Diebold Nixdorf (OTC:DBDQQ), Inc. (NYSE:DBD) reported that its Executive Vice President and Chief Financial Officer, Thomas S. Timko, has purchased shares of the company's stock valued at approximately $54,000. The transaction, which took place on August 9, 2024, involved the acquisition of 1,400 shares at a price of $38.7068 each.
This purchase increases Timko's total holdings in Diebold Nixdorf to 48,219 shares of common stock. The transaction was disclosed in a filing with the Securities and Exchange Commission, which provides a window into the buying and selling activities of the company's insiders.
Investors often monitor insider transactions as they can provide insights into how the company's executives view the stock's value and future prospects. The purchase by Timko may be seen as a sign of confidence in the financial technology company's performance and outlook.
Diebold Nixdorf is known for its services and products related to self-service transaction systems, including ATMs and point-of-sale terminals. The company's stock is publicly traded under the ticker symbol DBD on the New York Stock Exchange.
Investors and stakeholders in Diebold Nixdorf can access more detailed information about insider transactions through the company's filings and public disclosures.
In other recent news, Diebold Nixdorf, Incorporated reported a 2.4% year-over-year increase in its Q2 2024 revenue, amounting to $940 million. The company's gross margin also expanded by 300 basis points, marking its sixth consecutive quarter of growth. Despite an 8% decline in the retail segment's revenue, the gross margin in this area improved by 220 basis points. On the other hand, the banking segment saw robust revenue growth of 6.4%, driven primarily by a 15.6% increase in product revenue.
Adjusting its 2024 financial outlook, Diebold Nixdorf now expects its adjusted EBITDA to range between $435 million and $450 million, up from the previously forecasted $410 million to $435 million. The company also aims for a free cash flow conversion rate of over 25% of adjusted EBITDA for 2024. By the end of Q2, Diebold Nixdorf had $369 million in cash and short-term investments and an improved net leverage position.
In light of these recent developments, the company anticipates overall flat revenue for the year, with the strength in the banking sector compensating for the challenges in retail. These are the highlights from recent news items about Diebold Nixdorf.
InvestingPro Insights
Following the recent insider purchase by Diebold Nixdorf's CFO, Thomas S. Timko, the market is closely watching the company's performance indicators. According to InvestingPro data, Diebold Nixdorf currently has a market capitalization of approximately $1.35 billion. The company's Price to Earnings (P/E) ratio stands at a modest 0.72, suggesting that the stock may be undervalued compared to earnings. Additionally, the company has experienced a solid revenue growth of 7.19% over the last twelve months as of Q2 2024, indicating a positive trend in its business operations.
An InvestingPro Tip highlights that Diebold Nixdorf has a high shareholder yield, which is a metric that combines dividend payments and share repurchases to show the total payouts to shareholders. Although the company does not pay a dividend, the high shareholder yield suggests a significant return of capital to shareholders through other means. Moreover, analysts have revised their earnings estimates upwards for the upcoming period, signaling potential optimism about the company's financial future.
For those looking to delve deeper into Diebold Nixdorf's financials, InvestingPro offers additional insights. There are currently 6 more InvestingPro Tips available on the platform, including predictions about the company's profitability and net income trends for the year. Interested readers can find these valuable tips by visiting https://www.investing.com/pro/DBD to make more informed investment decisions.
Investors should also note that the company's stock has had a remarkable return over the last year, with a 74.67% price total return, reflecting strong market confidence. The recent insider buying may further reinforce the positive sentiment surrounding Diebold Nixdorf's stock.
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