Neuronetics , Inc. (NASDAQ:STIM), a company specializing in surgical and medical instruments and apparatus, has reported a recent sale of shares by its President and CEO, Keith Sullivan. According to the latest SEC filing, Sullivan sold a total of 23,762 shares of Neuronetics common stock across two separate transactions on July 16 and July 17.
The first sale on July 16 involved 12,075 shares at a weighted average price of $1.91 per share, with individual transactions within this batch ranging from $1.89 to $1.95. The second sale, conducted on July 17, consisted of 11,687 shares sold at a weighted average price of $1.97, with prices varying from $1.95 to $2.02 per share. The total proceeds from these sales amounted to over $46,086.
It's noted in the SEC filing that the transactions were non-discretionary sales to meet the reporting person's tax withholding obligations upon the vesting of a portion of a restricted stock unit award.
Following these transactions, Sullivan remains a significant shareholder of Neuronetics, with 1,348,516 shares still under his ownership. Investors often monitor insider sales as they provide insights into executives' perspectives on their company's stock value and future performance.
The company's business address is located at 3222 Phoenixville Pike, Malvern, PA, and it operates under the industrial classification of surgical and medical instruments and apparatus. Neuronetics has been incorporated in Delaware and has a fiscal year ending on December 31.
For more detailed information regarding the transactions, including the exact number of shares sold at each price point within the ranges provided, the reporting person has committed to furnishing full details to the SEC staff, Neuronetics, or any stockholder of the company upon request.
In other recent news, Neuronetics, a commercial-stage medical technology company, reported a 12% increase in Q1 revenue year-over-year, reaching $17.4 million. Despite challenges like shipping delays and a cybersecurity incident, the firm saw steady demand for its NeuroStar system and achieved FDA clearance for NeuroStar as a first-line adjunct treatment for adolescents with major depressive disorder. These developments are part of the recent news that has led to an upgrade of Neuronetics' stock from Market Perform to Outperform by an analyst at William Blair. The analyst cited the company's expansion into adolescent treatment and efforts to improve recognition and usage of Transcranial Magnetic Stimulation (TMS) technology as potential growth drivers. Furthermore, Neuronetics anticipates becoming cash flow positive by the fourth quarter of 2024 and expects to ship around 200 systems that year. The company maintains flat guidance for the upcoming quarters due to market uncertainty, with full-year revenue projected to range from $78 million to $80 million. Despite facing competition and other challenges, Neuronetics remains committed to its growth strategy and resilience in providing innovative treatments for depression.
InvestingPro Insights
Amidst the recent insider sales by Neuronetics, Inc.'s (NASDAQ:STIM) President and CEO, Keith Sullivan, the company's financial health and market performance remain key factors for investors to consider. Neuronetics, which specializes in surgical and medical instruments, has a market capitalization of $57.15 million, reflecting its position in the industry. Despite a challenging environment, the company has managed to report a revenue growth of 10.01% over the last twelve months as of Q1 2024, indicating resilience in its core business operations.
However, an InvestingPro Tip highlights that analysts are not optimistic about the company's profitability in the near term. They have revised their earnings downwards for the upcoming period, and the company is not expected to be profitable this year. Additionally, the company's stock price has experienced significant volatility, with a notable decline of 47.78% over the last three months. This could be a point of concern for potential investors looking for stability in their investments.
On a positive note, another InvestingPro Tip points out that Neuronetics' liquid assets exceed its short-term obligations, suggesting that the company is in a good position to manage its immediate financial commitments. This is an important consideration for investors who are assessing the company's short-term financial health.
For investors seeking more comprehensive analysis and additional InvestingPro Tips, Neuronetics' full profile can be explored at https://www.investing.com/pro/STIM. There are currently 7 more InvestingPro Tips available, which can provide deeper insights into the company's financials and market expectations. Interested individuals can take advantage of these insights and receive up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription by using the coupon code PRONEWS24.
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