Dorman Products Director Sells Over $25K in Company Stock

Steven L. Berman, a director at Dorman Products, Inc., which specializes in motor vehicle parts and accessories, has divested a portion of his stake in the company. On September 20, 2024, Berman sold 215 shares of common stock at an average price of $117.01, resulting in total proceeds exceeding $25,157.

This sale was part of multiple transactions executed at prices ranging from $117.00 to $117.0650 per share. Details indicate that these sales occurred in various transactions at different price points within that range.

Post-transaction, Berman’s direct ownership in Dorman Products totals 881,298 shares. Additionally, he holds an indirect interest in 100,000 shares placed in a trust for his grandchildren’s benefit, with his spouse serving as co-trustee. Berman disclaims any beneficial ownership of these shares, and this filing should not be regarded as an admission of beneficial ownership under any regulations.

Moreover, Berman has an indirect interest in 24,587 shares represented by units in a unitized stock fund through the company’s 401(k) Retirement Plan and Trust, which consists of various amounts of cash and common stock.

Sales by company insiders, such as directors, often attract investor scrutiny as they monitor these transactions for insights into executive confidence regarding the company’s future performance. However, the motivations behind such transactions can vary widely, from individual financial planning to diversification strategies, and do not necessarily indicate the director’s outlook on the company.

Investors keeping a close eye on Dorman Products will continue to track insider transactions as part of their overall analysis of the company’s stock performance and financial health.

Company Overview

When evaluating the recent insider sale by Steven L. Berman, it is vital to consider Dorman Products’ financial stability and market position. The company has exhibited strong financial metrics, which provide context beyond insider activities. Notably, Dorman Products holds a perfect Piotroski Score of 9, illustrating its robust financial standing and suggesting favorable fundamentals.

In terms of valuation, Dorman Products is trading at a relatively low P/E ratio of 21.14 compared to its short-term earnings growth, presenting a possible investment opportunity for value-focused investors. The company’s P/E ratio has gradually decreased to 20.01 over the past twelve months, reflecting a stable earnings outlook. Additionally, the PEG Ratio stands at an enticing 0.21 during the same period, indicating the stock may be undervalued, given projected earnings growth.

Investors monitoring the company’s stock performance will observe that Dorman Products has posted a substantial return over the last year, with a total price return of 55.61%. This positive performance is supported by a notable three-month price total return of 22.33%, highlighting the stock’s recent upward trajectory. The stock is currently near its 52-week high, trading at 96.45% of its peak price, consistent with the observed positive return trends.

For those looking for deeper insights, various tips and analyses are available regarding Dorman Products, covering essential metrics such as liquidity, debt levels, and profitability forecasts.

This article was generated with the assistance of AI and reviewed by an editor.