In a recent move, Edward Harris Fenster, a board director at Sunrun Inc . (NASDAQ:RUN), engaged in significant stock transactions, according to the latest SEC filings. Fenster exercised options to acquire 230,988 shares of common stock at a price of $5.88 each, amounting to a total of $1,358,209. Following this, he sold a total of 170,584 shares at prices ranging from $11.9401 to $12.55 per share, with the transactions totaling approximately $2,066,193.
The sales were executed in two separate transactions. In the first sale, Fenster sold 170,584 shares at a weighted average price of $11.9401, and in the second, he sold 2,336 shares at a weighted average price of $12.587. These sales were reportedly made to cover the exercise price and tax obligations related to the stock option exercise.
The transactions were conducted under a Rule 10b5-1 trading plan, which was adopted on September 15, 2023. This plan allows company insiders to set up a predetermined schedule for buying and selling shares to avoid accusations of insider trading.
After these transactions, Fenster's holdings in Sunrun Inc. decreased but still amounted to a substantial 1,261,317 shares, including 31,319 restricted stock units that are subject to vesting conditions. The reported stock sales and option exercises reflect a notable activity by an insider of the company, providing investors with insights into executive movements within Sunrun Inc.
InvestingPro Insights
Amidst the backdrop of executive stock transactions at Sunrun Inc., investors may find the following real-time data and InvestingPro Tips particularly insightful. With a market capitalization of $2.35 billion, Sunrun Inc. is navigating through challenging financial waters. The company's Price / Book multiple, as of the last twelve months ending Q4 2023, stands at 0.5, suggesting that the stock is trading at a low valuation relative to the company's book value. This is further exemplified by the company’s negative revenue growth of -2.65% over the same period, indicating potential headwinds in sales performance.
InvestingPro Tips highlight that Sunrun Inc. operates with a significant debt burden and may have trouble making interest payments on its debt, which is a crucial consideration for investors. Additionally, the company has been quickly burning through cash, which can raise concerns about its long-term financial sustainability. For those interested, there are 6 additional InvestingPro Tips available for Sunrun Inc., which can be accessed by visiting InvestingPro. These tips can provide deeper insights into the company's financial health and future prospects.
Despite a strong return over the last month, with a price total return of 20.12%, the stock has experienced significant volatility, with a 3-month price total return of -21.32%. Moreover, the stock's price volatility is underlined by its high price volatility, as noted in the InvestingPro Tips. Investors considering a stake in Sunrun Inc. should be aware of these factors, which could influence the stock's future performance.
For those looking to further explore Sunrun Inc.'s financials and stock performance with additional InvestingPro Tips, use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.