On December 20, 2023, Lorena Fernandez, the CFO of Dream Finders Homes Inc (DFH, Financial), sold 10,000 shares of the company's stock, according to a recent SEC Filing. This transaction has been part of a series of sales by the insider over the past year, with a total of 13,750 shares sold and no shares purchased.
Dream Finders Homes Inc is a residential construction company that designs, builds, and sells homes in the United States. The company operates through its various divisions to offer single-family and multi-family homes. It is known for its customizable home designs and a variety of floor plans to meet diverse customer needs.
The insider transaction history for Dream Finders Homes Inc shows a pattern of insider sales, with 11 insider sells and no insider buys over the past year.
On the valuation front, Dream Finders Homes Inc's shares were trading at $33.5 on the day of the insider's recent sale. The company's market cap stood at $3.331 billion. The price-earnings ratio was recorded at 13.60, which is above the industry median of 10.37 and also higher than the company's historical median price-earnings ratio.
The stock's price-to-GF-Value ratio was 2.25, with a GF Value of $14.89, indicating that Dream Finders Homes Inc was significantly overvalued according to GuruFocus's valuation model.
The GF Value is determined by considering historical trading multiples such as price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow, along with a GuruFocus adjustment factor based on the company's past returns and growth, and future business performance estimates from Morningstar analysts.
Investors often monitor insider transactions as they can provide insights into the insider's view of the company's stock value. The recent sales by the insider at Dream Finders Homes Inc may attract the attention of current and potential shareholders as they evaluate their investment decisions in the context of the company's valuation and insider activity.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
