Traeger, Inc. (NYSE:COOK), a household appliances company, announced on Monday amendments to its corporate governance and the results of its annual stockholders meeting. The changes, which include the exculpation of officers, align with Delaware's General Corporation Law.
On June 11, the company's stockholders approved an amendment to the Certificate of Incorporation during the annual meeting. The amendment specifically modifies Article VIII to allow for the exculpation of company officers to the extent permissible under Delaware law. This legal provision offers protection to officers from certain types of lawsuits, provided they have acted in good faith and in the best interest of the company.
Following the approval, Traeger filed the Certificate of Amendment with the Delaware Secretary of State on June 12, which took effect immediately. The detailed amendment was previously outlined in the definitive proxy statement filed on April 29.
In addition to the amendment, the annual meeting saw the election of Class III directors. Raul Alvarez, James Ho, and Wayne Marino were elected to serve until the 2027 annual meeting, with votes for each candidate surpassing 107 million.
The appointment of Ernst & Young LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2024, was also ratified with over 121 million votes in favor.
In other recent news, Traeger, Inc. reported a revenue of $145 million for Q1 2024, despite a 5% decrease from the previous year. The company also met its adjusted EBITDA expectations at $24 million while reaffirming its financial guidance for fiscal year 2024. In a separate development, B.Riley maintained a Buy rating on Traeger, with a price target of $3.50, following a non-deal roadshow. The analyst from B.Riley underlined Traeger's potential for EBITDA improvement and the significance of its enhanced product placement in Home Depot (NYSE:HD) stores. Recent discussions have focused on the current phase of the grilling cycle, the company's 2024 guidance, and third-quarter insights. These developments highlight Traeger's strategic initiatives, market opportunities, and its commitment to long-term growth. It should be noted that these are recent developments and do not predict future performance.
InvestingPro Insights
In light of Traeger, Inc.'s (NYSE:COOK) recent corporate governance updates, investors may find the latest data from InvestingPro to be particularly insightful. The company currently holds a market capitalization of approximately $299.62 million with a revenue of $597.63 million over the last twelve months as of Q1 2024. Despite a slight revenue growth of 2.1% in the same period, Traeger has faced challenges, as reflected by a negative P/E ratio of -3.71 and an adjusted P/E ratio of -4.12, indicating that it has not been profitable over the last twelve months.
Moreover, Traeger's stock has experienced a 42.44% decline over the past year, though recent fluctuations show a 7.27% increase in the last month. An InvestingPro Tip suggests that while the price has fallen significantly over the last five years, analysts are predicting the company will be profitable this year. Additionally, Traeger's liquid assets exceed short-term obligations, providing some financial stability. However, the company is trading at a high EBITDA valuation multiple and does not pay a dividend to shareholders, which may influence investment decisions.
For investors seeking a deeper analysis of Traeger, Inc. and additional InvestingPro Tips, visit https://www.investing.com/pro/COOK. There are currently 6 more tips available that could help in making a more informed investment decision. To enhance your investing toolkit, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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