Investors following SoundThinking Inc. (NASDAQ:SSTI) may be interested to learn that Nasim Golzadeh, the company's EVP of MD Technologic, Investigative Solutions, recently sold shares in the company. The transaction, which took place on August 28, 2024, involved the sale of 354 shares of common stock at prices ranging from $14.06 to $14.17 per share.
The transaction was part of a prearranged plan to sell only enough shares to cover tax withholding obligations related to the vesting of restricted stock units, as well as brokerage commission fees. Following the sale, Golzadeh retains ownership of 68,989 shares of SoundThinking Inc.
The total value of the shares sold by Golzadeh amounted to approximately $4,985, reflecting a per-share price of $14.0838. This executive move comes as part of the normal course of business for corporate insiders, who often transact in their own company's stock for a variety of personal financial reasons.
SoundThinking Inc., formerly known as ShotSpotter Inc., specializes in prepackaged software services and is based in Fremont, California. For those interested in the specifics of the sale, Golzadeh has offered to provide full information regarding the number of shares sold at each separate price upon request to the SEC, the issuer, or the security holder of the issuer.
In other recent news, SoundThinking displayed strong Q2 growth, reporting a 22% increase in revenues to $27 million compared to the same period last year. The company's acoustic gunshot detection system, ShotSpotter, has expanded its reach into new cities and sectors, adding to this growth. Internationally, SoundThinking has broadened its footprint with expansions in Uruguay and South Africa.
The company has also formed a strategic partnership with Rekor for the PlateRanger product, expected to enhance the SafetySmart platform starting in September 2024. SoundThinking's adjusted EBITDA saw a significant increase of over 110% to $5.1 million. Despite anticipating lower revenues in Q3 due to an acceleration of professional services in Q2, the company maintains a positive outlook for Q4 and the full year.
These are just some of the recent developments at SoundThinking, which continues to innovate and expand in the public safety sector. It's important to note that these facts are based on the company's recent earnings call and are subject to change.
InvestingPro Insights
As investors digest the recent insider sale at SoundThinking Inc. (NASDAQ:SSTI), a closer look at the company's financial health and market performance could be informative. According to InvestingPro data, SoundThinking Inc. is currently navigating challenging waters with a market capitalization of approximately $180.24 million. The company's P/E ratio stands at a negative 93.83, reflecting concerns about profitability. Moreover, the company's revenue has shown growth in the last twelve months as of Q2 2024, with a significant increase of 24.16%, indicating some positive business momentum despite the challenges.
However, it's important to note that SoundThinking Inc. is trading at a high EBITDA valuation multiple and analysts have a cautious outlook on the company. One InvestingPro Tip highlights that analysts have revised their earnings downwards for the upcoming period, suggesting that the market is anticipating a contraction in SoundThinking Inc.'s financial performance. Another InvestingPro Tip reveals that the company's stock has taken a notable hit over the last week, with a price total return of -11.04%. This could be indicative of market sentiment following recent events or broader sector trends.
For investors seeking a deeper dive into SoundThinking Inc.'s financials and market expectations, InvestingPro offers additional tips and insights. Currently, there are 8 more InvestingPro Tips available for SoundThinking Inc., which can be accessed through the dedicated InvestingPro page for the company at: https://www.investing.com/pro/SSTI. These tips may provide valuable context for the company's current stock performance and future outlook.
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