In a recent transaction, QuickLogic Corp's (NASDAQ:QUIK) Chief Financial Officer and Senior Vice President of Finance, Nader Elias, sold a total of 4,458 shares of the company's common stock. The sale, which took place on September 5, 2024, resulted in proceeds exceeding $33,000, with the shares being sold at a weighted average price of $7.4151.
According to the filing, the transactions occurred in multiple batches with prices ranging from $7.40 to $7.45 per share. This sale was conducted to address a tax liability that arose from an under-withholding of shares by the issuer in previous years. Despite this sale, the CFO's percentage ownership in QuickLogic is expected to remain relatively stable due to the vesting of additional shares previously issued to him and the one-time grant of restricted stock units that vested in late August 2024.
Following the transaction, Elias still holds a substantial number of shares in the company, with a reported 52,740 shares of common stock remaining in his possession. The sale was carried out as part of a rectification for the insufficient withholding of shares to cover the tax liability owed by Elias, as noted in the footnotes of the SEC filing.
QuickLogic Corp, based in San Jose, California, specializes in semiconductors and related devices, and is known for its innovative solutions in the sector. This transaction comes as a routine disclosure, providing transparency to investors and the market regarding the financial dealings of the company's executives.
In other recent news, QuickLogic Corporation reported a 41% year-over-year increase in Q2 fiscal 2024 earnings, with revenue reaching $4.1 million. Despite this increase, there was a 31% sequential decline from Q1. The company adjusted its full-year growth projection to 15%, attributing this to scheduling push-outs, but it emphasized that no contracts were lost.
QuickLogic expects a significant revenue rebound in Q4 and anticipates accelerated growth thereafter. The company is broadening its product lines and partnerships, with a focus on sectors such as defense, industrial, and consumer electronics. QuickLogic's subsidiary, SensiML, is projected to achieve record revenue in 2024 with its new Open-Source strategy.
QuickLogic's strategic alliances with Intel (NASDAQ:INTC) Foundry, BAE Systems (LON:BAES), CTG, and distribution agreements with Spur Microwave and Astute Electronics are set to strengthen its market position. The company is also developing an FPGA Chiplet in collaboration with YorChip, scheduled for release in the second half of 2025. These recent developments reflect QuickLogic's commitment to innovation and customer needs, and its intent to leverage its FPGA expertise for future growth opportunities.
InvestingPro Insights
As QuickLogic Corp (NASDAQ:QUIK) navigates the semiconductor industry landscape, recent data from InvestingPro provides a deeper look into the company’s financial health and stock performance. With a market capitalization of $105.31 million, QuickLogic stands as a notable player in its sector. The company's revenue growth has been robust, with a significant increase of 66.32% over the last twelve months as of Q2 2024. This growth trend is consistent when looking at quarterly revenue growth, which stands at 41.29% for Q2 2024.
The stock's price-to-earnings (P/E) ratio is currently 57.3, and it has adjusted slightly higher to 61.19 over the last twelve months. Despite this, the PEG ratio, which accounts for earnings growth, is relatively low at 0.47, suggesting that the stock may be undervalued in terms of its growth potential. This is further supported by an InvestingPro Tip indicating that QuickLogic is trading at a low P/E ratio relative to near-term earnings growth.
However, the stock has experienced significant volatility, with a steep price total return decline of 39.69% over the last three months. Another InvestingPro Tip highlights that the Relative Strength Index (RSI) suggests the stock is currently in oversold territory, indicating that it may be due for a rebound. Investors looking for more insights can find additional InvestingPro Tips at https://www.investing.com/pro/QUIK, which include 16 additional tips to help guide their investment decisions regarding QuickLogic Corp.
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