Jonathan Young, the Chief Operating Officer of Akero Therapeutics, Inc. (NASDAQ:AKRO), has sold a total of 2,516 shares of the company's common stock, according to a recent SEC filing. The transaction, which took place on June 11, 2024, was executed at weighted-average prices ranging from $22.640 to $22.760, resulting in a total value of approximately $56,964.
The sale was part of an automated process to cover tax withholding obligations related to the vesting of restricted stock units. Akero Therapeutics has a "sell-to-cover" policy in place which mandates the automatic sale of shares to meet tax requirements on behalf of the reporting person. As such, the decision to sell was not at the discretion of Young.
Following this transaction, Young still holds a substantial amount of Akero Therapeutics' stock, with 250,790 shares remaining in his direct ownership. Additionally, there are 60,000 shares held in irrevocable trusts for the benefit of Young's children. It should be noted that Young's spouse acts as the trustee for these trusts. Despite the association, Young has disclaimed beneficial ownership of these shares, and this report does not constitute an admission of beneficial ownership for any legal purposes, including Section 16 of the Securities Exchange Act of 1934.
Investors and followers of Akero Therapeutics may be interested in these transactions as they provide insight into the actions of company insiders. The sale of shares by a high-ranking executive like the COO can be an indicator of personal financial management, but it is also a routine practice related to compensation and tax strategies. The details of the transactions, including the number of shares sold at varying prices within the range provided, are available upon request to the issuer, security holders, or the SEC staff.
In other recent news, Akero Therapeutics has experienced several significant developments. The company has amended its corporate bylaws, elected three Class II directors, and ratified the appointment of Deloitte & Touche LLP as their independent registered public accounting firm for the fiscal year ending December 31, 2024. Additionally, the company has appointed Scott Gangloff as Chief Technology Officer, demonstrating their commitment to advancing Efruxifermin through Phase 3 clinical trials.
Analyst firms have also shown interest in Akero Therapeutics. Canaccord Genuity maintained a Buy rating on the company's stock, citing the potential of Efruxifermin, while Wolfe Research initiated coverage with an Outperform rating. Both Evercore ISI and Canaccord Genuity adjusted their price targets for Akero, driven by reassessments of the company's financial model and updated projections for fiscal year 2024 operating expenses. Lastly, BofA Securities reinstated coverage on Akero Therapeutics, assigning a Neutral rating.
These are recent developments in the ongoing story of Akero Therapeutics. Please note that this article does not provide a comprehensive view of the company but focuses solely on recent news items.
InvestingPro Insights
Akero Therapeutics, Inc. (NASDAQ:AKRO) has recently been in the news due to insider stock transactions by its COO, Jonathan Young. While such sales can be routine, investors often look for deeper financial insights and trends to understand the company's position and potential. Here are some pertinent data points and tips from InvestingPro to consider:
The company currently has a market capitalization of $1.71 billion, reflecting its size and reach within the industry. Despite a challenging year, Akero Therapeutics has shown a remarkable return over the last week, with a 15.42% increase in its stock price. Over the last month, the stock has also seen a strong return of 19.4%. These short-term gains contrast with a more sobering one-year price total return, which is down by 56.72%, indicating volatility and the potential for significant swings in investor sentiment.
One of the key InvestingPro Tips for Akero Therapeutics is that the company holds more cash than debt on its balance sheet, which generally indicates a strong financial position and the ability to cover short-term obligations. Additionally, the Relative Strength Index (RSI) suggests the stock is currently in overbought territory, which might be a signal to investors to watch for a possible reversion or price correction.
For those looking for more detailed analysis and additional tips, InvestingPro offers a comprehensive list. There are 11 more InvestingPro Tips available for Akero Therapeutics, which can be accessed through the InvestingPro platform. For a deeper dive into the company's financial health and stock performance, consider using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
Investors tracking the performance of Akero Therapeutics (NASDAQ:AKRO) may find these insights particularly relevant as they assess the company's future prospects and the implications of insider trading patterns.
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