Jermain Patrick John, Executive Vice President and Chief Financial Officer of Plexus Corp (NASDAQ:PLXS), recently sold 5,045 shares of the company's common stock. The sales, conducted on October 28, were executed at prices ranging from $142.58 to $143.415 per share, with a weighted average sale price of $143.13. The total proceeds from the transactions amounted to $722,097.
Following these transactions, John retains direct ownership of 24,602 shares of Plexus Corp. Additionally, he holds 3,587 shares indirectly through the company's 401(k) Retirement Plan.
In other recent news, Plexus Corp has been in the spotlight with robust financial performance and positive analyst ratings. The company reported a 3% year-over-year increase in Q4 revenue, surpassing its own guidance range, and posted impressive free cash flow figures. Despite a slower start to Fiscal Year 2025, Plexus offered a solid earnings per share forecast, buoyed by healthy margins.
Investment firm Needham maintained its Buy rating on Plexus and raised its price target to $162.00, citing the company's strong cash generation capabilities. On the other hand, KeyBanc initiated coverage on Plexus with a Sector Weight rating, recognizing the company's strategic market positioning and design capabilities. Benchmark, another financial advisory firm, also maintained a Buy rating for Plexus and increased its price target to $150.
In other developments, Plexus announced a new $50 million stock buyback plan, demonstrating its commitment to shareholder value. The company also secured over $500 million in contracts in the healthcare life sciences sector over the past four quarters. Despite challenges like the ongoing Boeing (NYSE:BA) strike and potential slower growth in the aerospace and defense sector, Plexus anticipates a mid-single-digit revenue increase in the fiscal fourth quarter. These recent developments underscore Plexus's resilience and potential for future growth.
InvestingPro Insights
In light of Jermain Patrick John's recent stock sale, it's worth examining some key financial metrics and insights about Plexus Corp (NASDAQ:PLXS) from InvestingPro.
Plexus Corp's stock has shown strong performance recently, with a 43.9% price total return over the past six months and a 49.55% return over the past year. This robust performance aligns with the company trading near its 52-week high, as indicated by one of the InvestingPro Tips. The stock's current price is 95.43% of its 52-week high, suggesting investor confidence in the company's prospects.
However, investors should note that Plexus is trading at a relatively high earnings multiple, with a P/E ratio of 36.25. This valuation metric might be a consideration for value-oriented investors, especially in light of the recent insider sale.
On the financial front, Plexus Corp reported revenue of $3.96 billion for the last twelve months as of Q4 2023. While the company has been profitable over this period, with a gross profit of $378.53 million, it's worth noting that Plexus suffers from weak gross profit margins, as highlighted by another InvestingPro Tip. The gross profit margin stands at 9.56%, which may be an area for potential improvement.
For those interested in a more comprehensive analysis, InvestingPro offers additional insights, with 8 more tips available for Plexus Corp. These tips could provide valuable context for understanding the company's financial health and future prospects, especially in light of the recent insider transaction.
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