Insider Sell: James Bramble Sells 38,000 Shares of eXp World Holdings Inc
On August 8, 2023, James Bramble, Chief Legal Counsel of eXp World Holdings Inc (NASDAQ:EXPI), sold 38,000 shares of the company. This move is part of a larger trend, as over the past year, Bramble has sold a total of 68,000 shares and made no purchases.
But who is James Bramble? As the Chief Legal Counsel of eXp World Holdings Inc, Bramble plays a crucial role in the company's legal affairs. His insider perspective and actions in the stock market can provide valuable insights into the company's current status and future direction.
eXp World Holdings Inc is a cloud-based real estate brokerage firm. The company operates as a single broker, utilizing a cloud-based platform to hire agents, brokers, and real estate professionals. With its unique business model, eXp World Holdings Inc has been able to disrupt the traditional real estate industry and has seen significant growth in recent years.
The insider transaction history for eXp World Holdings Inc shows a trend of more sells than buys over the past year. There have been 33 insider sells and 0 insider buys in total. This could indicate that insiders believe the company's stock is currently overvalued, or it could simply reflect personal financial decisions by the insiders.
On the day of Bramble's recent sell, shares of eXp World Holdings Inc were trading for $24.54 apiece, giving the stock a market cap of $3.641 billion. The price-earnings ratio is 474.20, significantly higher than the industry median of 12.75 and the companys historical median price-earnings ratio. This suggests that the stock is currently overpriced compared to its earnings.
However, the GuruFocus Value of eXp World Holdings Inc is $33.25, resulting in a price-to-GF-Value ratio of 0.74. This indicates that the stock is modestly undervalued based on its GF Value.
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.
In conclusion, while the recent insider sell by James Bramble may raise some eyebrows, the overall valuation of eXp World Holdings Inc suggests that the stock is still modestly undervalued. Investors should keep a close eye on the company's performance and any future insider transactions to make informed decisions.
This article first appeared on GuruFocus.
