Insider Sell: CFO Eric Hanson Sells 20,000 Shares of Lifeway Foods Inc (LWAY)
Lifeway Foods Inc (NASDAQ:LWAY), a company specializing in the manufacture of probiotic and nutritious foods, has reported an insider sell according to a recent SEC filing. The company's Chief Financial Officer, Eric Hanson, sold 20,000 shares of the company on March 27, 2024. The transaction was executed at a price of $19.15 per share, resulting in a total sale amount of $383,000.
Over the past year, the insider has sold a cumulative total of 20,000 shares and has not made any purchases of the company's stock. This latest transaction continues a trend observed over the past year, where there have been no insider buys but a total of 15 insider sells for Lifeway Foods Inc.
On the date of the sale, Lifeway Foods Inc had a market capitalization of $258.271 million. The stock's price-earnings ratio stood at 23.13, which is above the industry median of 18.02 but below the company's historical median price-earnings ratio.
The stock's valuation, when compared to the GuruFocus Value (GF Value) of $8.37, indicates that Lifeway Foods Inc is significantly overvalued with a price-to-GF-Value ratio of 2.29. The GF Value is determined by considering historical trading multiples, a GuruFocus adjustment factor based on past returns and growth, and future business performance estimates from Morningstar analysts.
The insider trend image above reflects the recent insider selling activity for Lifeway Foods Inc, providing a visual representation of the transactions over the past year.
The GF Value image above illustrates the disparity between the current stock price and the estimated intrinsic value, suggesting that the stock may be overvalued at the current trading price.
Investors often monitor insider transactions as they can provide insights into the company's performance and insider perspectives on the stock's valuation. The recent sell by the insider, Eric Hanson, may be of interest to current and potential shareholders as they evaluate their investment in Lifeway Foods Inc.
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.
