CINCINNATI – Manuel Chavez III, the CEO of Mobile Infrastructure Corp (NASDAQ:BEEP), has recently increased his stake in the company by purchasing shares valued at a total of $32,718. The transaction was executed on May 20, 2024, with the CEO acquiring 9,375 shares at an average price of $3.49.
The purchase was made automatically under a Rule 10b5-1 trading plan, which was previously adopted by Chavez on December 15, 2023. A Rule 10b5-1 trading plan allows company insiders to set up a predetermined plan to buy or sell company stock, thereby avoiding accusations of insider trading. The shares were bought in multiple transactions with prices ranging from $3.45 to $3.50.
Following this transaction, Chavez's direct holdings in Mobile Infrastructure Corp have risen to 127,446 shares. Additionally, Chavez has indirect interests in the company through his affiliations with Bombe-MIC Pref, LLC, and Color Up, LLC. Bombe-MIC Pref, LLC holds 1,798,364 shares, and Color Up, LLC holds 3,937,246 shares. Chavez is a member and manager of Bombe-MIC Pref, LLC, and a manager of Color Up, LLC. He may be deemed to have beneficial ownership of the shares held by these entities, though he disclaims beneficial ownership of these securities except to the extent of his pecuniary interest therein.
The CEO's purchase aligns with his apparent confidence in the future of Mobile Infrastructure Corp, a company within the real estate sector with a focus on 05 Real Estate & Construction. The company, formerly known as Fifth Wall Acquisition Corp. III, is incorporated in Maryland and operates out of Cincinnati, Ohio.
This latest acquisition of stock by Chavez is a notable move for investors watching insider activity as an indicator of company strength and executive confidence in the firm's prospects.
InvestingPro Insights
In light of the CEO's recent share purchase at Mobile Infrastructure Corp (NASDAQ:BEEP), a dive into the company's financial health and market performance offers valuable context. According to InvestingPro data, Mobile Infrastructure Corp currently holds a market capitalization of 108.88 million USD. Despite a challenging period, with the company not being profitable over the last twelve months and the share price having decreased by 66.71% over the past year, the CEO's investment could be seen as a strong vote of confidence in the company's potential turnaround.
One of the standout InvestingPro Tips for Mobile Infrastructure Corp is its impressive gross profit margins, which have reached 67.76% as of the last twelve months ending in Q1 2024. This indicates that the company is effective at controlling the cost of goods sold and could be positioned well for profitability once other operational efficiencies are realized. Additionally, the company's gross profit has been reported at 21.68 million USD for the same period.
However, it is important to note that Mobile Infrastructure Corp is trading at a high revenue valuation multiple and, according to another InvestingPro Tip, its short-term obligations currently exceed its liquid assets. This financial leverage could be a point of concern for investors, as it may impact the company's ability to meet its immediate financial obligations without raising additional capital or restructuring its debts.
Investors interested in a deeper analysis of Mobile Infrastructure Corp can find more InvestingPro Tips at https://www.investing.com/pro/BEEP. There are additional tips available on the platform that can provide further insights into the company's valuation, financial health, and market performance. Remember to use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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