IBEX Ltd (NASDAQ:IBEX) Director Keen Shuja has recently sold a significant amount of company stock, according to the latest filings. On September 13 and 16, Shuja sold a total of 21,086 shares for over $423,765. The transactions were executed in multiple trades, with prices ranging from $19.9512 to $20.4564.
The first sale on September 13 involved 15,000 shares, with the weighted average sales price reported at $19.9512. Following this transaction, Shuja's ownership in IBEX Ltd decreased but still amounted to 146,110 shares. A subsequent sale on September 16 saw an additional 6,086 shares sold at a weighted average price of $20.4564, leaving Shuja with 140,024 shares.
The disclosed sales prices reflect weighted averages, as the sales were conducted in several trades within the stated price ranges. The specific details of the number of shares sold at each separate price are available upon request from the issuer, any security holder of the issuer, or the U.S. Securities and Exchange Commission staff.
These transactions have been publicly reported in compliance with SEC regulations, and the information provided allows investors to stay informed about significant changes in insider ownership. Keen Shuja's remaining stake in the company indicates a continued vested interest in the business's success, despite the recent sales.
In other recent news, IBEX Ltd. has seen a flurry of activity with its financial performance and analyst ratings. The company reported a transformative year, with a notable increase in earnings per share (EPS) to $2.10, and a rise in free cash flow to $27 million. Despite a slight annual revenue decrease to $509 million, IBEX's Q4 revenue showed a year-over-year increase, suggesting a return to growth. The company anticipates revenue between $510 million and $525 million and adjusted EBITDA of $67 million to $69 million for fiscal year 2025.
Financial services firm Baird raised its price target for IBEX Ltd. shares to $23.00 from $20.00, maintaining an Outperform rating. The firm's outlook was based on a positive view of the company's potential, highlighting IBEX's aspirations to achieve 5-7% revenue growth and 15% EBITDA margins over time with artificial intelligence playing a significant role. Meanwhile, RBC Capital Markets increased its price target for IBEX from $18 to $20, maintaining a Sector Perform rating, following the company's announcement of a return to revenue growth.
Baird reaffirmed its Outperform rating for IBEX with a steady price target of $20.00, following the company's strong financial results for the fourth quarter. The firm's analysis highlighted that IBEX's revenue, EBITDA, and EPS for the quarter surpassed Wall Street's expectations. These recent developments underscore the positive trajectory of IBEX's financial performance.
InvestingPro Insights
Amid the recent insider trading activity, IBEX Ltd (NASDAQ:IBEX) has been showcasing some notable financial metrics and market performance. According to InvestingPro, the company's market capitalization stands at $323.63 million, with a P/E ratio of 10.13, signaling a potentially undervalued stock when paired with its near-term earnings growth. This is further supported by an adjusted P/E ratio of 8.89 over the last twelve months as of Q4 2024, which suggests that the stock might be trading at a low earnings multiple.
From a performance standpoint, IBEX Ltd has experienced a significant return over the past week, month, and three months, with respective total price returns of 18.69%, 20.78%, and 23.85%. This upward trend is also reflected in a six-month price return of 28.31%, indicating strong short-term growth. Moreover, the company's liquid assets exceed its short-term obligations, and its cash flows can sufficiently cover interest payments, as highlighted by the InvestingPro Tips.
However, while the company's fundamentals appear robust, with a PEG ratio of 0.94 indicating fair value relative to its earnings growth, investors should be aware of the technical analysis from InvestingPro that suggests the stock is in overbought territory. This could imply a potential pullback or consolidation in the near future. For those looking to delve deeper into the company's performance and insider activities, InvestingPro offers additional insights and tips, totaling 15 for IBEX Ltd, which can be accessed through their platform.
The recent insider sales by Director Keen Shuja might raise questions among investors, but the strong financial health and positive market performance of IBEX Ltd provide a broader context for evaluating the company's prospects. With a fair value estimate by InvestingPro at $28.12, significantly above the previous close price of $19.94, the current market sentiment and insider transactions form just part of the investment mosaic for this intriguing company.
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