In a recent move signaling confidence in Deluxe (NYSE:DLX) Corp, President and CEO Barry C. McCarthy purchased shares of the company worth approximately $51,300. On March 13, McCarthy bought 2,666 shares of Deluxe Corp (NYSE:DLX), a leader in the printing and business services sector, at an average price of $19.25 per share.
The transactions were carried out in multiple trades, with prices ranging from $19.19 to $19.35, reflecting a weighted average purchase price. Following this acquisition, McCarthy's total ownership in Deluxe Corp has increased to 173,410 shares.
This purchase by the CEO comes at a time when investors pay keen attention to insider transactions, as they can provide insights into the company's health and future prospects. Deluxe Corp, with a rich history in the printing industry, has been diversifying its services to include business technology solutions.
Investors often view insider purchases as a positive sign that those with the closest knowledge of the company believe in its value and potential for growth. McCarthy's recent stock acquisition could be interpreted as a strong vote of confidence in Deluxe Corp's strategy and future performance.
The details of these transactions were disclosed in a Form 4 filing with the Securities and Exchange Commission, as required by company insiders to report their trading activities. Deluxe Corp's shares are publicly traded on the New York Stock Exchange under the ticker symbol DLX.
InvestingPro Insights
In light of Deluxe Corp's (NYSE:DLX) recent executive share purchase, current and prospective investors might find the following insights from InvestingPro valuable. Deluxe Corp is currently trading at an adjusted P/E ratio of 11.85, which is a significant decrease from its unadjusted P/E of 31.14, suggesting that the company's earnings power might be undervalued when considering its performance over the last twelve months as of Q4 2023.
The company boasts a high gross profit margin of 53.59% for the same period, indicating strong operational efficiency and control over costs relative to its revenue. Additionally, Deluxe Corp has demonstrated a commitment to returning value to shareholders, not only by maintaining dividend payments for 54 consecutive years but also by offering a substantial dividend yield of 6.25% as of the latest data.
InvestingPro Tips highlight that Deluxe Corp is expected to see net income growth this year and has been profitable over the last twelve months. These factors, combined with the CEO's recent share purchase, may signal to investors a positive outlook for the company's financial health and future growth prospects.
For those looking to delve deeper into the company's performance metrics and gain more insights, there are additional InvestingPro Tips available at https://www.investing.com/pro/DLX. Use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, unlocking a wealth of data and analysis to inform your investment decisions. There are 8 more InvestingPro Tips available for Deluxe Corp, which could provide further valuable context for investors considering this stock.
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