In a recent transaction, William C. Zint, the Senior Vice President and Chief Financial Officer of Deluxe Corp (NYSE:DLX), purchased shares of the company's stock. The transaction involved the acquisition of 115 shares at a price of $21.96 per share, amounting to a total investment of $2,525.
This purchase, which took place on May 8, 2024, was executed under a prearranged trading plan, known as a 10b5-1(c) plan, which Mr. Zint had adopted on December 11, 2023. Such plans allow insiders to establish pre-planned transactions to buy or sell stock at a predetermined time, providing a defense against potential accusations of trading on insider information.
Following this transaction, the CFO now directly holds a total of 11,344 shares in Deluxe Corp, a company known for its operations in the blank books, looseleaf binders, bookbinding, and related manufacturing sector. The purchase reflects a vote of confidence in the company's future prospects and aligns the CFO's interests with those of the shareholders.
Investors often monitor insider transactions as they can provide insights into how the company's executives view the stock's value and future performance. Deluxe Corp has not issued any comments regarding the transaction, and it remains a single data point in the broader analysis of the company's financial health and stock performance.
InvestingPro Insights
Deluxe Corp's (NYSE:DLX) recent insider transaction coincides with several positive indicators for the company's financial standing and future potential. With a market capitalization of $979.14 million USD and a gross profit margin impressive at 53.47% for the last twelve months as of Q1 2024, Deluxe Corp demonstrates robust profitability in its sector. This is further supported by a notable gross profit of $1166.6 million USD, signaling strong operational efficiency.
An attractive attribute for investors is the company's commitment to returning value through dividends. Deluxe Corp has not only paid but also maintained its dividend payments for 54 consecutive years, showcasing a reliable income stream for shareholders. The current dividend yield stands at a substantial 5.42%, reflecting the company's dedication to shareholder returns.
Moreover, the company's stock has experienced a significant appreciation, with a 6-month price total return of 29.6% and a 1-year price total return of 61.28%, indicating a strong performance in the market. Deluxe Corp is trading near its 52-week high, at 98.19% of the peak price, which aligns with the optimism shown by the CFO's recent stock purchase. These metrics suggest that the company is in a healthy financial position with a positive outlook, which may be further explored with additional InvestingPro Tips available at https://www.investing.com/pro/DLX.
For those interested in a deeper analysis, there are 9 more InvestingPro Tips available that can provide comprehensive insights into Deluxe Corp's performance and potential. To access these tips and gain an edge in your investment strategy, consider using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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