Lazard, Inc. (NYSE:LAZ) Executive Chairman Kenneth M. Jacobs has recently sold a significant portion of his holdings in the company. According to the latest filings, Jacobs offloaded shares worth over $10 million in a series of transactions.
The transactions, which took place between May 31 and June 3, 2024, saw Jacobs sell a total of 152,272 shares at an average price of $40.20, 1,859 shares at an average price of $41.21, and 6,762 shares at $40.00. Additionally, there were sales executed by a trust where Jacobs is a co-trustee, involving 93,422 shares at $40.20, 1,141 shares at $41.21, and 4,149 shares at $40.00. These sales were conducted under a prearranged 10b5-1 trading plan, a tool that allows company insiders to set up a predetermined schedule for selling stocks they own.
Investors might note the price range for these transactions, with shares sold between $40.00 and $41.21. The total value of the shares sold by Jacobs amounts to $10,436,968. This sum reflects only the actual stock sales and not any derivative securities transactions.
Following these sales, Jacobs still retains a substantial stake in the company, with direct ownership of 1,982,829 shares and indirect ownership of 485,567 shares held in trust.
The transactions were carried out in accordance with SEC rules, and full information regarding the number of shares sold at each separate price within the reported ranges is available upon request from Lazard, any security holder of the company, or the SEC staff.
Kenneth Jacobs has been with Lazard for many years and has served in various leadership roles, including as CEO before becoming Executive Chairman. His recent stock sales are part of a legal trading plan and do not necessarily indicate his outlook on the company's future performance.
Lazard, headquartered in New York, is a prominent financial advisory and asset management firm, providing services to corporations, partnerships, institutions, governments, and individuals.
InvestingPro Insights
In light of the recent stock sales by Executive Chairman Kenneth M. Jacobs, investors and stakeholders of Lazard, Inc. (NYSE:LAZ) may find the following insights from InvestingPro particularly pertinent. Despite Jacobs' divestment, the company displays a robust financial posture with a notable Revenue Growth (Quarterly) of 40.76% in Q1 2024, signaling a strong start to the year. Additionally, the firm boasts a Gross Profit Margin of 89.02% as of the last twelve months leading up to Q1 2024, underscoring its efficiency in converting revenue into gross profit.
An InvestingPro Tip worth considering is that Lazard has been consistent in its dividend payments, having maintained them for 20 consecutive years. This consistency may appeal to income-focused investors, especially given the current Dividend Yield of 5.09%. Moreover, Lazard's market capitalization stands at $3.54 billion, providing a sense of the company's size and market value.
While the company's P/E Ratio appears high at -159.76, an adjusted P/E Ratio of 1.97 for the last twelve months as of Q1 2024 offers a more favorable perspective on its earnings relative to share price. Furthermore, analysts predict profitability for the year, which could be a sign of a turnaround from the previous twelve months where the company was not profitable. For those interested in further analysis, there are 6 additional InvestingPro Tips available at InvestingPro, which could provide deeper insights into Lazard's financial health and projections. To access these tips with an additional benefit, use the coupon code PRONEWS24 to get an extra 10% off a yearly or biyearly Pro and Pro+ subscription.
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