On August 14, 2023, Burton Goldfield, President, CEO, and Director of Trinet Group Inc (TNET, Financial), sold 3,954 shares of the company. This move is part of a series of transactions Goldfield has made over the past year, which have seen him sell a total of 86,642 shares.
Burton Goldfield has been with Trinet Group Inc since 2008, leading the company through a period of significant growth and transformation. Under his leadership, Trinet has become a leading provider of comprehensive human resources solutions for small to midsize businesses (SMBs). The company offers a range of HR services, including payroll processing, benefits administration, risk mitigation, and compliance assistance.
The recent sale by Goldfield is part of a broader trend of insider selling at Trinet. Over the past year, there have been 25 insider sells and no insider buys. This trend is illustrated in the following image:
On the day of Goldfield's recent sale, shares of Trinet Group Inc were trading at $106.31, giving the company a market cap of $6.35 billion. The price-earnings ratio of the stock is 19.17, which is higher than the industry median of 17.03 but lower than 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, Trinet Group Inc is fairly valued. The stock's price-to-GF-Value ratio is 1.05, with a GF Value of $100.80. This valuation is depicted in the following image:
The insider selling trend at Trinet, coupled with the stock's fair valuation, suggests that investors should exercise caution when considering this stock. While the company has a strong track record under Goldfield's leadership, the lack of insider buying and the high volume of insider selling could be a cause for concern. As always, potential investors should conduct their own research and consider their risk tolerance before making investment decisions.
