Blue Bird Corp CEO sells more than $2.3 million in company stock by Investing.com

Blue Bird Corp (NASDAQ:) reported significant trading activity by Chief Executive Officer, Phil Horlock. According to recent filings, Horlock sold a large amount of the company's stock, amounting to $2.3 million.

On August 23, Horlock sold 16,080 shares at an average price of $47.34, with the transaction ranging from $46.84 to $47.73 per share. After this, on August 26, he sold an additional 32,159 shares at an estimated price of $48.93, within the price range of $48.77 to $49.25 per share. The total amount of shares sold by Horlock was approximately $2,334,767.

Before this sale, the CEO also received shares by exercising the option on August 22 and 23, a total of 48,239 shares at a fixed price of $ 16.20 per share, amounting to $ 781,471. These transactions are made under predetermined trading plans, which often allow company insiders to sell a set number of shares at a time when they may not be allowed to trade due to insider trading policies.

Investors often view insider trading activities as an indication of management's confidence in the company's prospects. The sale of a large portion of stock by an executive may be interpreted in many ways, and it is not always clear whether such a sale is based on personal financial planning decisions or a view of the company's future performance.

Blue Bird Corp, known for its production of school buses and other commercial vehicles, continues to be an important part of the automotive industry. Transactions are duly filed with the Securities and Exchange Commission and are publicly available for inspection by investors.

In other recent news, Blue Bird Corporation reported record earnings for the third quarter of 2024, showing a significant increase in profits and raising its guidance for the full year. The company achieved an adjusted EBITDA margin of 14.5% and saw an increase in bus orders, including sales of electric buses, with a backlog of over 5,200 units. This represents approximately $775 million in potential revenue.

Blue Bird also plans to expand its production capacity, supported by an $80 million grant from the Department of Energy. This expansion is expected to allow the company to produce up to 14,000 buses per year and create around 400 new jobs.

The company expects fiscal 2024 revenue to reach $1.315 billion with adjusted EBITDA of $175 million. For fiscal 2025, estimates show revenue between $1.4 billion and $1.5 billion, with adjusted EBITDA $180 million to $200 million.

However, Blue Bird also faces inflation and supply chain issues, which may impact net income. Despite these challenges, the company remains optimistic about the future, expecting revenue growth and a highly adjusted EBITDA in the coming years. These are the latest developments in the company's operations and outlook.

InvestingPro Insights

During recent insider trading activity by Blue Bird Corp's (NASDAQ:BLBD) CEO, Phil Horlock, the company's financial health and market performance are showing some interesting trends. With a market capitalization of $1.6 billion and a P/E ratio of 15.91, Blue Bird Corp stands out with a significant year-to-date return of 81.6% and an even more impressive one-year price return of 131.38%. These strong returns highlight the company's strong market performance over the past year.

InvestingPro's tip related to this performance is the fact that analysts are predicting that the company will be profitable this year, which may contribute to the stock's high return. Additionally, the company's revenue growth over the past twelve months from Q3 2024 stands at 19.53%, indicating a healthy increase in its finances. This is in line with another InvestingPro Tip that notes that three analysts have revised their earnings upward in the future, indicating a positive outlook on the company's earnings potential.

For investors who want to dive deeper into the possibilities of Blue Bird Corp, there are 11 additional InvestingPro tips available, which provide a comprehensive analysis of the company's performance and future potential. These tips, accessible through Blue Bird Corp's dedicated InvestingPro product page, can provide valuable insights into investment decisions.

While the CEO's recent stock sale has drawn attention, broader financial metrics and analyst optimism provide a more nuanced picture of Blue Bird Corp's position in the auto manufacturing industry.

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