Robert Sanchez Takes Money Off The Table, Sells $1.02M In Consolidated Edison Stock

Robert Sanchez, President at Consolidated Edison ED, disclosed an insider sell on April 23, according to a recent SEC filing.

What Happened: A Form 4 filing from the U.S. Securities and Exchange Commission on Wednesday showed that Sanchez sold 10,630 shares of Consolidated Edison. The total transaction amounted to $1,017,928.

The latest update on Thursday morning shows Consolidated Edison shares up by 0.78%, trading at $113.4.

Get to Know Consolidated Edison Better

Con Ed is a holding company for Consolidated Edison of New York, or CECONY, and Orange & Rockland, or O&R. These utilities provide steam, natural gas, and electricity to customers in southeastern New York—including New York City—and small parts of New Jersey. The two utilities generate nearly all of Con Ed’s earnings following the sale of its clean energy business to RWE in early 2023.

Breaking Down Consolidated Edison’s Financial Performance

Positive Revenue Trend: Examining Consolidated Edison’s financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 6.53% as of 31 December, 2024, showcasing a substantial increase in 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 Utilities sector.

Profitability Metrics:

• Gross Margin: The company sets a benchmark with a high gross margin of 51.65%, reflecting superior cost management and profitability compared to its peers.

• Earnings per Share (EPS): Consolidated Edison’s EPS is significantly higher than the industry average. The company demonstrates a robust bottom-line performance with a current EPS of 0.9.

Debt Management: With a below-average debt-to-equity ratio of 1.27, Consolidated Edison adopts a prudent financial strategy, indicating a balanced approach to debt management.

Navigating Market Valuation:

• Price to Earnings (P/E) Ratio: With a lower-than-average P/E ratio of 21.47, the stock indicates an attractive valuation, potentially presenting a buying opportunity.

• Price to Sales (P/S) Ratio: The current P/S ratio of 2.56 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): Indicated by a lower-than-industry-average EV/EBITDA ratio of 12.23, the company suggests a potential undervaluation, which might be advantageous for value-focused investors.

Market Capitalization Analysis: The company’s market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.

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Why Insider Transactions Are Key in Investment Decisions

Emphasizing the importance of a comprehensive approach, considering insider transactions is valuable, but it’s crucial to evaluate them in conjunction with other investment factors.

In the context of legal matters, the term “insider” refers to any officer, director, or beneficial owner holding more than ten percent of a company’s equity securities, as outlined by Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and significant hedge funds. Such insiders are obligated to report their transactions through a Form 4 filing, which must be completed within two business days of the transaction.

Pointing towards optimism, a company insider’s new purchase signals their positive anticipation for the stock to rise.

Despite insider sells not always signaling a bearish sentiment, they can be driven by various factors.

Cracking Transaction Codes

In the domain of transactions, investors frequently turn their focus to those taking place in the open market, as meticulously outlined in Table I of the Form 4 filing. A P in Box 3 indicates a purchase, while S signifies a sale. Transaction code C signals 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 Consolidated Edison’s Insider Trades.

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