Investors in Axil Brands, Inc. (OTCMKTS:AXIL) may take note as the company's Chairman and CEO, Jeff Toghraie, has recently made a notable addition to his holdings in the cosmetic and toiletry preparations company. According to the latest SEC filing, Toghraie, through Intrepid Global Advisors, Inc., purchased a significant number of Series A Preferred Stock shares.
Specifically, on March 19, 2024, Intrepid Global Advisors, Inc. acquired 4,206,750 shares of Axil Brands' Preferred Stock for a total cash consideration of $25,240.50. This transaction equates to approximately 210,338 shares of the issuer's common stock on an as-converted basis, following a previously effected reverse stock split of the issuer's common stock at a ratio of 1-for-20.
The Preferred Stock acquired by Toghraie is convertible into shares of Axil Brands' common stock at a twenty-for-one basis, an option available to the holder at any time after the second anniversary of the date that the issuer first issued shares of Preferred Stock, which was on June 16, 2022. However, the conversion is subject to a beneficial ownership limitation of 5% of the issuer's common stock.
This investment by the CEO aligns with his role as the managing director of Intrepid Global Advisors, Inc., and reflects a continued commitment to the company's growth and success. It's also worth noting that the Preferred Stock has no expiration date, indicating a long-term interest.
For context, Axil Brands, Inc., formerly known as Reviv3 Procare Co, changed its legal name effective February 14, 2024. The company is incorporated in Delaware and specializes in the production and distribution of various beauty and personal care products.
Investors and market watchers often look to the actions of company executives as a signal of their confidence in the firm's prospects, and such transactions can influence market perceptions and stock performance.
InvestingPro Insights
As Axil Brands, Inc. (OTCMKTS:AXIL) garners attention with the CEO's recent stock purchase, savvy investors are taking a closer look at the company's financial metrics and what they could mean for future performance. An analysis of real-time data from InvestingPro reveals several key indicators that may influence investor sentiment.
With a market capitalization of $3.04 billion, Axil Brands is trading at a P/E ratio of 7.83, which is considered low relative to its near-term earnings growth. This could suggest that the stock is undervalued, presenting a potential opportunity for investors. Additionally, the company has experienced significant returns over the last week, with a 7.65% increase in its stock price, which aligns with the CEO's confidence in the company's potential.
InvestingPro Tips highlight that analysts have revised their earnings upwards for the upcoming period, further fueling optimism about the company's financial prospects. The tips also indicate that while Axil Brands does not pay a dividend, the company is expected to be profitable this year, as it has been over the last twelve months.
For investors seeking a more comprehensive analysis, InvestingPro offers additional insights into Axil Brands, including a deeper dive into financials, forecasts, and more. Currently, there are 6 more InvestingPro Tips available, which can be accessed with a subscription. Use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, unlocking a wealth of data-driven insights to inform your investment decisions.
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