In a recent transaction, Daniel R. Kozlowski, a director and ten percent owner of Pure Cycle Corp (NASDAQ:PCYO), sold 20,000 shares of common stock. The shares were sold at a price of $13.10 each, amounting to a total transaction value of $262,000. Following this transaction, Kozlowski holds 2,668,778 shares indirectly through Plaisance SPV I, LLC, and 345,991 shares in his personal capacity. The sales were reported in a filing with the Securities and Exchange Commission, highlighting the ongoing trading activities of key stakeholders in the company.
In other recent news, Pure Cycle Corporation disclosed its Year-End 2024 financial results, reporting a net income of $11.6 million and an annual revenue of $28.7 million. The water utility segment was a significant contributor to these results, generating over $5.5 million. The company's Sky Ranch development, currently only 15% complete, and its expanding single-family rental segment were also highlighted as key growth areas.
The company's balance sheet remains strong, with $57 million in cash and liquid receivables. Looking ahead, Pure Cycle Corporation plans to expand its operations in Sky Ranch and Lowry Ranch, targeting 5,000 single-family connections. By 2028, the company anticipates its recurring revenue to increase from $2-$2.5 million to $15 million, with potential asset growth from $150 million to nearly $700 million.
While the company is balancing stock repurchase efforts with liquidity for strategic acquisitions and development momentum, analysts from independent firms view Pure Cycle Corporation as well-positioned for future growth, particularly in the Colorado market. The company's water utility segment, currently valued at about $65 million, offers significant appreciation potential. These recent developments underscore Pure Cycle Corporation's strategic focus on leveraging its integrated water and land development operations to continue its growth trajectory.
InvestingPro Insights
Pure Cycle Corp (NASDAQ:PCYO) has been experiencing significant growth and financial strength, as evidenced by recent InvestingPro data. The company's revenue growth stands at an impressive 97.09% over the last twelve months, with an even more striking quarterly revenue growth of 272.92% in the most recent quarter. This robust growth is complemented by a strong gross profit margin of 73.97%, indicating efficient operations and pricing power.
InvestingPro Tips highlight that Pure Cycle holds more cash than debt on its balance sheet, suggesting a solid financial position. Additionally, the company's liquid assets exceed short-term obligations, further reinforcing its financial stability. These factors may provide context for the recent insider selling activity, as the company's strong financial footing could be influencing stakeholder decisions.
The stock has also shown impressive performance, with a 35.16% price return over the past month and a 54.59% return over the last six months. This aligns with another InvestingPro Tip indicating that the stock is trading near its 52-week high, which could explain the timing of the insider sale.
It's worth noting that Pure Cycle Corp has a market capitalization of $343.04 million and a P/E ratio of 29.75, which may be considered in light of its growth metrics. Investors seeking a more comprehensive analysis can find 13 additional InvestingPro Tips for PCYO, offering deeper insights into the company's valuation and performance metrics.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.