Thomas L. Carter, Jr., CEO at Black Stone Minerals BSM, reported an insider buy on May 21, according to a new SEC filing.
What Happened: Jr. made a significant move by purchasing 14,500 shares of Black Stone Minerals as reported in a Form 4 filing with the U.S. Securities and Exchange Commission. The transaction’s total worth stands at $196,069.
In the Thursday’s morning session, Black Stone Minerals‘s shares are currently trading at $13.52, experiencing a up of 0.22%.
About Black Stone Minerals
Black Stone Minerals LP is an oil and natural gas mineral company. It owns oil and natural gas mineral interests, which makes up the majority of its asset base. Its business is actively managing an existing portfolio of mineral and royalty assets to maximize its value and expanding asset base through acquisitions of additional mineral and royalty interests.
Financial Insights: Black Stone Minerals
Decline in Revenue: Over the 3 months period, Black Stone Minerals faced challenges, resulting in a decline of approximately -1.31% in revenue growth as of 31 March, 2025. This signifies a reduction in the company’s top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Energy sector.
Interpreting Earnings Metrics:
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Gross Margin: The company sets a benchmark with a high gross margin of 81.37%, reflecting superior cost management and profitability compared to its peers.
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Earnings per Share (EPS): Black Stone Minerals’s EPS lags behind the industry average, indicating concerns and potential challenges with a current EPS of 0.04.
Debt Management: Black Stone Minerals’s debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.06.
Evaluating Valuation:
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Price to Earnings (P/E) Ratio: The P/E ratio of 14.66 is lower than the industry average, implying a discounted valuation for Black Stone Minerals’s stock.
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Price to Sales (P/S) Ratio: A higher-than-average P/S ratio of 6.5 suggests overvaluation in the eyes of investors, considering sales performance.
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EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): A high EV/EBITDA ratio of 10.8 positions the company as being more valued compared to industry benchmarks.
Market Capitalization Perspectives: The company’s market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.
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Navigating the Impact of Insider Transactions on Investments
Investors should view insider transactions as part of a multifaceted analysis and not rely solely on them for decision-making.
In the realm of legality, an “insider” is defined as any officer, director, or beneficial owner holding more than ten percent of a company’s equity securities under Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are required to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.
Notably, when a company insider makes a new purchase, it is considered an indicator of their positive expectations for the stock.
Conversely, insider sells may not necessarily signal a bearish stance on the stock and can be motivated by various factors.
Important Transaction Codes
Investors prefer focusing on transactions that take place in the open market, indicated in Table I of the Form 4 filing. A P in Box 3 indicates a purchase, while S indicates a sale. Transaction code C indicates the conversion of an option, and transaction code A indicates grant, award or other acquisition of securities from the company.
Check Out The Full List Of Black Stone Minerals’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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