On September 11, 2023, Management Ares, a 10% owner of Frontier Communications Parent Inc (FYBR, Financial), purchased 150,000 shares of the company. This move is part of a larger trend of insider buying at Frontier Communications Parent Inc, which we will explore in this article.
Who is Management Ares?
Management Ares is a significant stakeholder in Frontier Communications Parent Inc. As a 10% owner, Management Ares has a vested interest in the company's performance and growth. Over the past year, Management Ares has purchased a total of 16,374,262 shares and has not sold any shares.
About Frontier Communications Parent Inc
Frontier Communications Parent Inc is a leading provider of communications services in the United States. The company offers a variety of services, including broadband, video, voice, and other services and products. Frontier Communications Parent Inc operates in 25 states and has a strong presence in rural areas and small and medium-sized towns and cities.
Insider Buying and Stock Price Relationship
Insider buying is often seen as a positive sign by investors, as it indicates that those with the most knowledge about the company believe its stock is a good investment. Over the past year, there have been 62 insider buys at Frontier Communications Parent Inc and no insider sells. This trend suggests that insiders are confident in the company's future prospects.
On the day of the insider's recent purchase, shares of Frontier Communications Parent Inc were trading at $14.52 each. This gives the company a market cap of $3.55 billion. The price-earnings ratio is 12.90, which is lower than the industry median of 16.61 and lower than the company’s historical median price-earnings ratio. This could indicate that the stock is undervalued, providing further incentive for the insider to buy.
Conclusion
The recent purchase by Management Ares, along with the overall trend of insider buying at Frontier Communications Parent Inc, suggests a positive outlook for the company. With a lower than average price-earnings ratio and a market cap of $3.55 billion, the company appears to be a potentially undervalued investment. As always, investors should conduct their own research and consider multiple factors before making investment decisions.
