Ryan Hicke, the Chief Executive Officer of SEI Investments Co (NASDAQ:SEIC), recently sold 10,000 shares of the company's common stock. The transaction, which took place on October 25, 2024, was executed at a weighted average price of $74.9 per share, resulting in a total sale value of $749,000. The sale price ranged from $74.82 to $74.98 per share.
Additionally, Hicke acquired 10,000 shares through the exercise of stock options at a price of $40.64 per share, which were received as part of his employment compensation. Following these transactions, Hicke holds 147,608.77 shares directly in the company.
In other recent news, SEI Investments has been under the spotlight following strong third-quarter earnings and revenue growth. The company reported an earnings per share (EPS) of $1.19, exceeding both analyst expectations and consensus estimates. This performance was primarily attributed to higher-than-expected revenue in the Private Banking & Trust and Investment Advisors segments. After adjustments for one-time benefits, the core EPS for the company was estimated at $1.11.
Following these results, Piper Sandler and Oppenheimer have revised their price targets for SEI Investments. Piper Sandler increased its target to $77 from $74, while Oppenheimer raised its target to $85 from $81, both firms maintaining their previous ratings on the stock. The adjustments are based on SEI Investments' recent quarterly financial results, which surpassed the firms' estimates.
SEI Investments also reported a record-breaking third quarter, with significant top-line growth and effective expense management. The company's assets under management, administration, and advisement reached new highs, with net sales events totaling $46 million. These recent developments reflect the company's potential for continued financial growth.
InvestingPro Insights
SEI Investments Co (NASDAQ:SEIC) has been demonstrating strong financial performance, as reflected in the recent insider transaction and supported by data from InvestingPro. The company's stock is trading near its 52-week high, with a price that is 99.41% of its peak, indicating investor confidence in the company's prospects.
InvestingPro data shows that SEI Investments has a market capitalization of $9.82 billion and a P/E ratio of 18.26, which is relatively modest for a company in the financial services sector. This valuation is particularly interesting when considering one of the InvestingPro Tips: SEI is trading at a low P/E ratio relative to its near-term earnings growth, suggesting potential undervaluation.
The company's financial health appears robust, with an InvestingPro Tip highlighting that SEI's liquid assets exceed its short-term obligations. This strong liquidity position is complemented by another tip indicating that cash flows can sufficiently cover interest payments, pointing to a solid financial foundation.
SEI Investments has also demonstrated a commitment to shareholder returns. An InvestingPro Tip reveals that the company has raised its dividend for 10 consecutive years, and has maintained dividend payments for an impressive 37 consecutive years. The current dividend yield stands at 1.21%, with a dividend growth rate of 6.98% over the last twelve months.
The company's profitability is noteworthy, with a gross profit margin of 78.56% and an operating income margin of 25% for the last twelve months. These figures underscore SEI's ability to generate substantial profits from its operations.
Analysts appear optimistic about SEI's future, with 5 analysts revising their earnings estimates upwards for the upcoming period, according to another InvestingPro Tip. This positive sentiment is further supported by the company's strong revenue growth, which stood at 12.72% in the most recent quarter.
For investors seeking more comprehensive insights, InvestingPro offers additional tips and data points that could provide a fuller picture of SEI Investments' financial health and market position. In fact, there are 7 more InvestingPro Tips available for SEIC, which could offer valuable perspectives for those considering an investment in the company.
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