Essential properties CEO sells over $600k in company stock

Essential Properties Realty Trust , Inc. (NYSE:EPRT) reported that its President and CEO, Peter M. Mavoides, sold a total of $608,167 worth of company stock, according to a recent SEC filing. The transactions, conducted under a pre-arranged trading plan, involved the sale of shares at prices ranging from $27.54 to $28.00.

On July 1, 2024, Mavoides sold 20,863 shares at an average price of $27.54 per share. The sales were part of multiple transactions with prices varying from $27.36 to $27.68. Following this sale, the CEO still retained 514,464 shares of Essential Properties Realty Trust stock.

A couple of days later, on July 3, the CEO further divested 1,200 shares at an average price of $28.00 per share. The transactions on this day were executed within a narrow price range of $28.00 to $28.01. After this sale, Mavoides's ownership in the company was reduced to 513,264 shares.

The sales were executed in accordance with Rule 10b5-1, which allows company insiders to establish pre-arranged plans to buy or sell specific amounts of stock at predetermined times. This rule is designed to prevent insider trading by allowing insiders to plan transactions when they are not in possession of material non-public information.

The SEC filing included a footnote indicating that Mavoides is willing to provide additional information regarding the number of shares sold at each separate price upon request. This transparency is part of the company's commitment to fair disclosure practices.

Investors and analysts often monitor insider transactions as they can provide insights into executives' confidence in their company's future prospects. With the recent sales by Essential Properties Realty Trust's CEO, market participants may be keen to understand the context and reasoning behind these transactions.

In other recent news, Essential Properties Realty Trust has been the recipient of considerable attention from investment firms. Goldman Sachs initiated coverage on the company with a Buy rating, citing expected significant earnings growth due to a consistent volume of acquisitions. UBS also initiated coverage, assigning a Buy rating and anticipating growth in adjusted funds from operations (AFFO) for 2024 and 2025 due to expected significant acquisition opportunities.

Scotiabank updated its outlook on Essential Properties, raising the price target while maintaining a Sector Perform rating. The firm noted that despite fluctuations in the Net Lease transaction market, Essential Properties continues to attract sale-leaseback financing. Scotiabank anticipates growth in AFFOPS of 5.2% in 2024 and 7.3% in 2025 due to the company's investments and substantial leverage capacity.

B.Riley adjusted the price target for Essential Properties upward while maintaining a Buy rating. The analyst noted the company's strong performance despite a challenging economic climate and emphasized that Essential Properties' growth outlook is currently undervalued. The company demonstrated its ability to scale investment activity in an uncertain interest rate environment, with record investment volumes contrasting with reduced acquisition activity among its peers. These are recent developments in the company's operations and financial outlook.

InvestingPro Insights

Amidst the recent insider transactions at Essential Properties Realty Trust, Inc. (NYSE:EPRT), the company's financial health and market performance provide a broader context. According to InvestingPro data, Essential Properties boasts a solid market capitalization of $4.9 billion and has demonstrated strong revenue growth over the last twelve months as of Q1 2024, with a notable increase of 26.44%. Additionally, the company's gross profit margin stands impressively high at 98.75%, reflecting efficient operations and cost management.

InvestingPro Tips highlight that Essential Properties has been on an upward trajectory, raising its dividend for six consecutive years, which signals a commitment to returning value to shareholders. Moreover, analysts have revised their earnings upwards for the upcoming period, further instilling confidence in the company's financial performance. Notably, Essential Properties is trading near its 52-week high, with the price at 98.83% of this peak, indicating robust investor sentiment.

For investors seeking deeper insights and additional tips, there are 7 more InvestingPro Tips available for Essential Properties, which can be accessed by visiting https://www.investing.com/pro/EPRT. To enrich your investment strategies, consider using the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription.

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