David B. Blundin, a director and significant shareholder of EverQuote , Inc. (NASDAQ:EVER), has recently sold a portion of his holdings in the company. According to the latest filings, Blundin sold a total of $1,011,343 worth of Class A common stock at an average price of $20.48 per share.
The transactions were carried out on April 17, 2024, and were executed in multiple trades with prices ranging from $20.00 to $20.62 per share. Following these sales, Blundin still retains a substantial number of shares in EverQuote, signaling his ongoing vested interest in the company's performance.
Blundin's sales were made under a Rule 10b5-1 trading plan, which he had adopted on September 5, 2023. This plan allows corporate insiders to set up a predetermined schedule to buy or sell company stock to avoid accusations of insider trading. The plan provides a defense against insider trading allegations by demonstrating that the trades were planned in advance, at a time when the insider was not in possession of material non-public information.
The detailed breakdown of the sales is as follows: 22,018 shares were sold directly by Blundin, while another 24,791 shares were sold indirectly through Recognition Capital, LLC, with Blundin being the sole manager. An additional 2,573 shares were sold indirectly by Link Ventures LLLP, where Blundin serves as the managing member of the general partner. Post-transaction, Blundin directly owns 593,492 shares, and indirectly owns a total of 2,068,455 shares through various entities.
Investors often watch insider selling for signals about the health and future prospects of a company. However, it is not uncommon for executives and directors to sell shares for personal financial management reasons, such as diversification or liquidity needs.
EverQuote, headquartered in Cambridge, Massachusetts, operates in the online insurance marketplace sector, providing a platform for insurance shopping. The company has been expanding its services and aims to simplify the insurance shopping process for consumers while providing valuable leads to insurance providers.
Investors and market watchers will likely continue to monitor insider transactions as part of their due diligence and investment decision-making process.
InvestingPro Insights
Amidst the recent insider transactions at EverQuote, Inc. (NASDAQ:EVER), potential investors and market analysts might find the company's financial health and stock performance metrics of particular interest. According to recent data from InvestingPro, EverQuote holds a market capitalization of $629.48 million USD, which is reflective of its valuation in the current market.
Moreover, the company's impressive gross profit margins stand at 92.2% for the last twelve months as of Q4 2023, indicating a robust ability to manage production costs relative to its sales. Despite the substantial revenue decline of -28.75% over the same period, the gross profit figure suggests that EverQuote maintains a strong grip on its operational efficiency.
InvestingPro Tips highlight that EverQuote is not currently paying dividends to shareholders, which could be an important consideration for those focused on income-generating investments. Additionally, it's worth noting that the stock has experienced significant volatility, with a sharp decline of -9.26% over the last week, yet a strong return of 65.03% over the last three months. This could signal both short-term challenges and a potentially optimistic medium-term outlook for investors.
For those considering an investment in EverQuote, the company's performance and financial metrics can be further explored with additional InvestingPro Tips. There are 11 more tips available, providing deeper insights into the company's financial health and stock performance. Interested investors can access these tips by visiting the dedicated page for EverQuote at https://www.investing.com/pro/EVER. Plus, by using the coupon code PRONEWS24, new subscribers can enjoy an extra 10% off a yearly or biyearly Pro and Pro+ subscription, offering a more comprehensive understanding of EverQuote's investment potential.
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