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Butterfly Network CTO sells shares worth over $17k

Published 09/09/2024, 21:24
BFLY
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Butterfly Network (LON:NETW), Inc.'s (NYSE:BFLY) Chief Technology Officer, Stoica Andrei G, has recently sold shares of the company's stock, according to a new SEC filing. The executive sold a total of 10,212 shares at an average price of $1.696, with the transaction amounting to over $17,319. The shares were sold on September 5, 2024, and the sale prices ranged from $1.57 to $1.77 per share.


The sale was part of a "sell-to-cover" policy adopted by Butterfly Network to satisfy tax withholding obligations related to the vesting of restricted stock units. This policy automatically triggers the sale of shares to cover tax liabilities, and as such, the decision to sell was not at the discretion of Stoica Andrei G. The company's filing indicated that the CTO still holds 1,470,526 shares following the transaction.


Investors and followers of Butterfly Network, a company specializing in X-ray apparatus and related irradiation apparatus, may take note of these transactions as part of their ongoing assessment of the company's stock performance and insider confidence. The sale was reported in compliance with SEC regulations, and full details regarding the number of shares sold at each price are available upon request.


Butterfly Network's stock, trading under the ticker symbol NYSE:BFLY, may experience movements following announcements of insider transactions, which are often watched closely by market participants.


In other recent news, Butterfly Network reported a record 16% year-over-year increase in its Q2 2024 revenue, reaching $21.5 million, the highest quarterly revenue in the company's history. This was accompanied by successful cost reduction strategies, resulting in an additional annual saving of $10 million. TD Cowen, maintaining a Buy rating on Butterfly Network, anticipates a positive European reception to the company's iQ3 product, further enhancing its international presence.


Butterfly Network has also appointed Steve Cashman as Chief Business Officer, overseeing global sales, marketing, product, and corporate strategy. The company is expanding its AI ecosystem, securing its third Powered by Butterfly chip licensing deal. Despite these positive developments, Butterfly Network anticipates an adjusted EBITDA loss between $45 million and $50 million for the full year.


The company may also benefit from a potential RoHS exemption in Europe, expected in the first half of 2025, which could enhance market opportunities within the European Union. These recent developments suggest a continued focus on growth and expansion for Butterfly Network.


InvestingPro Insights


Following the recent insider sale by Butterfly Network's CTO, Stoica Andrei G, investors might be curious about the company's financial health and stock performance. An overview of key metrics and insights from InvestingPro can provide a clearer picture of Butterfly Network's current position in the market.


Despite the insider sale, Butterfly Network's market cap stands at a notable $399.64 million, which can be a sign of investor confidence in the company's potential. Additionally, the stock has demonstrated significant volatility, with a price uptick leading to a substantial return of 50.46% over the last week. This could indicate a strong market reaction to recent company developments or broader sector movements. Moreover, the stock is trading near its 52-week high, at 94% of this threshold, suggesting a bullish trend in investor sentiment.


On the financial front, InvestingPro Tips highlight that Butterfly Network holds more cash than debt on its balance sheet, which is a positive sign for financial stability. However, the company is quickly burning through cash and analysts do not anticipate profitability this year, which could be a point of concern for potential investors. It's important to note that while the company is not profitable over the last twelve months, its liquid assets do exceed short term obligations, providing some cushion for near-term financial obligations.


For those seeking more comprehensive analysis, InvestingPro offers additional tips on Butterfly Network, which can be accessed for deeper insights into the company's financials and stock performance. As of now, there are 12 more InvestingPro Tips available, which could further inform investment decisions regarding Butterfly Network.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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