EverQuote , Inc.'s (NASDAQ:EVER) Chief Financial Officer, Joseph Sanborn, has sold 8,051 shares of the company's Class A common stock, according to a recent SEC filing. The transaction, dated April 4, 2024, was executed at a price of $20.00 per share, resulting in a total sale value of $161,020.
The sale was conducted under a Rule 10b5-1 trading plan, which Sanborn had previously adopted on December 15, 2023. Rule 10b5-1 trading plans allow company insiders to set up predetermined trading arrangements for selling stocks at a time when they are not in possession of material non-public information, providing a defense against accusations of insider trading.
Following the transaction, Sanborn's holdings in EverQuote decreased, yet he still retains a substantial number of shares, with 220,986 shares of Class A common stock remaining in his possession. This sale represents a partial divestment of Sanborn's stake in the company, which operates within the technology sector, specializing in services related to computer programming, data processing, and other tech-related services.
Investors and market watchers often pay close attention to insider transactions as they can provide insights into an insider’s view of the company’s value. However, these transactions can be motivated by a variety of personal financial considerations and do not necessarily indicate a change in company fundamentals.
EverQuote, headquartered in Cambridge, Massachusetts, is incorporated in Delaware and has been publicly traded since its listing. The company's stock trades under the ticker symbol EVER on the NASDAQ exchange.
InvestingPro Insights
EverQuote, Inc. (NASDAQ:EVER) has recently been in the news due to the insider sale by CFO Joseph Sanborn. To provide a deeper financial context around this event, we turn to some key metrics and insights from InvestingPro. The company's market capitalization stands at a robust $665.08 million, yet it's important to note that EverQuote is currently trading at a high Price / Book multiple of 8.22. This valuation metric is significant because it suggests that the market may have high expectations for the company's asset value and future earnings potential.
Despite a challenging revenue growth trajectory in the last twelve months, with a decrease of 28.75%, EverQuote boasts an impressive gross profit margin of 92.2%. This indicates that the company is able to retain a significant portion of its sales as gross profit. Additionally, EverQuote's liquid assets exceed its short-term obligations, which is a positive sign of the company's liquidity and its ability to cover immediate liabilities.
Investors should also consider that EverQuote has experienced a strong return over the last three months, with a price total return of 72.63%. This performance, coupled with the InvestingPro Tip that analysts predict the company will be profitable this year, provides a potentially optimistic outlook for those invested in the company's future.
For those looking to delve deeper into EverQuote's financial health and future prospects, InvestingPro offers additional tips. There are 11 more InvestingPro Tips available, which can be accessed by visiting InvestingPro's EVER page. And for those considering a subscription, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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