Chief Administrative Officer At Zurn Elkay Water Solns Sells $261K Of Stock

Mark W Peterson, Chief Administrative Officer at Zurn Elkay Water Solns ZWS, executed a substantial insider sell on May 14, according to an SEC filing.

What Happened: Peterson's decision to sell 7,000 shares of Zurn Elkay Water Solns was revealed in a Form 4 filing with the U.S. Securities and Exchange Commission on Wednesday. The total value of the sale is $261,170.

Tracking the Thursday's morning session, Zurn Elkay Water Solns shares are trading at $36.88, showing a down of 0.0%.

Delving into Zurn Elkay Water Solns's Background

Zurn Elkay Water Solutions Corp designs procures, manufactures, and markets a range of clean water solutions for drinking water, hygiene, and sustainable water management. The company's product portfolio includes professional-grade water control and safety, water distribution and drainage, drinking water, finish plumbing, hygienic, environmental and site works products for public and private spaces.

Zurn Elkay Water Solns's Economic Impact: An Analysis

Revenue Growth: Zurn Elkay Water Solns's remarkable performance in 3 months is evident. As of 31 March, 2025, the company achieved an impressive revenue growth rate of 4.01%. This signifies a substantial increase in the company's top-line earnings. When compared to others in the Industrials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Navigating Financial Profits:

• Gross Margin: The company excels with a remarkable gross margin of 46.55%, indicating superior cost efficiency and profitability compared to its industry peers.

• Earnings per Share (EPS): Zurn Elkay Water Solns's EPS reflects a decline, falling below the industry average with a current EPS of 0.26.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.36.

Valuation Analysis:

• Price to Earnings (P/E) Ratio: Zurn Elkay Water Solns's current Price to Earnings (P/E) ratio of 38.42 is higher than the industry average, indicating that the stock may be overvalued according to market sentiment.

• Price to Sales (P/S) Ratio: The current P/S ratio of 4.05 is above industry norms, reflecting an elevated valuation for Zurn Elkay Water Solns's stock and potential overvaluation based on sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): With an EV/EBITDA ratio of 19.4, the company's market valuation exceeds 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.

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Why Pay Attention to Insider Transactions

Insider transactions serve as a piece of the puzzle in investment decisions, rather than the entire picture.

In the realm of legality, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities under Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are required to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.

Notably, when a company insider makes a new purchase, it is considered an indicator of their positive expectations for the stock.

Conversely, insider sells may not necessarily signal a bearish stance on the stock and can be motivated by various factors.

Understanding Crucial Transaction Codes

Digging into the details of stock transactions, investors frequently turn their attention to those taking place in the open market, as outlined in Table I of the Form 4 filing. A P in Box 3 indicates 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 Zurn Elkay Water Solns's Insider Trades.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.