On June 22, 2023, Richard Dziadzio, Executive Vice President and Chief Financial Officer of Assurant Inc, sold 4,000 shares of the company's stock. This transaction comes amidst a year where Dziadzio has sold a total of 4,000 shares and purchased none. In this article, we will take a closer look at Assurant Inc, Richard Dziadzio's role in the company, and the implications of this insider sell.
Richard Dziadzio joined Assurant Inc in 2016 as the Executive Vice President and Chief Financial Officer. He is responsible for the company's financial operations, including financial planning and analysis, investor relations, treasury, tax, and accounting. Prior to joining Assurant, Dziadzio held various leadership positions in finance at companies such as American Express and AXA.
Assurant Inc is a global provider of risk management solutions, offering a diverse range of insurance products and services. The company operates through three segments: Global Housing, Global Lifestyle, and Global Preneed. Assurant's business model focuses on helping customers protect what matters most to them, such as their homes, cars, appliances, and personal devices.
Insider Trends
Over the past year, there have been no insider buys for Assurant Inc, while there have been three insider sells, including the recent transaction by Richard Dziadzio. This trend can be visualized in the following insider trend image:
It is important to note that insider selling does not necessarily indicate a lack of confidence in the company. Executives may sell shares for various reasons, such as personal financial planning or diversification. However, it is still essential to monitor insider transactions to identify potential trends and gain insights into the company's performance.
Valuation
On the day of Richard Dziadzio's recent sell, shares of Assurant Inc were trading at $131.07, giving the stock a market cap of $6.58 billion. The price-earnings ratio for the company is 27.64, which is higher than the industry median of 13.05 and higher than the company's historical median price-earnings ratio.
Considering the stock's price of $131.07 and its GuruFocus Value of $176.48, Assurant Inc has a price-to-GF-Value ratio of 0.74. This indicates that the stock is significantly undervalued based on its GF Value. The GF Value image below provides a visual representation of this valuation:
The GF Value is an intrinsic value estimate developed by GuruFocus, calculated based on the following three factors:
- Historical multiples (price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow) that the stock has traded at.
- A GuruFocus adjustment factor based on the company's past returns and growth.
- Future estimates of business performance from Morningstar analysts.
In conclusion, Richard Dziadzio's recent sale of 4,000 shares of Assurant Inc may not necessarily signal a lack of confidence in the company. However, it is crucial to keep an eye on insider transactions and trends to gain insights into the company's performance. With a price-to-GF-Value ratio of 0.74, Assurant Inc's stock appears to be significantly undervalued, presenting a potential opportunity for investors.
