Natera, Inc. (NASDAQ:NTRA) has disclosed in a recent SEC filing that its Secretary and Chief Legal Officer, Daniel Rabinowitz, has sold shares of the company's common stock. On March 28, 2024, Rabinowitz sold 743 shares at an average price of $90.4158, totaling approximately $67,178.
The sale was conducted to satisfy tax withholding and remittance obligations related to the vesting of Restricted Stock Units (RSUs), as stated in the footnotes of the filing. This transaction was executed in accordance with a pre-established trading plan that complies with Rule 10b5-1, which allows insiders to sell shares at predetermined times to avoid accusations of insider trading.
In addition to the sale, Rabinowitz also acquired 1,364 shares of common stock on March 27, 2024, through the vesting of RSUs. These units represent a contingent right to receive shares of Natera's common stock and are part of an award that vests over four years. The first 25% vested in March 2021, with the remainder scheduled to vest in equal quarterly installments.
Following these transactions, Rabinowitz's ownership in Natera stands at 204,839 shares of common stock. The company, headquartered in Austin, Texas, operates in the medical laboratories sector and is known for its specialized genetic testing services.
Investors and followers of Natera will likely keep an eye on insider transactions as they can provide insights into the company's performance and insider sentiment. However, it should be noted that such transactions are not necessarily indicative of future stock performance and should be considered within the broader context of the company's business outlook and market conditions.
InvestingPro Insights
Natera, Inc.'s recent insider trading activity comes at a time when the company's financial metrics and market performance are drawing attention. According to InvestingPro data, Natera boasts a robust market capitalization of $11.04 billion. The company's revenue growth is particularly impressive, with a 31.99% increase over the last twelve months as of Q1 2023, and an even higher quarterly growth rate of 43.2% for Q1 2023. This could signal a strong market demand for Natera's specialized genetic testing services. Despite these positive revenue trends, it's important to note that the company's P/E ratio stands at -24.17, with an adjusted figure of -25.4, which indicates that Natera is not currently profitable.
Turning to InvestingPro Tips, we find that six analysts have revised their earnings estimates upwards for the upcoming period, which may suggest a positive outlook for the company's financial performance. However, analysts do not expect Natera to be profitable this year. This aligns with the company's strategy of investing in growth, which could be a factor in the significant revenue increases. Additionally, Natera has been trading near its 52-week high, with a price that's 95.03% of the peak, suggesting investor confidence in the stock's future trajectory.
For investors seeking more in-depth analysis, there are additional InvestingPro Tips available on InvestingPro's platform, which can be accessed at https://www.investing.com/pro/NTRA. Those interested in a subscription can use the coupon code PRONEWS24 to get an extra 10% off a yearly or biyearly Pro and Pro+ subscription. Currently, there are 13 InvestingPro Tips that provide further insights into Natera's financial health and market performance, including aspects like liquidity, debt levels, and historical returns.
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