PriceSmart, Inc. Executive VP Francisco Velasco Sells Shares

On January 23rd, 2023, Francisco Velasco, the Executive Vice President of PriceSmart, Inc. (NASDAQ:PSMT - Get Free Report), executed a sale of 555 shares of the company's stock. The shares were sold at an average price of $90.42, resulting in a total transaction value of approximately $50,183.10. Following this sale, Velasco retains ownership of 79,008 shares, which are valued at around $7,143,903.36. This sale marks a 0.70% decrease in his total holdings of the company's stock. The details of this transaction were made available through a filing with the Securities and Exchange Commission (SEC), which can be accessed at the official site.

PriceSmart Market Performance

On Friday, PriceSmart's stock was trading slightly higher, increasing by $0.34 to reach $90.79 during midday trading. A total of 315,714 shares changed hands, surpassing the company's average trading volume of 258,328 shares. Currently, PriceSmart has a current ratio of 1.26 and a quick ratio of 0.43, with a debt-to-equity ratio standing at 0.08. Over the past fifty days, the stock's moving average price has been $91.28, while its two-hundred day moving average is $89.19. PriceSmart's market capitalization is approximately $2.78 billion. The company carries a price-to-earnings ratio of 20.00 and has a beta of 0.86. PriceSmart has recorded a low of $74.74 and a high of $99.23 over the last year.

Recent Earnings Report

PriceSmart recently released its quarterly earnings results on January 8th. The company reported earnings of $1.21 per share (EPS) for the quarter, which fell short of analysts' expectations that predicted EPS of $1.43 by a margin of $0.22. The revenue for the quarter was reported at $1.26 billion, slightly exceeding the forecasted $1.24 billion. Additionally, the company achieved a return on equity of 12.29% and a net margin of 2.76%. Compared to the same quarter in the previous year, PriceSmart's revenue increased by 7.8%. In the prior year, the company had an EPS of $1.24. Analysts generally estimate that PriceSmart will post an EPS of 5.28 for the current fiscal year.

Changes in Analyst Ratings

Separately, StockNews.com has recently adjusted its ratings for PriceSmart, downgrading the stock from a "buy" to a "hold" rating in a report published on January 10.

Activity of Institutional Investors

Investment activity among institutional investors regarding PriceSmart has also been notable lately. For instance, the Canada Pension Plan Investment Board made a new investment in the company during the second quarter, amounting to about $32,000. In the fourth quarter, Heck Capital Advisors LLC acquired a position worth around $53,000. MassMutual Private Wealth & Trust FSB significantly increased its holdings by an astonishing 3,905.9% during the same quarter, resulting in ownership of 681 shares valued at roughly $63,000. GAMMA Investing LLC also raised its stake by 96.9% in the third quarter, obtaining 823 shares estimated at $76,000 after acquiring 405 extra shares. Furthermore, nVerses Capital LLC expanded its share holdings by 66.7% in the third quarter, reaching a total of 1,000 shares valued at $92,000 after purchasing 400 additional shares. Overall, institutional investors currently hold 80.46% of the company’s shares.

Overview of PriceSmart

PriceSmart, Inc. operates membership shopping warehouse clubs similar to those found in the U.S. These clubs are located in the United States, Central America, the Caribbean, and Colombia, offering a variety of products under the Member's Selection brand. Their inventory includes essential items such as groceries, cleaning supplies, health and beauty products, meats, produce, deli items, seafood, and poultry.

Conclusion

In summary, PriceSmart continues to navigate the retail landscape with significant institutional support, although recent earnings results and executive share sales present mixed signals for investors. Stakeholders will be watching closely as the company progresses in the current fiscal year.

PriceSmart, Stock, Sale