On September 7, 2023, Steven Rasche, the Executive Vice President of Spire Inc (SR, Financial), purchased 600 shares of the company. This move is significant as insider buying often indicates a strong belief in the company's future prospects.
Steven Rasche has been with Spire Inc for several years, serving in various leadership roles. His extensive experience and deep understanding of the company's operations make his stock purchases particularly noteworthy.
Spire Inc is a public utility holding company based in St. Louis, Missouri. The company is engaged in the purchase, retail distribution, and sale of natural gas to residential, commercial, industrial, and other end-users of natural gas in the United States. It operates through two segments: Gas Utility and Gas Marketing.
Over the past year, the insider has purchased a total of 600 shares and has not sold any shares. This trend suggests a strong confidence in the company's future performance.
The insider transaction history for Spire Inc shows a total of 3 insider buys over the past year, with no insider sells during the same period. This trend of insider buying could be a positive signal for potential investors.
On the day of the insider's recent buy, shares of Spire Inc were trading at $59.85 each, giving the company a market cap of $3.1 billion. The stock's price-earnings ratio stands at 13.68, which is lower than both the industry median of 15.06 and the company's historical median price-earnings ratio.
With a price of $59.85 and a GuruFocus Value of $83.72, Spire Inc has a price-to-GF-Value ratio of 0.71. This suggests that the stock could be a possible value trap, and potential investors should think twice before investing.
The GF Value is an intrinsic value estimate developed by GuruFocus. It is calculated based on historical multiples (price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow) that the stock has traded at, a GuruFocus adjustment factor based on the company’s past returns and growth, and future estimates of business performance from Morningstar analysts.
In conclusion, the recent insider buying activity at Spire Inc, particularly by Executive Vice President Steven Rasche, could be a positive signal for the company's future prospects. However, potential investors should carefully consider the company's valuation and other factors before making an investment decision.
