Korn Ferry EVP Sells Over $3.7 Million in Company Stock

Korn Ferry’s Executive Vice President, Chief Financial Officer, and Chief Compliance Officer, Robert P. Rozek, has recently sold a significant number of shares in the company, as indicated by recent filings. The transactions occurred on September 19 and 20, totaling over $3.7 million in common stock sales.

On September 19, Rozek sold 20,921 shares at a weighted average price of $75.53 per share. The following day, he conducted two additional sales: the first involved 26,200 shares priced at an average of $75.18, and the second consisted of 2,879 shares averaging $75.63. These transactions were executed at various price points, with the first sale ranging from $75.30 to $75.87, the second from $74.57 to $75.57, and the final sale between $75.58 and $75.75, as noted in the filing’s footnotes.

As a result of these sales, Rozek now holds 125,456 shares of Korn Ferry. The company operates in global organizational consulting and employment services, and Rozek is recognized as a key executive, though he does not serve as a director or hold a 10 percent ownership stake.

Insider transactions are often scrutinized by investors as they may offer insight into an executive’s perspective on the company’s valuation and potential. While Rozek’s sales indicate a shift in his investment position, the filings do not disclose the reasoning behind these transactions.

These disclosures are part of the standard reporting requirements for company insiders, promoting transparency regarding the trading activities of executives and major shareholders.

In other news, Korn Ferry has reported a strong beginning to the first quarter of fiscal year 2025, with both fee revenue and profitability meeting or exceeding projections. The company’s adjusted EBITDA margin has expanded for the fifth consecutive quarter, and employee productivity has surged by 36% compared to pre-pandemic levels. For the second quarter, Korn Ferry expects fee revenue to be between $655 million and $685 million, with an adjusted EBITDA margin of 6.3% to 16.7% and GAAP diluted earnings per share ranging from $1.11 to $1.23. Despite a decline, the professional search and interim fee revenues show signs of stabilization.

Conversely, a decrease in revenue has been attributed to fewer flights to China. Nonetheless, Korn Ferry remains optimistic about future growth, focusing on innovation, brand enhancement, and talent development. The company’s capital allocation strategy includes significant shareholder returns, new hires, digital enhancements, and technology investments, positioning Korn Ferry favorably in a market valued at an estimated $300 billion.

Given the recent insider transactions, investors may seek further context to understand Korn Ferry’s financial standing better. The company is valued at approximately $3.9 billion, demonstrating its strong presence in the organizational consulting and employment services sector. Korn Ferry has increased its dividend for four consecutive years, signaling confidence in its financial health and commitment to shareholder value.

Korn Ferry’s cash flows appear strong enough to meet interest payments, indicating a stable financial structure to support debt obligations. Currently, the company trades at a P/E ratio of 21.36, with an adjusted P/E ratio of 18.82 for the last twelve months up to Q1 2023. This suggests a relatively high valuation for short-term earnings growth, reflected in a PEG ratio of 5.83. However, its price-to-book ratio remains moderate at 2.24, which may suggest a reasonable valuation in relation to the company’s net asset value.

For investors looking for a deeper analysis, numerous insights on Korn Ferry’s stock performance, liquidity, profitability, and forecasts are available, which can assist both shareholders and potential investors in evaluating the implications of insider sales and the company’s overall investment potential.

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