Accolade, Inc. (NASDAQ:ACCD) Chief Financial Officer Stephen H. Barnes recently engaged in transactions involving the company's stock, according to a new SEC filing. Barnes sold shares to cover tax obligations related to the vesting of Restricted Stock Units (RSUs).
On March 19, 2024, Barnes sold a total of 119 shares of Accolade's common stock at an average price of $9.484 per share. This transaction amounted to a total of $1,128. The shares were sold to meet tax withholding obligations as part of a "mandatory sell to cover" transaction following the vesting and settlement of RSUs. It is important to note that this type of transaction is often required by the company's stock plan and does not necessarily reflect discretionary trading by the executive.
The sale was part of the process for RSUs that convert into shares of common stock upon vesting. The filing indicated that each RSU represents a contingent right to receive one share of Accolade's common stock. The vesting schedule for the RSUs was set to begin on the one-year anniversary of the June 2021 Vesting Commencement Date, with a gradual vesting period extending over four years.
The SEC filing also reported a transaction from the previous day, March 18, where Barnes acquired 415 common shares, coinciding with the conversion of an equal number of RSUs. However, this transaction was reported with a price of $0, as it was part of the RSU settlement process.
Following these transactions, Barnes's direct ownership in Accolade stands at 177,706 shares of common stock. Investors often monitor executive transactions as they can provide insights into management's perspective on the company's stock value and financial health.
Accolade, headquartered in Plymouth Meeting, Pennsylvania, operates in the business services sector, providing personalized health and benefits solutions. The company's stock trades on the NASDAQ under the symbol ACCD.
InvestingPro Insights
Amidst the recent transactions involving Accolade, Inc.'s (NASDAQ:ACCD) stock by Chief Financial Officer Stephen H. Barnes, investors are keeping a close eye on the company's financial metrics and market performance. Here are some key insights from InvestingPro that might provide a deeper understanding of Accolade's current market position:
Accolade's market capitalization stands at $736.15 million, reflecting the company's valuation in the market as of the last twelve months up to Q3 2024. Despite the challenges, the company has maintained a revenue growth of 8.55% during the same period, with the latest quarterly revenue growth at 9.26%. This suggests a steady increase in the company's sales.
However, the company's profitability is under scrutiny, as indicated by the negative P/E ratio of -5.81, which further dipped to -6.28 when adjusted for the last twelve months as of Q3 2024. This aligns with the InvestingPro Tip that analysts do not expect the company to be profitable this year. Additionally, Accolade's operating income margin stands at -33.94%, highlighting the challenges the company faces in converting its revenue into operating income.
Looking at Accolade's stock price movements, the 1-month price total return as of Y2024.D80 was -17.59%, reflecting significant volatility, which is also highlighted by an InvestingPro Tip. Despite this, the company's liquid assets exceed its short-term obligations, indicating a solid liquidity position.
For investors interested in further analysis and additional InvestingPro Tips, including insights into Accolade's shareholder yield and debt levels, visit https://www.investing.com/pro/ACCD. There are 6 more tips available on InvestingPro that can provide a comprehensive view of the company's financial health and stock performance. Remember to use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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