Entities under the umbrella of Cannae Holdings (NYSE:CNNE), Inc. have completed a substantial sale of shares in Dun & Bradstreet Holdings, Inc. (NYSE:DNB), according to a recent SEC filing. On March 18, 2024, a total of 10 million shares were sold at a price of $10.09 per share, resulting in a total transaction value of $100.9 million.
The transaction involved DNB Holdco, LLC, a wholly-owned subsidiary of Cannae Holdings, LLC, which in turn is a wholly-owned subsidiary of Cannae Holdings, Inc. This complex structure reflects the interconnected nature of the entities, which are all reporting owners with a significant stake in Dun & Bradstreet Holdings.
Post-transaction, the collective holdings of DNB Holdco, LLC, and Cannae Funding D, LLC, another wholly-owned subsidiary, amount to 69,048,691 shares of Dun & Bradstreet common stock. The sale represents a notable move by the reporting entities, which are both 10% owners and have directors on the board of Dun & Bradstreet Holdings.
The transaction was signed off by Michael L. Gravelle, who holds the titles of Executive Vice President, General Counsel, and Corporate Secretary across the related entities. This sale marks a significant adjustment in the investment profile of Cannae Holdings and its subsidiaries in Dun & Bradstreet Holdings, a company known for its services in consumer credit reporting and collection agencies.
Investors and market watchers often keep a close eye on such filings to gauge the sentiment of major shareholders and directors regarding their company stock. The sale of a large block of shares by insiders can sometimes provide insights into their perspective on the company's future performance and valuation.
InvestingPro Insights
Amidst the recent transaction involving Cannae Holdings' sale of Dun & Bradstreet Holdings (NYSE:DNB) stock, the InvestingPro platform provides valuable metrics and tips that could offer a deeper understanding of the company's financial health and stock performance. With a market capitalization of approximately $4.4 billion, Dun & Bradstreet shows a significant presence in its sector.
One of the most notable InvestingPro Tips is the expectation for net income growth this year, suggesting a potential turnaround for investors to consider. Additionally, with a gross profit margin of 64.09% in the last twelve months as of Q4 2023, the company demonstrates an impressive ability to retain earnings over its revenue, a positive sign for profitability.
InvestingPro data highlights a negative P/E ratio of -91.56, indicating that the market has been valuing the company's earnings quite pessimistically. This is further reflected in the adjusted P/E ratio for the last twelve months as of Q4 2023, which stands at -117.82. However, the PEG ratio of 0.09 suggests that the company's earnings growth potential might not be fully accounted for in its current valuation.
For investors considering the stability of the stock, one of the InvestingPro Tips indicates that Dun & Bradstreet generally trades with low price volatility, which could appeal to those looking for less turbulent investments.
For more in-depth analysis and additional tips, visit InvestingPro, where you can find a total of 9 InvestingPro Tips for Dun & Bradstreet. Take advantage of these insights and use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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