On September 21, 2023, John Rakolta, a director at Agree Realty Corp (ADC, Financial), purchased 30,000 shares of the company. This move is significant as it indicates the insider's confidence in the company's future prospects.
John Rakolta is a prominent figure in the real estate industry, with a wealth of experience in property development and management. His role as a director at Agree Realty Corp involves overseeing the company's strategic direction and ensuring its continued growth and success.
Agree Realty Corp is a leading player in the real estate industry, specializing in the acquisition and development of properties for retail purposes. The company's portfolio includes over 1,000 properties spread across 46 states, making it one of the largest and most diversified retail real estate companies in the United States.
Over the past year, the insider has purchased a total of 88,995 shares and has not sold any shares. This trend suggests a strong belief in the company's potential for growth and profitability.
The insider transaction history for Agree Realty Corp shows a total of 18 insider buys over the past year, with no insider sells recorded over the same period. This trend indicates a positive sentiment among the company's insiders, which could be a bullish signal for potential investors.
On the day of the insider's recent buy, shares of Agree Realty Corp were trading at $57.48 each, giving the company a market cap of $5.464 billion.
The stock's price-earnings ratio stands at 32.25, which is higher than both the industry median of 16.65 and the company's historical median price-earnings ratio. This could suggest that the stock is currently overvalued.
However, with a price of $57.48 and a GuruFocus Value of $75.80, Agree Realty Corp has a price-to-GF-Value ratio of 0.76. This indicates that the stock is modestly undervalued based on its GF Value.
The GF Value is an intrinsic value estimate developed by GuruFocus. It is calculated based on historical multiples 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 Agree Realty Corp, coupled with the company's modest undervaluation based on its GF Value, could present a potential investment opportunity. However, investors should conduct their own due diligence before making any investment decisions.
