RGC Resources VP acquires shares worth $53,300

Published 06/01/2025, 20:00
RGC Resources VP acquires shares worth $53,300

Miles Christen Brooke, Vice President of Human Resources at RGC Resources Inc . (NASDAQ:RGCO), a utility company with a market capitalization of $206 million, recently executed transactions involving the company's common stock. On January 2, Brooke acquired 2,665 shares valued at approximately $53,300. According to InvestingPro analysis, the stock currently trades above its Fair Value with a P/E ratio of 17.3x. This acquisition was part of an award under the company's Restricted Stock Plan, which is set to vest over a three-year period. Additionally, Brooke made a purchase of 5 shares at a price of $20 each, totaling $100, through the company's Dividend Reinvestment and Stock Purchase Plan. The company maintains a robust 4.14% dividend yield and has increased its dividend for 11 consecutive years, as revealed by InvestingPro data. Following these transactions, Brooke's direct ownership increased to 6,559.41 shares, including unvested restricted stock.

In other recent news, RGC Resources Inc. reported better-than-expected earnings for the fourth quarter of 2024, surpassing the forecast with earnings per share (EPS) of $0.01 against a predicted loss of $0.01. Despite this positive surprise, the company's stock experienced a dip, reflecting investor concerns over lower net income and other financial challenges. The company's revenue also exceeded expectations, reaching $13.1 million, higher than the projected $13 million. However, RGC Resources' net income for the fourth quarter significantly declined to $141,000 from $1 million in the same period last year.

The company's full-year net income showed a slight increase, rising to $11.8 million from $11.3 million in 2023. Despite these challenges, RGC Resources is forecasting earnings per share between $1.18 and $1.25 for 2025 and plans to invest $21.6 million in capital spending. The company is also exploring potential expansion opportunities for the Mountain Valley Pipeline (MVP). These are recent developments and demonstrate the company's resilience in its financial performance amidst industry challenges such as inflationary pressures and increased interest costs.

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