Sean P. Downes, Executive Chairman of Universal Insurance Holdings, Inc., Sells $400k Worth of Company Stock
In a recent transaction, Sean P. Downes, the Executive Chairman of Universal Insurance Holdings, Inc., sold 20,000 shares of company stock at an average price of $20.0046 per share, totaling approximately $400,092. The sale was conducted in multiple transactions with prices ranging between $19.69 and $20.25.
Despite the sale, Downes continues to hold 1,122,262 shares directly. In addition, he has indirect ownership through family members, with 18,000 shares owned by his children and 2,000 by his spouse.
Investors often view insider trades as a signal of confidence in the company's prospects. Universal Insurance Holdings operates in the insurance sector and recently reported strong financial performance in the second quarter of 2024.
The company saw a 30.5% annualized adjusted return on common equity, a 35.6% year-over-year growth in adjusted diluted earnings per share, and a 12.5% year-over-year increase in core revenue to $379.2 million. Universal Insurance Holdings also renewed its reinsurance program for 2024-2025 with only a modest cost increase, repurchased shares, and declared a quarterly cash dividend.
InvestingPro Insights:
- Universal Insurance Holdings has a market capitalization of $548.59 million and a P/E ratio of 6.75.
- The company boasts a high shareholder yield and has maintained dividend payments for 19 consecutive years.
- Revenue has shown growth over the last twelve months, increasing by 14.2%.
InvestingPro Tips suggest that Universal Insurance Holdings' valuation implies a strong free cash flow yield and profitability. However, the company's short-term obligations exceeding its liquid assets may be a point of consideration for risk-averse investors.
Overall, the recent stock sale by Sean P. Downes provides investors with valuable insights into Universal Insurance Holdings' financial health and market performance, guiding their investment decisions for the future.
