Insider Trading February 6, 2026

Zurn Elkay Director Sells Nearly $903K in Shares as Stock Trades Near Yearly Peak

Timothy J. Jahnke disposed of 17,900 shares under a 10b5-1 plan; company posts upside to revenue and EBITDA and maintains dividend

By Hana Yamamoto ZWS
Zurn Elkay Director Sells Nearly $903K in Shares as Stock Trades Near Yearly Peak
ZWS

Timothy J. Jahnke, a director at Zurn Elkay Water Solutions Corp, sold 17,900 shares on February 4, 2026 under a Rule 10b5-1 plan for $50.44 per share, totaling $902,876. The trade occurred as the stock traded close to its 52-week high and after the company reported revenue and adjusted EBITDA that exceeded analyst expectations. Analysts from Stifel and Jefferies maintain positive ratings, and the firm declared a quarterly dividend payable in March.

Key Points

  • Director Timothy J. Jahnke sold 17,900 Zurn Elkay shares on February 4, 2026 under a Rule 10b5-1 plan, generating $902,876 at $50.44 per share.
  • Zurn Elkay reported revenue of $407.2 million and adjusted EBITDA of $104.1 million, both above Stifel and Street estimates.
  • The company declared a $0.11 quarterly dividend payable March 6, 2026; analysts at Stifel and Jefferies hold Buy ratings with $54 and $58 targets respectively.

Timothy J. Jahnke, who serves on the board of Zurn Elkay Water Solutions Corp, reported the sale of 17,900 common shares on February 4, 2026, according to a Form 4 filed with the Securities and Exchange Commission. The shares were sold at a price of $50.44 per share, producing proceeds of $902,876. The transaction was carried out under a Rule 10b5-1 trading plan and the execution price for the block fell within a $50.00 to $51.55 range.

The sale comes as the company's stock has been trading near its 52-week high of $52.84 and has delivered a strong short-term gain, rising 14.47% over the past week. Market metrics noted in available analysis point to a price-to-earnings ratio of 44.92, with InvestingPro indicating the share price is above its Fair Value at current levels.

Following the disposition, Jahnke retains a direct ownership stake of 288,964 shares in Zurn Elkay Water Solutions Corp. He also maintains an indirect holding of 162,000 shares through an irrevocable trust. The Form 4 filing confirms the specifics of this transaction but does not indicate a change to his remaining holdings beyond the figures reported.


Operationally, the company recently reported financial results that outperformed estimates. Revenue for the period was $407.2 million, above Stifel’s estimate of $401.6 million and the Street consensus of $400.8 million. Adjusted EBITDA came in at $104.1 million, also ahead of both Stifel and broader Street expectations.

In conjunction with the results, Zurn Elkay Water Solutions Corporation declared a quarterly cash dividend of $0.11 per share. That dividend is payable on March 6, 2026 to shareholders of record as of February 20, 2026. InvestingPro data cited in reports characterizes the company’s financial health as "GREAT" and notes that Zurn Elkay has raised its dividend for three consecutive years.

Analyst commentary accompanying the results has been constructive. Stifel reiterated a Buy rating with a $54 price target following the latest financial release and guidance. Jefferies initiated coverage with a Buy rating and set a $58 price target, highlighting potential tailwinds from increased adoption of filtered drinking water and the company’s strong free cash flow profile.

For subscribers, InvestingPro offers an expanded set of resources on the company, including 16 additional ProTips and a full Pro Research Report, available alongside coverage for more than 1,400 other U.S. equities. Those resources provide deeper drill-downs into valuation, financial health, and other model components for investors who seek additional context.

In sum, the insider sale reported on February 4, 2026, is a notable transaction in dollar terms, but it sits against recent quarterly results that beat expectations and broker commentary that remains favorable. The regulatory filing records the mechanics of the sale and the director’s remaining direct and indirect holdings; it does not offer an explanation beyond the fact that the shares were sold pursuant to an established 10b5-1 plan.

Risks

  • Insider sale occurred while the stock traded near its 52-week high, which could be interpreted differently by market participants - this may affect investor sentiment in the water solutions and industrial supply sectors.
  • Valuation metrics show a P/E of 44.92 and InvestingPro flags the stock as trading above Fair Value, suggesting potential downside if market expectations are not met - this has implications for equity investors.
  • Future performance remains dependent on continued operational execution; while recent results beat estimates, any slowdown could impact the industrial and commercial water equipment markets.

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