Brett D. Heffes, Chair and CEO of Winmark Corp (NASDAQ:WINA), recently executed a series of stock transactions, according to a filing with the Securities and Exchange Commission. On November 5 and 6, 2024, Heffes sold a total of 6,897 shares of Winmark common stock, with transaction prices ranging from $390.00 to $405.00 per share, amounting to $3.57 million.
In addition to the sales, Heffes exercised stock options to acquire 11,802 shares, with prices ranging from $143.20 to $156.00 per share, totaling $1.50 million. Following these transactions, Heffes holds 111,500 shares directly.
InvestingPro Insights
Recent transactions by Winmark Corp's CEO Brett D. Heffes have drawn attention to the company's stock performance and valuation. According to InvestingPro data, Winmark's market capitalization stands at $1.43 billion, with the stock trading at a P/E ratio of 35.5. This high earnings multiple aligns with one of the InvestingPro Tips, which notes that Winmark is "Trading at a high earnings multiple."
The company's financial health appears robust, with InvestingPro Tips highlighting that "Cash flows can sufficiently cover interest payments" and "Liquid assets exceed short term obligations." These factors may provide context for the CEO's decision to exercise options and sell shares, potentially capitalizing on the company's strong financial position.
Winmark has also demonstrated a commitment to shareholder returns, having "maintained dividend payments for 15 consecutive years," as per InvestingPro Tips. The current dividend yield stands at 2.96%, with a notable dividend growth of 73.91% in the last twelve months as of Q3 2024.
Investors considering Winmark should note that the stock has shown "Significant return over the last week" and a "Strong return over the last month," with 1-week and 1-month price total returns of 8.82% and 12.55%, respectively. These recent gains may have influenced the timing of the CEO's transactions.
For those seeking a more comprehensive analysis, InvestingPro offers 11 additional tips on Winmark, providing deeper insights into the company's performance and outlook.
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