Everspin Technologies Inc . (NASDAQ:MRAM) President and CEO Sanjeev Aggarwal has sold 17,452 shares of the company's common stock, a transaction valued at approximately $136,823. The shares were sold at a price of $7.84 each, according to the company's latest filing.
The transaction, which took place on April 2, 2024, was disclosed in a Form 4 filing with the Securities and Exchange Commission. Following the sale, Aggarwal still holds 476,679 shares of Everspin Technologies. The filing noted that the shares were sold solely to cover tax obligations related to the vesting of Restricted Stock Units.
Everspin Technologies, based in Chandler, Arizona, specializes in the manufacture of semiconductor and related devices. The sale by the CEO comes as a notable transaction for investors keeping an eye on insider activity within the company.
Investors and stakeholders often monitor such sales to gauge insider sentiment and company health, although it is not uncommon for executives to sell shares for personal financial planning, including tax reasons as stated in the filing footnote.
The transactions are part of the routine disclosures that executives of publicly traded companies are required to make when buying or selling shares of their own companies. These disclosures provide transparency and ensure that all market participants have access to the same information.
For more information on Everspin Technologies and insider transactions, investors can refer to the company's filings and public disclosures available through the SEC.
InvestingPro Insights
As Everspin Technologies Inc. (NASDAQ:MRAM) navigates the dynamic semiconductor market, recent financial metrics from InvestingPro provide a snapshot of the company's performance. With a market capitalization of $164.92 million, Everspin's valuation reflects its position in the industry. The company's price-to-earnings (P/E) ratio stands at 17.87, suggesting that investors are paying less for each dollar of MRAM's earnings compared to some peers, which could indicate a potential undervaluation of the stock.
Additionally, Everspin's PEG ratio for the last twelve months as of Q4 2023 is 0.42, which may signal that the stock is undervalued based on its earnings growth projections. This aligns with one of the InvestingPro Tips indicating that MRAM is trading at a low P/E ratio relative to near-term earnings growth. Moreover, the company's gross profit margin for the same period stands at a robust 58.41%, showcasing its ability to maintain profitability amidst industry challenges.
While the CEO's recent sale of shares is a routine transaction, investors might be reassured by the company's financial health. Everspin Technologies holds more cash than debt on its balance sheet and is predicted to be profitable this year, according to analysts—both are key InvestingPro Tips that highlight the company's solid financial footing. For investors seeking more in-depth analysis and additional InvestingPro Tips, there are currently six more listed on InvestingPro's platform for MRAM, which can be accessed at https://www.investing.com/pro/MRAM. Remember to use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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