Director Joseph Garrett Sells 7,500 Shares of Pacific Premier Bancorp Inc
On November 1, 2023, Director Joseph Garrett sold 7,500 shares of Pacific Premier Bancorp Inc (NASDAQ:PPBI). This move comes amidst a year where the insider has sold a total of 15,000 shares and made no purchases.
Joseph Garrett is a key figure in the Pacific Premier Bancorp Inc, a company that operates as a bank holding company for Pacific Premier Bank. The bank provides banking services to businesses, including small and middle-market businesses, professionals, and individuals primarily in Southern California, and the metropolitan areas of Phoenix, Arizona, and Seattle, Washington.
The insider's recent sell-off is part of a broader trend within the company. Over the past year, there have been seven insider sells and zero insider buys. This trend is illustrated in the following image:
On the day of the insider's recent sell, shares of Pacific Premier Bancorp Inc were trading for $18.7 apiece, giving the stock a market cap of $1.97 billion. The price-earnings ratio stands at 8.16, slightly higher than the industry median of 8.09 but lower than the companys historical median price-earnings ratio.
Despite the insider's sell-off, the stock appears to be significantly undervalued based on its GF Value. With a price of $18.7 and a GuruFocus Value of $31.54, Pacific Premier Bancorp Inc has a price-to-GF-Value ratio of 0.59. This suggests that the stock is significantly undervalued.
The GF Value is an intrinsic value estimate developed by GuruFocus. It is calculated based on historical multiples (price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow) that the stock has traded at, a GuruFocus adjustment factor based on the companys past returns and growth, and future estimates of business performance from Morningstar analysts.
While the insider's recent sell-off may raise eyebrows, it's important to consider the broader context. The stock appears to be significantly undervalued, and the company's fundamentals remain strong. As always, investors should conduct their own due diligence before making investment decisions.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
This article first appeared on GuruFocus.
