Compass Minerals director Reece Joseph E buys $48,400 in stock

Published 27/03/2025, 21:20
Compass Minerals director Reece Joseph E buys $48,400 in stock

Reece Joseph E, a director at Compass Minerals International Inc. (NYSE:CMP), recently purchased 5,000 shares of the company’s common stock. The shares were acquired at a weighted average price of $9.68 per share, resulting in a total transaction value of approximately $48,400. According to InvestingPro data, this purchase comes as analysts set price targets between $14 and $20, suggesting potential upside from current levels. The company, currently valued at approximately $393 million, maintains a "Fair" financial health score despite operating with a significant debt burden. Following this transaction, Reece holds 21,000 shares indirectly through a trust. Additionally, he has direct ownership of 58,769 shares, which includes deferred stock units granted for his service as a director. Want deeper insights into insider trading patterns and comprehensive financial analysis? InvestingPro offers exclusive access to detailed insider trading analysis and 6 additional key ProTips for CMP, along with a professional research report that provides actionable intelligence for smarter investing decisions.

In other recent news, Compass Minerals has announced significant cost-reduction measures, including a reduction of over 10% of its corporate workforce and the closure of its fire retardant business, Fortress North America. These steps are expected to enhance free cash flow and reduce debt, with estimated run-rate cost savings between $11 million and $13 million. Meanwhile, S&P Global Ratings has downgraded Compass Minerals’ rating to ’B’ from ’B+’, citing higher leverage and a contraction in EBITDA. This follows an increase in debt by about 20% over the past five quarters, with expectations of continued negative free cash flow generation. Additionally, Moody’s Ratings has downgraded Compass Minerals’ corporate family rating to B2 from B1 and revised its outlook to negative, due to weakened credit metrics and elevated leverage. The company has faced challenges from unfavorable weather conditions and strategic missteps that have impacted its financial flexibility. Despite these challenges, Compass Minerals held its Annual Meeting of Stockholders, where all proposed items, including the approval of executive compensation and the election of directors, were passed with strong shareholder support.

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