Yahoo Finance Insider Sale: Chief Accounting Officer Mona Chu Sells Shares of Pure Storage Inc (PSTG)
Pure Storage Inc (NYSE:PSTG), a company specializing in data storage technology, including flash-based storage solutions and cloud data services, recently witnessed a significant transaction by one of its insiders. Mona Chu, the Chief Accounting Officer, sold 10,000 shares of the company on June 18, 2024. The transaction was filed with the SEC and can be viewed in detail here.
Following this transaction, the insider now owns 130,547 shares of Pure Storage Inc (NYSE:PSTG). Over the past year, the insider has sold a total of 15,387 shares and has not made any purchases of the company's stock.
The sale occurred when shares of Pure Storage Inc (NYSE:PSTG) were priced at $70.11, valuing the company with a market cap of approximately $21.45 billion. This pricing places the company's price-earnings ratio at 235.57, which is significantly higher than the industry median of 23.865.
According to the GF Value assessment, Pure Storage Inc (NYSE:PSTG) is currently significantly overvalued. The GF Value, set at $35.22, suggests a price-to-GF-Value ratio of 1.99, indicating that the stock's current price is nearly double its estimated intrinsic value. The GF Value is calculated considering historical trading multiples, an adjustment factor based on the company's past performance, and future business performance estimates from analysts.
Insider transaction trends for Pure Storage Inc (NYSE:PSTG) over the past year show no insider purchases but 23 insider sales, highlighting a possible trend among insiders reducing their stakes in the company.
This insider activity and the current valuation metrics provide critical data points for investors monitoring Pure Storage Inc (NYSE:PSTG) and considering its potential future performance in the market.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
This article first appeared on GuruFocus.
