In a recent SEC filing, it was revealed that Todd M Cleveland, Board Member at Patrick Industries PATK, made a noteworthy insider purchase on May 20,.
What Happened: A Form 4 filing with the U.S. Securities and Exchange Commission on Tuesday unveiled that Cleveland made a notable purchase of 11,000 shares of Patrick Industries, valuing at $952,259.
In the Tuesday’s morning session, Patrick Industries‘s shares are currently trading at $88.29, experiencing a up of 0.62%.
All You Need to Know About Patrick Industries
Patrick Industries Inc makes and sells building products and materials for recreational vehicles and manufactured housing. The company is organized into two segments based on product type: manufacturing and distribution. The manufacturing segment, which generates the majority of revenue, sells laminated and vinyl products that include furniture, shelving, cabinets, bath fixtures, and countertops. The distribution segment sells prefinished wall and ceiling panels, as well as electrical and plumbing products for the RV and manufactured housing industries. One of the firm’s RV customers makes up a portion of revenue.
Financial Insights: Patrick Industries
Revenue Growth: Patrick Industries displayed positive results in 3 months. As of 31 March, 2025, the company achieved a solid revenue growth rate of approximately 7.49%. This indicates a notable increase in the company’s 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 Consumer Discretionary sector.
Profitability Metrics:
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Gross Margin: The company shows a low gross margin of 22.78%, indicating concerns regarding cost management and overall profitability relative to its industry counterparts.
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Earnings per Share (EPS): Patrick Industries’s EPS is a standout, portraying a positive bottom-line trend that exceeds the industry average with a current EPS of 1.17.
Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 1.43, caution is advised due to increased financial risk.
Insights into Valuation Metrics:
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Price to Earnings (P/E) Ratio: A higher-than-average P/E ratio of 21.09 suggests caution, as the stock may be overvalued in the eyes of investors.
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Price to Sales (P/S) Ratio: The current P/S ratio of 0.79 is below industry norms, suggesting potential undervaluation and presenting an investment opportunity for those considering sales performance.
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EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): With an impressive EV/EBITDA ratio of 10.34, Patrick Industries demonstrates exemplary market valuation, surpassing 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
While insider transactions should not be the sole basis for making investment decisions, they can play a significant role in an investor’s decision-making process.
From a legal standpoint, the term “insider” pertains to any officer, director, or beneficial owner holding more than ten percent of a company’s equity securities as outlined in Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and significant hedge funds. These insiders are mandated to inform the public of their transactions through a Form 4 filing, to be submitted within two business days of the transaction.
A company insider’s new purchase is a indicator of their positive anticipation for a rise in the stock.
While insider sells may not necessarily reflect a bearish view and can be motivated by various factors.
The Insider’s Guide to Important Transaction Codes
Navigating through the landscape of transactions, investors often prioritize those unfolding in the open market, precisely 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 Patrick Industries’s Insider Trades.
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This article was generated by Benzinga’s automated content engine and reviewed by an editor.
