Michael Peterson, the Executive Vice President of SEI Investments Co. (NASDAQ:SEIC), recently executed a significant stock transaction. On November 6, Peterson sold 10,000 shares of common stock, generating proceeds of approximately $791,400. The shares were sold at a weighted average price ranging from $79.00 to $79.43 per share.
In conjunction with the sale, Peterson also exercised options to acquire 10,000 shares of common stock at a price of $64.43 per share, reflecting a transaction valued at $644,300. Following these transactions, Peterson holds 6,500 shares directly.
In other recent news, SEI Investments has been the subject of considerable attention following robust third-quarter earnings and revenue growth. The company reported an earnings per share (EPS) of $1.19, surpassing both analyst expectations and consensus estimates. This strong performance is largely attributed to higher-than-anticipated revenue in the Private Banking & Trust and Investment Advisors segments. In response to these developments, Piper Sandler has increased its price target for SEI Investments from $74 to $77, maintaining a neutral stance, while Oppenheimer has raised its target to $85 from $81, maintaining an outperform rating. Both firms have expressed confidence in SEI Investments' potential for continued financial growth. Additionally, the company's assets under management, administration, and advisement reached new highs, with net sales events totaling a record-breaking $46 million. SEI Investments' revenue from the Federal Deposit Insurance Corporation (FDIC) cash program is projected to double quarter over quarter in the fourth quarter due to enhancements that increased the cash sweep.
InvestingPro Insights
SEI Investments Co. (NASDAQ:SEIC) has been demonstrating strong financial performance, as evidenced by recent InvestingPro data. The company's market capitalization stands at $10.36 billion, with a P/E ratio of 19.22, indicating a reasonable valuation relative to its earnings. This is further supported by an InvestingPro Tip highlighting that SEIC is trading at a low P/E ratio relative to its near-term earnings growth, with a PEG ratio of 0.82 for the last twelve months as of Q3 2024.
The company's financial health appears robust, with an InvestingPro Tip noting that cash flows can sufficiently cover interest payments. This is particularly important in the context of the recent stock transaction by Executive Vice President Michael Peterson, as it suggests the company has a solid financial foundation.
SEIC's dividend policy is also noteworthy. An InvestingPro Tip reveals that the company has raised its dividend for 10 consecutive years and has maintained dividend payments for 37 consecutive years. This long-standing commitment to shareholder returns aligns well with the executive's stock activities, potentially indicating confidence in the company's continued financial stability.
The stock's recent performance has been impressive, with a 14.58% price total return over the past month and a 23.05% return over the last three months. This positive momentum is reflected in another InvestingPro Tip, which indicates that SEIC is trading near its 52-week high, with the current price at 99.47% of that peak.
For investors seeking more comprehensive insights, InvestingPro offers 12 additional tips for SEI Investments Co., providing a deeper analysis of the company's financial position and market performance.
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