Microencapsulated Nutrients
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Balchem Director Sells 8,000 Shares for $1.2 Million a Week Before a Dividend Hike
The Motley Fool· 2025-12-12 21:00
Core Insights - Balchem, a leader in specialty ingredients for food, pharmaceutical, and animal health markets, reported significant insider selling activity by Director David B Fischer [1][2]. Transaction Summary - On December 3, 2025, David B Fischer sold 8,000 common shares for a total of $1,231,748.20, following the exercise of 6,000 fully vested options [2][3]. - Post-transaction, Fischer's direct share count decreased by 50%, from 15,989 to 7,989 shares, representing approximately 0.025% of shares outstanding [6]. - The weighted average sale price was $153.97, closely aligning with the market closing price of $156.2 on December 12, 2025 [6]. Company Overview - Balchem reported a total revenue of $1.01 billion and a net income of $149.2 million for the trailing twelve months (TTM) [5]. - The company has a dividend yield of 0.61% and experienced a 1-year price change of -12.4% [5]. Business Operations - Balchem specializes in providing ingredients for human nutrition, animal nutrition, and specialty industrial applications, including microencapsulated nutrients and sterilization agents [7]. - The company serves various sectors, including food and beverage manufacturers, pharmaceutical companies, and agricultural businesses, both domestically and internationally [7]. Strategic Initiatives - Balchem is investing in growth by building a new facility for producing microencapsulated food ingredients and nutraceuticals, which will more than double its current capacity [11]. - This investment is a response to increasing demand, indicating potential for continued business growth [12]. Recent Developments - Following the insider selling, Balchem announced a 10.3% dividend increase, marking the 17th consecutive annual dividend increase [10]. - The company also reported record quarterly sales, which increased by 11.5% year over year [11].