It was revealed in a recent SEC filing that Darryl Jackson, Board Member at Polaris PII made a noteworthy insider purchase on May 5,.
What Happened: Jackson’s recent move, as outlined in a Form 4 filing with the U.S. Securities and Exchange Commission on Monday, involves purchasing 4,320 shares of Polaris. The total transaction value is $149,990.
Polaris shares are trading up 0.99% at $34.26 at the time of this writing on Tuesday morning.
Delving into Polaris’s Background
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.
Financial Milestones: Polaris’s Journey
Revenue Challenges: Polaris’s revenue growth over 3 months faced difficulties. As of 31 March, 2025, the company experienced a decline of approximately -11.55%. This indicates a decrease in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Consumer Discretionary sector.
Key Profitability Indicators:
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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 lags behind the industry average, indicating concerns and potential challenges with a current EPS of -1.17.
Debt Management: Polaris’s debt-to-equity ratio is notably higher than the industry average. With a ratio of 1.78, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.
Insights into Valuation Metrics:
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Price to Earnings (P/E) Ratio: Polaris’s current Price to Earnings (P/E) ratio of 47.77 is higher than the industry average, indicating that the stock may be overvalued according to market sentiment.
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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): Polaris’s EV/EBITDA ratio, lower than industry averages at 7.6, indicates attractively priced shares.
Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.
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Exploring the Significance of Insider Trading
Insider transactions, although significant, should be considered within the larger context of market analysis and trends.
From a legal standpoint, the term “insider” pertains to any officer, director, or beneficial owner holding more than ten percent of a company’s equity securities as outlined in Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and significant hedge funds. These insiders are mandated to inform the public of their transactions through a Form 4 filing, to be submitted within two business days of the transaction.
A company insider’s new purchase is a indicator of their positive anticipation for a rise in the stock.
While insider sells may not necessarily reflect a bearish view and can be motivated by various factors.
Unlocking the Meaning of Transaction Codes
Examining transactions, investors often concentrate on those unfolding in the open market, meticulously detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C indicates 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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