Fastenal Co (NASDAQ:FAST) saw significant stock transactions by its Executive Vice President of Strategy and Communication, Donnalee Kathleen Papenfuss, according to a recent SEC filing. On November 8, Papenfuss sold a total of 4,462 shares of Fastenal's common stock, generating approximately $374,469. The shares were sold at prices ranging from $83.9181 to $83.9259 per share.
In addition to the sales, Papenfuss exercised options to acquire a total of 4,462 shares at prices between $26.0 and $27.5 per share. These transactions resulted in a total acquisition cost of approximately $117,512. Following these transactions, Papenfuss holds 157 shares of Fastenal stock through a 401(k) plan.
Fastenal, based in Winona, Minnesota, operates in the retail-building materials, hardware, and garden supply industry.
In other recent news, Fastenal Company (NASDAQ:FAST) reported a 3.5% increase in net sales and a 1% rise in earnings per share to $0.52 in its Q3 2024 earnings call, despite disruptions from Hurricane Helene. The company signed 93 new Onsite locations, increasing active sites by 12%, and saw a 25.5% rise in eCommerce sales, which accounted for 61.1% of total sales. Fastenal appointed Donnalee K. Papenfuss as Executive Vice President of Strategy and Communications, effective starting November 1, 2024. Investment firms Baird, Loop Capital, and Stephens have recently raised their price targets for Fastenal to $80, $72, and $75 respectively, maintaining neutral ratings. Fastenal projects a stable fourth quarter performance and anticipates lower capital expenditures in 2025 compared to the current $250 million run rate. The company aims to reach between 375 and 400 active Onsite locations and has set a target of $10 billion in future revenue, with plans to add $1 billion annually. These strategies will be outlined at an Analyst Day scheduled for April.
InvestingPro Insights
Fastenal Co's recent insider transaction by Executive Vice President Donnalee Kathleen Papenfuss aligns with several key financial metrics and trends highlighted by InvestingPro data. The company's stock has shown remarkable strength, with a 29.03% price total return over the past three months and a 44.63% return over the past year. This performance has pushed Fastenal's stock to trade near its 52-week high, with the current price at 99.02% of that peak.
The robust stock performance is reflected in Fastenal's valuation metrics. The company is trading at a P/E ratio of 41.53, which is considered high and suggests investor optimism about future growth prospects. This is further supported by an InvestingPro Tip indicating that Fastenal is trading at a high earnings multiple relative to its near-term earnings growth.
Despite the high valuation, Fastenal has demonstrated solid financial fundamentals. The company reported revenue of $7.48 billion over the last twelve months, with a gross profit margin of 45.23%. Additionally, Fastenal has maintained dividend payments for 32 consecutive years, showcasing its commitment to shareholder returns. The current dividend yield stands at 1.85%, with a notable dividend growth of 11.43% over the last twelve months.
It's worth noting that InvestingPro offers 20 additional tips for Fastenal, providing investors with a comprehensive analysis of the company's financial health and market position. These insights can be particularly valuable given the stock's current trading levels and the recent insider transaction.
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