Armstrong Mac, CEO and Chairman of Palomar Holdings, Inc. (NASDAQ:PLMR), recently sold a significant portion of company stock. According to a Form 4 filing with the Securities and Exchange Commission, Armstrong disposed of 7,000 shares of common stock on November 21, 2024. The sales occurred at a weighted average price range of $108.07 to $108.76 per share, resulting in a total transaction value of approximately $758,911.
Following these transactions, Armstrong holds 426,388 shares indirectly through the Armstrong Family Trust. Additionally, Armstrong directly owns 50,312 shares, which include 2,428 shares acquired through the company's 2019 Employee Stock Purchase Plan.
In other recent news, Palomar Holdings Inc (NASDAQ:PLMR). has made significant strides in recent developments. The company reported robust growth in its third-quarter performance of 2024, with a 39% increase in adjusted net income and a 32% rise in total premium growth. These gains were primarily driven by substantial advances in the Earthquake, Casualty, and Crop insurance segments. The company also successfully raised $160 million in equity, intending to capitalize on market dislocations and expand its crop business.
In a strategic move, Palomar Holdings has appointed Benson Latham as Executive Vice President, Head of Crop. With three decades of experience in the Crop insurance industry, Latham is expected to lead Palomar’s Crop insurance operations. His previous accomplishments include the development of a large-scale Crop franchise at ProAg, which reported $500 million in revenue, and the establishment of Validus's Crop division, which generated over $1 billion in revenue.
Palomar's CEO, Mac Armstrong, expressed confidence in Latham's ability to steer Palomar's Crop franchise to become a market leader in the $19 billion Crop insurance market. In its first year, the company has already written more than $100 million of Crop premium. Looking ahead, management plans to take on more risk in the Crop sector starting January 1, 2025, indicating a strategic focus on this particular segment.
InvestingPro Insights
Palomar Holdings, Inc. (NASDAQ:PLMR) has been experiencing significant growth and market momentum, as reflected in the recent stock sale by CEO Armstrong Mac. This transaction aligns with several key metrics and insights from InvestingPro.
According to InvestingPro data, Palomar's revenue growth has been impressive, with a 40.19% increase in the last twelve months as of Q3 2024, and an even more striking 63.31% quarterly growth in Q3 2024. This robust growth is complemented by strong profitability, with an operating income margin of 28.12% for the same period.
The company's stock performance has been equally noteworthy. InvestingPro data shows a 95.17% year-to-date price total return and an 81.53% return over the past year. These figures underscore the stock's strong momentum, which is further emphasized by the fact that it's trading at 98.24% of its 52-week high.
InvestingPro Tips highlight that Palomar is trading at a low P/E ratio relative to its near-term earnings growth, with a PEG ratio of 0.54. This suggests that the stock may still be undervalued despite its recent gains. Additionally, the company has been profitable over the last twelve months, and analysts predict continued profitability this year.
It's worth noting that InvestingPro offers 12 additional tips for Palomar Holdings, providing investors with a comprehensive analysis of the company's financial health and market position.
While the CEO's stock sale might raise questions, the overall financial picture of Palomar Holdings appears strong, with robust growth, profitability, and market performance. Investors considering PLMR may find these insights valuable in their decision-making process.
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