TUCSON, AZ – Gregory James Quarles, the President and CEO of Applied Energetics, Inc. (OTC:AERG), has recently sold company stock valued at approximately $20,000, according to a new SEC filing. The transaction involved the sale of 10,000 shares at a weighted average price ranging from $1.97 to $2.03 per share.
The sale was executed under a 10b5-1 trading plan, which was adopted by Dr. Quarles on June 15, 2023. Such plans allow company insiders to sell shares over a predetermined period of time, in a manner that is compliant with insider trading laws and regulations.
In addition to the sale, the SEC filing also reported that Dr. Quarles acquired 10,000 shares of common stock on the same day through an option exercise priced at $0.35 per share, amounting to a total of $3,500.
The transactions reflect a shift in Dr. Quarles' holdings in the company, which specializes in search, detection, navigation, and aeronautical systems. Following the reported transactions, Dr. Quarles no longer holds the 10,000 shares of common stock he sold, as indicated in the filing.
Applied Energetics, with its headquarters in Tucson, Arizona, is known for its advanced high-performance lasers and other applied energy systems. The company, which was formerly known as Ionatron, Inc., has seen various changes in its executive leadership and strategic direction over the years.
Investors often monitor the buying and selling activities of company insiders like CEOs for insights into their perspective on the company's future performance. While the motivations for such transactions can vary widely, they are required to be disclosed to the SEC to ensure transparency and maintain fair markets.
For more detailed information, investors can refer to the full SEC Form 4 filing.
InvestingPro Insights
Amidst the recent insider transactions by Dr. Gregory James Quarles, President and CEO of Applied Energetics, Inc. (OTC:AERG), investors may seek additional context to gauge the financial health and potential of the company. The following insights, derived from InvestingPro data, provide a snapshot of AERG's current financial metrics:
- The company's market capitalization stands at a modest $416.36 million, suggesting it is a smaller player within its industry.
- Applied Energetics boasts an impressive gross profit margin of 71.53% for the last twelve months as of Q3 2023, reflecting its ability to maintain profitability on its products and services.
- However, the company is not currently profitable, with a negative P/E ratio of -57.94 and an adjusted P/E ratio for the same period of -59.77, indicating that it has been earning negative net income.
Investors considering the implications of Dr. Quarles' stock transactions on their investment decisions can benefit from the "InvestingPro Tips" tailored for Applied Energetics. Two notable tips include:
- Applied Energetics holds more cash than debt on its balance sheet, which could be a sign of financial stability and a lower risk profile for investors.
- The company's liquid assets exceed its short-term obligations, suggesting that it is well-positioned to cover its immediate financial liabilities.
These metrics and tips could provide valuable insight into the company's financial stability and growth potential. For more comprehensive analysis and additional tips, investors can explore Applied Energetics on InvestingPro at https://www.investing.com/pro/AERG. Currently, there are six more "InvestingPro Tips" available that could further inform investment decisions. Interested investors can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, enhancing their investment research with a suite of professional tools.
For those closely following insider trading activity, the financial standing of Applied Energetics may offer additional context to Dr. Quarles' recent stock sale and acquisition through options exercise. Understanding the company's market position and potential can help investors make more informed decisions in light of executive trading behaviors.
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