Option Care Health Inc (NASDAQ:OPCH), a leading provider of home and alternate site infusion services, has seen a significant insider purchase by Director KRAEMER HARRY M JANSEN JR. According to a recent SEC filing, the insider acquired 35,000 shares of the company on February 26, 2024.
Over the past year, KRAEMER HARRY M JANSEN JR has been an active buyer of the company's stock, with a total of 90,000 shares purchased and no shares sold. This latest transaction continues the trend of insider confidence in the company's prospects.
The insider transaction history for Option Care Health Inc reveals a pattern of more insider buying than selling over the past year. There have been 5 insider buys and only 1 insider sell during this period, indicating a positive sentiment among those with intimate knowledge of the company's operations and potential.
On the valuation front, Option Care Health Inc's shares were trading at $31.55 on the day of the insider's purchase, giving the company a market cap of $5.484 billion. The price-earnings ratio stands at 21.50, which is lower than both the industry median of 26.38 and the company's historical median price-earnings ratio, suggesting a potentially undervalued situation relative to its peers and its own trading history.
The stock's price relative to the GuruFocus Value (GF Value) also indicates that Option Care Health Inc is Fairly Valued. With a current price of $31.55 and a GF Value of $34.27, the price-to-GF-Value ratio is 0.92. The GF Value is a proprietary intrinsic value estimate from GuruFocus, which takes into account historical trading multiples, a GuruFocus adjustment factor based on past returns and growth, and future business performance estimates from Morningstar analysts.
This insider purchase could be a signal to investors that those with the most insight into Option Care Health Inc's operations see current share prices as an attractive entry point, and that the company's stock may be poised for future growth.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
