Smart Money Move: James Woys Grabs $1.56M Worth Of Molina Healthcare Stock
On August 6, a substantial insider purchase was made by James Woys, Chief Operating Officer at Molina Healthcare (NYSE:MOH), as per the latest SEC filing.
What Happened: Woys demonstrated confidence in Molina Healthcare by purchasing 10,000 shares, as reported in a Form 4 filing with the U.S. Securities and Exchange Commission on Wednesday. The total value of the transaction is $1,559,365.
The latest market snapshot at Thursday morning reveals Molina Healthcare shares up by 1.77%, trading at $155.0.
Get to Know Molina Healthcare Better
Molina Healthcare Inc offers healthcare plans focused on Medicaid-related solutions for low-income families and individuals. Its health plans are operated by a network of subsidiaries, each of which is licensed as a health maintenance organization (HMO). It has four segments: Medicaid, Medicare, Marketplace and Others. The Medicaid, Medicare, and Marketplace segments represent the government-funded or sponsored programs under which it offers managed healthcare services. The Other segment, which is insignificant to its consolidated results of operations, includes long-term services and supports consultative services in Wisconsin. It generates majority revenue from Medicaid segment.
Unraveling the Financial Story of Molina Healthcare
Positive Revenue Trend: Examining Molina Healthcare's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 15.66% as of 30 June, 2025, showcasing a substantial increase in top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Health Care sector.
Key Profitability Indicators:
-
Gross Margin: The company shows a low gross margin of 10.21%, indicating concerns regarding cost management and overall profitability relative to its industry counterparts.
-
Earnings per Share (EPS): Molina Healthcare's EPS is significantly higher than the industry average. The company demonstrates a robust bottom-line performance with a current EPS of 4.75.
Debt Management: With a high debt-to-equity ratio of 0.77, Molina Healthcare faces challenges in effectively managing its debt levels, indicating potential financial strain.
Evaluating Valuation:
-
Price to Earnings (P/E) Ratio: The P/E ratio of 7.51 is lower than the industry average, implying a discounted valuation for Molina Healthcare's stock.
-
Price to Sales (P/S) Ratio: The current P/S ratio of 0.2 is below industry norms, suggesting potential undervaluation and presenting an investment opportunity for those considering sales performance.
-
EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): Molina Healthcare's EV/EBITDA ratio at 1.62 suggests potential undervaluation, falling below industry averages.
Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.
Now trade stocks online commission free with Charles Schwab, a trusted and complete investment firm.
Illuminating the Importance of Insider Transactions
Insider transactions are not the sole determinant of investment choices, but they are a factor worth considering.
In legal terms, an "insider" refers to any officer, director, or beneficial owner of more than ten percent of a company's equity securities registered under Section 12 of the Securities Exchange Act of 1934. This can include executives in the c-suite and large hedge funds. These insiders are required to let the public know of their transactions via a Form 4 filing, which must be filed within two business days of the transaction.
When a company insider makes a new purchase, that is an indication that they expect the stock to rise.
Insider sells, on the other hand, can be made for a variety of reasons, and may not necessarily mean that the seller thinks the stock will go down.
Navigating the World of Insider Transaction Codes
Examining transactions, investors often concentrate on those unfolding in the open market, meticulously 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 indicates 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 Molina Healthcare's Insider Trades.
Insider Buying Alert: Profit from C-Suite Moves
Benzinga Edge reveals every insider trade in real-time. Don't miss the next big stock move driven by insider confidence. Unlock this ultimate sentiment indicator now. Click here for access.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
Posted-In: BZI-ITNews Insider Trades Trading Ideas