On September 12, 2023, Solus Alternative Asset Management LP, a 10% owner of Bristow Group Inc (VTOL, Financial), sold 59,550 shares of the company. This move is part of a larger trend for the insider, who over the past year has sold a total of 404,350 shares and purchased none.
Solus Alternative Asset Management LP is a private investment firm based in New York. The firm specializes in distressed and special situations investments and has a significant stake in Bristow Group Inc.
Bristow Group Inc is a leading provider of helicopter services to the worldwide offshore energy industry. The company is known for its safety and efficiency and is one of the largest helicopter transport providers in the world.
The insider's recent sell-off is part of a broader trend within Bristow Group Inc. Over the past year, there have been 11 insider sells and no insider buys. This could be a signal to investors about the company's future prospects.
The chart above shows the trend of insider transactions over the past year. The lack of insider buys and the consistent selling could be a cause for concern for potential investors.
On the day of the insider's recent sell, shares of Bristow Group Inc were trading at $27.26, giving the company a market cap of $817.459 million. The price-earnings ratio is 131.88, significantly higher than the industry median of 9.15 and the company’s historical median price-earnings ratio.
Despite the high price-earnings ratio, the stock appears to be fairly valued based on its GuruFocus Value. With a price of $27.26 and a GuruFocus Value of $31.72, Bristow Group Inc has a price-to-GF-Value ratio of 0.86.
The GF Value is an intrinsic value estimate developed by GuruFocus. It is calculated based on historical multiples that the stock has traded at, a GuruFocus adjustment factor based on the company’s past returns and growth, and future estimates of business performance from Morningstar analysts.
The recent sell-off by the insider, coupled with the lack of insider buys over the past year, could be a signal to investors to proceed with caution. However, the stock's fair valuation based on its GF Value suggests that it may still be a worthwhile investment. As always, potential investors should conduct their own research and consider their own risk tolerance before making investment decisions.
