On September 12, 2023, Richard Stewart, a director at Kirby Corp (KEX, Financial), sold 3,000 shares of the company's stock. This move is part of a larger trend for the insider, who has sold a total of 8,000 shares over the past year and has not made any purchases during the same period.
Richard Stewart is a seasoned executive with extensive experience in the maritime industry. He has been a director at Kirby Corp for several years, providing strategic guidance and oversight to the company's operations.
Kirby Corp is a leading operator of tank barges in the United States. The company's primary business involves the marine transportation of bulk liquid products throughout the U.S. inland waterway system. Kirby Corp also provides after-market service and parts for engines, transmissions, reduction gears, and related equipment used in oilfield services, marine, power generation, on-highway, and other industrial applications.
The insider's recent sell-off is part of a broader trend at Kirby Corp. Over the past year, there have been 27 insider sells and only one insider buy. This could potentially signal a lack of confidence in the company's future prospects among its top executives and directors.
On the day of the insider's recent sell, shares of Kirby Corp were trading at $85.72, giving the company a market cap of $5.104 billion. This price represents a price-earnings ratio of 29.58, which is higher than both the industry median of 13.26 and the company's historical median price-earnings ratio.
According to the GuruFocus Value, which is an intrinsic value estimate based on historical multiples, a GuruFocus adjustment factor, and future business performance estimates, Kirby Corp is modestly overvalued. The stock's price-to-GF-Value ratio is 1.15, with a GF Value of $74.59.
The insider's decision to sell shares could be based on this valuation. However, it's important to note that insider selling does not necessarily indicate a negative outlook for the company. Insiders may sell shares for a variety of reasons, including personal financial planning or diversification. Therefore, while the insider's recent sell-off is noteworthy, it should not be the sole factor in investment decisions.
Investors should continue to monitor insider trading activity at Kirby Corp and consider other key factors such as the company's financial health, industry trends, and market conditions before making investment decisions.
