Insider Decision: Kerrii B Anderson Offloads $130K Worth Of Labcorp Hldgs Stock
On June 12, a recent SEC filing unveiled that Kerrii B Anderson, Board Member at Labcorp Hldgs (NYSE:LH) made an insider sell.
What Happened: Anderson opted to sell 500 shares of Labcorp Hldgs, according to a Form 4 filing with the U.S. Securities and Exchange Commission on Thursday. The transaction's total worth stands at $130,000.
In the Thursday's morning session, Labcorp Hldgs's shares are currently trading at $259.9, experiencing a down of 0.02%.
Unveiling the Story Behind Labcorp Hldgs
Labcorp is one of the nation's two largest independent clinical laboratories, with roughly 20% of the independent lab market. The company operates approximately 2,000 patient-service centers, offering a broad range of 5,000 clinical lab tests, ranging from routine blood and urine screens to complex oncology and genomic testing.
Labcorp Hldgs's Financial Performance
Revenue Growth: Labcorp Hldgs's revenue growth over a period of 3 months has been noteworthy. As of 31 March, 2025, the company achieved a revenue growth rate of approximately 5.3%. This indicates a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Health Care sector.
Navigating Financial Profits:
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Gross Margin: The company issues a cost efficiency warning with a low gross margin of 28.34%, indicating potential difficulties in maintaining profitability compared to its peers.
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Earnings per Share (EPS): The company excels with an EPS that surpasses the industry average. With a current EPS of 2.54, Labcorp Hldgs showcases strong earnings per share.
Debt Management: With a high debt-to-equity ratio of 0.78, Labcorp Hldgs faces challenges in effectively managing its debt levels, indicating potential financial strain.
Valuation Analysis:
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Price to Earnings (P/E) Ratio: With a lower-than-average P/E ratio of 29.98, the stock indicates an attractive valuation, potentially presenting a buying opportunity.
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Price to Sales (P/S) Ratio: With a lower-than-average P/S ratio of 1.66, the stock presents an attractive valuation, potentially signaling a buying opportunity for investors interested in sales performance.
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EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): At 15.41, Labcorp Hldgs's EV/EBITDA ratio reflects a below-par valuation compared to industry averages signalling undervaluation
Market Capitalization Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.
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Illuminating the Importance of Insider Transactions
Insider transactions shouldn't be used primarily to make an investing decision, however an insider transaction can be an important factor in the investing decision.
When discussing legal matters, the term "insider" refers to any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, as stipulated in Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and significant hedge funds. Such insiders are required to report their transactions through a Form 4 filing, which must be completed within two business days of the transaction.
A new purchase by a company insider is a indication that they anticipate the stock will rise.
On the other hand, insider sells may not necessarily indicate a bearish view and can be motivated by various factors.
Breaking Down the Significance of Transaction Codes
Navigating through the landscape of transactions, investors often prioritize those unfolding in the open market, precisely detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.
Check Out The Full List Of Labcorp Hldgs's Insider Trades.
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This article was generated by Benzinga's automated content engine and reviewed by an editor.
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