Steven J Orlando Of Molina Healthcare Shows Optimism, Buys $54K In Stock

In a recent SEC filing, it was revealed that Steven J Orlando, Director at Molina Healthcare (NYSE:MOH), made a noteworthy insider purchase on October 3,.

What Happened: In a recent Form 4 filing with the U.S. Securities and Exchange Commission on Friday, Orlando increased their investment in Molina Healthcare by purchasing 285 shares through open-market transactions, signaling confidence in the company's potential. The total transaction value is $54,945.

Molina Healthcare's shares are actively trading at $201.56, experiencing a up of 3.76% during Friday's morning session.

All You Need to Know About Molina Healthcare

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.

Molina Healthcare: Financial Performance Dissected

Revenue Growth: Over the 3 months period, Molina Healthcare showcased positive performance, achieving a revenue growth rate of 15.66% as of 30 June, 2025. This reflects a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Health Care sector.

Navigating Financial Profits:

• Gross Margin: The company faces challenges with a low gross margin of 10.21%, suggesting potential difficulties in cost control and profitability compared to its peers.

• Earnings per Share (EPS): Molina Healthcare's EPS outshines the industry average, indicating a strong bottom-line trend with a current EPS of 4.75.

Debt Management: Molina Healthcare's debt-to-equity ratio is notably higher than the industry average. With a ratio of 0.77, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

Valuation Analysis:

• Price to Earnings (P/E) Ratio: With a lower-than-average P/E ratio of 9.58, the stock indicates an attractive valuation, potentially presenting a buying opportunity.

• Price to Sales (P/S) Ratio: The current P/S ratio of 0.25 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): With a lower-than-industry-average EV/EBITDA ratio of 2.85, Molina Healthcare presents a potential value opportunity, as investors are paying less for each unit of EBITDA.

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

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The Importance of Insider Transactions

Insider transactions shouldn't be used primarily to make an investing decision, however, they can be an important factor for an investor to consider.

From a legal standpoint, the term "insider" pertains to any officer, director, or beneficial owner holding more than ten percent of a company's equity securities as outlined in Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and significant hedge funds. These insiders are mandated to inform the public of their transactions through a Form 4 filing, to be submitted within two business days of the transaction.

A company insider's new purchase is a indicator of their positive anticipation for a rise in the stock.

While insider sells may not necessarily reflect a bearish view and can be motivated by various factors.

Cracking 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.

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