George Bilicic, Director at Polaris PII, disclosed an insider purchase on May 5, based on a new SEC filing.
What Happened: Bilicic demonstrated confidence in Polaris by purchasing 4,320 shares, as reported in a Form 4 filing with the U.S. Securities and Exchange Commission on Monday. The total value of the transaction is $149,990.
Tracking the Tuesday’s morning session, Polaris shares are trading at $34.26, showing a up of 0.99%.
Discovering Polaris: A Closer Look
Polaris designs and manufactures off-road vehicles, including all-terrain vehicles and side-by-side vehicles for recreational and utility purposes, snowmobiles, and on-road vehicles, including motorcycles, along with the related replacement parts, garments, and accessories. The firm entered the marine market after acquiring Boat Holdings in 2018, offering exposure to another segment of the outdoor lifestyle market. Polaris products are retailed through more than 2,500 dealers in North America and 1,500 international dealers as well as more than 25 subsidiaries and 90 distributors in more than 100 countries outside North America.
Polaris: Financial Performance Dissected
Decline in Revenue: Over the 3 months period, Polaris faced challenges, resulting in a decline of approximately -11.55% in revenue growth as of 31 March, 2025. This signifies a reduction in the company’s top-line earnings. When compared to others in the Consumer Discretionary sector, the company faces challenges, achieving a growth rate lower than the average among peers.
Holistic Profitability Examination:
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Gross Margin: The company faces challenges with a low gross margin of 15.95%, suggesting potential difficulties in cost control and profitability compared to its peers.
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Earnings per Share (EPS): Polaris’s EPS is below the industry average. The company faced challenges with a current EPS of -1.17. This suggests a potential decline in earnings.
Debt Management: Polaris’s debt-to-equity ratio stands notably higher than the industry average, reaching 1.78. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.
Understanding Financial Valuation:
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Price to Earnings (P/E) Ratio: A higher-than-average P/E ratio of 47.77 suggests caution, as the stock may be overvalued in the eyes of investors.
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Price to Sales (P/S) Ratio: The current P/S ratio of 0.28 is below industry norms, suggesting potential undervaluation and presenting an investment opportunity for those considering sales performance.
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EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): With a lower-than-industry-average EV/EBITDA ratio of 7.6, Polaris presents a potential value opportunity, as investors are paying less for each unit of EBITDA.
Market Capitalization: Indicating a reduced size compared to industry averages, the company’s market capitalization poses unique challenges.
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The Relevance of Insider Transactions
Insider transactions are not the sole determinant of investment choices, but they are a factor worth considering.
Exploring the legal landscape, an “insider” is defined as any officer, director, or beneficial owner holding more than ten percent of a company’s equity securities, as stipulated by Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and major hedge funds. These insiders are required to report their transactions through a Form 4 filing, which must be submitted within two business days of the transaction.
Highlighted by a company insider’s new purchase, there’s a positive anticipation for the stock to rise.
But, insider sells may not necessarily indicate a bearish view and can be motivated by various factors.
Navigating the World of Insider Transaction Codes
When it comes to transactions, investors tend to focus on those in the open market, detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S indicates a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.
Check Out The Full List Of Polaris’s Insider Trades.
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This article was generated by Benzinga’s automated content engine and reviewed by an editor.
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