It was reported on May 12, that Richard Medway, General Counsel at Savers Value Village SVV executed a significant insider sell, according to an SEC filing.
What Happened: Medway’s recent move involves selling 16,490 shares of Savers Value Village. This information is documented in a Form 4 filing with the U.S. Securities and Exchange Commission on Monday. The total value is $189,445.
At Tuesday morning, Savers Value Village shares are down by 2.57%, trading at $11.01.
Unveiling the Story Behind Savers Value Village
Savers Value Village Inc is a for-profit thrift operator in the United States and Canada. It purchases second hand textiles (i.e., clothing, bedding, and bath items), shoes, accessories, housewares, books, and other goods from its non-profit partners (NPPs), either directly from them or via on-site donations (OSDs) at Community Donation Centers at its stores. The company then processes, selects, prices, merchandise, and sells these items in its stores.
Key Indicators: Savers Value Village’s Financial Health
Revenue Growth: Savers Value Village displayed positive results in 3 months. As of 31 March, 2025, the company achieved a solid revenue growth rate of approximately 4.51%. This indicates a notable increase in the company’s top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Consumer Discretionary sector.
Exploring Profitability:
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Gross Margin: The company maintains a high gross margin of 54.48%, indicating strong cost management and profitability compared to its peers.
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Earnings per Share (EPS): Savers Value Village’s EPS reflects a decline, falling below the industry average with a current EPS of -0.03.
Debt Management: Savers Value Village’s debt-to-equity ratio stands notably higher than the industry average, reaching 3.11. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.
Valuation Metrics: A Closer Look
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Price to Earnings (P/E) Ratio: With a higher-than-average P/E ratio of 80.71, Savers Value Village’s stock is perceived as being overvalued in the market.
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Price to Sales (P/S) Ratio: With a lower-than-average P/S ratio of 1.21, the stock presents an attractive valuation, potentially signaling a buying opportunity for investors interested in sales performance.
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EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): Savers Value Village’s EV/EBITDA ratio at 16.13 suggests potential undervaluation, falling below industry averages.
Market Capitalization Perspectives: The company’s market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.
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Why Insider Activity Matters in Finance
It’s important to note that insider transactions alone should not dictate investment decisions, but they can provide valuable insights.
In legal terms, an “insider” refers to any officer, director, or beneficial owner of more than ten percent of a company’s equity securities registered under Section 12 of the Securities Exchange Act of 1934. This can include executives in the c-suite and large hedge funds. These insiders are required to let the public know of their transactions via a Form 4 filing, which must be filed within two business days of the transaction.
When a company insider makes a new purchase, that is an indication that they expect the stock to rise.
Insider sells, on the other hand, can be made for a variety of reasons, and may not necessarily mean that the seller thinks the stock will go down.
Cracking Transaction Codes
When analyzing transactions, investors tend to focus on those in the open market, detailed in Table I of the Form 4 filing. A P in Box 3 denotes 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 Savers Value Village’s Insider Trades.
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This article was generated by Benzinga’s automated content engine and reviewed by an editor.
