EverCommerce Inc. (NASDAQ:EVCM) CEO Eric Richard Remer has sold a total of 16,346 shares of the company's common stock over a span of three days, with the transactions totaling over $165,378. The sales took place between October 8 and October 10, according to the latest SEC filings.
On October 8, Remer sold 5,436 shares at a weighted average price of $10.0861, with prices ranging from $10.005 to $10.175. The following day, he disposed of 4,922 shares at an average of $10.1601 per share, with individual transactions ranging from $9.99 to $10.24. The final sale on October 10 involved 5,988 shares at a weighted average price of $10.1106, and these were sold at prices between $10.005 and $10.165.
After these transactions, Remer still retains a significant stake in the company, with direct and indirect holdings totaling over 8 million shares through various entities, including Buckrail Partners, LLC, the EMJ Remer Family Trust, the Remer Family Trust, and Family Trust 1.
The sales were conducted in accordance with a Rule 10b5-1 trading plan, which was established on June 14, 2024, allowing company insiders to sell shares at predetermined times to avoid any accusations of trading on non-public, material information.
Investors often monitor insider transactions as they can provide insights into an executive's confidence in the company's future performance. However, such sales can also be part of personal financial planning and diversification strategies.
Lisa Storey, acting as attorney-in-fact, signed off on the disclosure of these transactions, which is now available for public record.
In other recent news, EverCommerce Inc. has seen significant developments. The company reported a Q2 2024 revenue of $177.4 million, indicating a 4.3% year-over-year increase. Excluding the sale of fitness assets, the pro forma revenue growth was 6%. The company's adjusted EBITDA reached $41.2 million, marking a 23.2% margin. Payments revenue, excluding fitness solutions, saw an 8% YoY increase, driven by an 8.4% growth in total payment volume.
EverCommerce also announced the appointment of Alexi Wellman to its Board of Directors, effective September 23, 2024. Wellman brings a wealth of experience in financial management and corporate governance, having held CEO and CFO positions at Altaba Inc., as well as financial leadership roles at Yahoo Inc. and Nebraska Book Company. Concurrently, Debby Soo resigned from the Board, effective October 31, 2024.
Looking ahead, EverCommerce expects Q3 total revenue to be between $172 million and $176 million, with adjusted EBITDA projections set at $39 million to $42 million. These recent developments highlight EverCommerce's ongoing focus on profitability and generating significant free cash flow.
InvestingPro Insights
To provide additional context to CEO Eric Richard Remer's recent stock sales, let's examine some key financial metrics for EverCommerce Inc. (NASDAQ:EVCM) from InvestingPro.
As of the latest data, EverCommerce has a market capitalization of $1.86 billion. The company's revenue for the last twelve months as of Q2 2023 stood at $691.69 million, with a revenue growth of 6.23% over the same period. This growth trajectory aligns with an InvestingPro Tip suggesting that net income is expected to grow this year.
Despite the positive revenue outlook, it's worth noting that EverCommerce is not currently profitable, with a negative P/E ratio of -65.98 for the last twelve months as of Q2 2023. This is reflected in another InvestingPro Tip, which indicates that the company has not been profitable over the last twelve months. However, analysts predict that the company will turn profitable this year, which could explain why the CEO still maintains a significant stake in the company despite his recent share sales.
The company's EBITDA for the last twelve months as of Q2 2023 was $112.79 million, showing a robust growth of 29.25%. This strong EBITDA performance might be a factor in the company's high EBITDA valuation multiple, as noted in one of the InvestingPro Tips.
For investors seeking a more comprehensive analysis, InvestingPro offers additional insights, with 7 more tips available for EverCommerce. These additional tips could provide valuable context to the insider trading activity and the company's financial health.
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