However, Corpay's Q3 guidance fell short of analysts' expectations, projecting an adjusted EPS of $4.90-$5.00 and revenue between $1.015-1.035 billion.

Recent developments also include the completion of the Paymerang acquisition, which is expected to generate an additional $25-35 million in revenue for the remainder of 2024. In terms of analyst assessments, BMO Capital Markets increased its price target for Corpay to $400, maintaining an Outperform rating. CFRA raised its price target to $385, while Mizuho (NYSE:MFG) maintained a Neutral rating. Meanwhile, Wolfe Research adjusted its rating from Underperform to Peer Perform, recognizing the company's long-term growth prospects. These updates represent recent developments in Corpay's operations and market positioning.

InvestingPro Insights

The recent stock transactions by Alan King, Group President of Global Fleet at Corpay, Inc. (NASDAQ:CPAY), align with the company's strong market performance and valuation metrics. According to InvestingPro data, Corpay's stock is trading near its 52-week high, with a price at 98.79% of its peak. This robust performance is reflected in the company's impressive 64.96% price total return over the past year.

InvestingPro Tips highlight that Corpay has been profitable over the last twelve months, with analysts predicting continued profitability this year. The company's financial health is further underscored by its substantial market capitalization of $26.56 billion and a strong revenue of $3.88 billion in the last twelve months as of Q3 2023.

However, investors should note that Corpay is trading at a high Price / Book multiple of 8.59, which may indicate a premium valuation. This is consistent with another InvestingPro Tip suggesting that the company is trading at a high P/E ratio relative to its near-term earnings growth, with a PEG ratio of 2.67.

For readers interested in a more comprehensive analysis, InvestingPro offers 10 additional tips for Corpay, providing deeper insights into the company's financial outlook and market position.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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