On May 24, 2023, Burton Goldfield, President, CEO, and Director of Trinet Group Inc (TNET, Financial), sold 6,250 shares of the company's stock. This recent transaction is part of a series of insider sales by Goldfield over the past year, totaling 75,000 shares sold and no shares purchased.
Who is Burton Goldfield?
Burton Goldfield has been the President and CEO of Trinet Group Inc since 2008. Under his leadership, the company has grown significantly, providing comprehensive human resources solutions for small and medium-sized businesses. Goldfield has over 25 years of experience in the industry, holding executive positions at various companies before joining Trinet Group Inc.
Trinet Group Inc's Business Description
Trinet Group Inc is a leading provider of comprehensive human resources solutions for small and medium-sized businesses. The company offers a wide range of services, including payroll processing, benefits administration, risk management, and compliance support. By partnering with Trinet Group Inc, businesses can focus on their core operations while outsourcing their HR functions to a trusted provider.
Insider Trends
The insider transaction history for Trinet Group Inc reveals that there have been no insider buys over the past year. However, there have been 28 insider sells during the same period. This trend suggests that insiders may be taking advantage of the stock's current valuation to realize gains.
Valuation
On the day of Burton Goldfield's recent sale, shares of Trinet Group Inc were trading at $91.33 apiece, giving the stock a market cap of $5,334.273 million.
The price-earnings ratio is 16.26, which is lower than the industry median of 16.64 and lower than the company's historical median price-earnings ratio. This indicates that the stock may be undervalued compared to its peers and its historical valuation.
With a price of $91.33 and a GuruFocus Value of $97.62, Trinet Group Inc has a price-to-GF-Value ratio of 0.94. This means the stock is fairly valued based on its GF Value.
The GF Value is an intrinsic value estimate developed by GuruFocus that is calculated based on the following three factors:
- 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.
- Future estimates of business performance from Morningstar analysts.
In conclusion, the recent insider sell by Burton Goldfield, along with the overall trend of insider sells over the past year, may raise questions about the stock's current valuation. However, the stock's price-earnings ratio and price-to-GF-Value ratio suggest that it is fairly valued. Investors should carefully consider these factors and conduct further research before making any investment decisions regarding Trinet Group Inc.
