On August 20, 2024, Jennifer Newstead, Chief Legal Officer of Meta Platforms Inc (NASDAQ:META), sold 905 shares of the company at a price of $528.38 per share. The transaction was documented in a recent SEC filing. Following this sale, the insider now owns 40,532 shares of Meta Platforms Inc.
Meta Platforms Inc, formerly known as Facebook, is a social media conglomerate that includes platforms such as Facebook, Instagram, and WhatsApp, among others. The company focuses on connecting people through technology and has expanded its business to include virtual reality and advertising.
Over the last year, Jennifer Newstead has sold a total of 35,869 shares of Meta Platforms Inc. and made no purchases. This recent sale is part of a broader trend seen within the company. Over the last year, there have been 273 insider sales and no insider purchases.
As of the last trading day, Meta Platforms Inc (NASDAQ:META) had a market capitalization of approximately $1,346.12 billion. The stock’s price-to-earnings ratio was 27.15, which is higher than the industry median of 20.09, indicating a higher valuation compared to its peers.
The GF Value, an estimate of intrinsic value from GuruFocus, for Meta Platforms Inc. is $380.27, suggesting that the stock is significantly overvalued with a Price to GF Value ratio of 1.39.
This valuation is based on historical trading multiples such as price-earnings ratio, price-sales ratio, price-book ratio and price-free cash flow, adjusted for expected business performance.
The insider’s recent transaction could provide investors with insights into the company’s current valuation and future expectations with regard to its ongoing development and market positioning.
This article created by GuruFocus is intended to provide general insights and does not constitute tailored financial advice. Our commentary is based on historical data and analyst forecasts, uses an unbiased methodology and is not intended to serve as specific investment advice. It does not contain a recommendation to buy or sell any stock and does not take into account any individual investment objectives or financial circumstances. Our goal is to provide long-term, fundamental, data-driven analysis. Note that our analysis may not include the most recent, price-sensitive company announcements or qualitative information. GuruFocus does not hold a position in any stocks mentioned here.
This article first appeared on GuruFocus.
