Steven Leonard Chapman, CEO and President of Natera, Inc. (NASDAQ:NTRA), has sold 4,523 shares of common stock, according to a recent SEC filing. The shares were sold at a weighted average price of $130.40 per share, resulting in a total transaction value of approximately $589,796. This transaction was conducted under a Rule 10b5-1 trading plan that Chapman adopted on December 11, 2023. Following this sale, Chapman retains ownership of 191,163 shares in the company.
In other recent news, Natera Inc . reported noteworthy developments in its operations and financial performance. The company announced a 12% sequential revenue increase from the first quarter and a year-over-year surge of 58%. Despite the non-renewal of the Foundation Medicine partnership and a delay in the submission of the ALTAIR study, Natera projects a 40% revenue growth compared to 2023. The company also secured a permanent injunction against NeoGenomics (NASDAQ:NEO)' RaDaR assay, following a preliminary injunction from December 2023. This legal development is part of Natera's broader efforts to protect its intellectual property rights within the genetic testing market. Analysts from Piper Sandler, TD Cowen, and Canaccord Genuity have maintained positive stances on Natera, reiterating their price targets and Buy ratings. These firms' confidence is based on the forthcoming Galaxy study results and Natera's presentation at the European Society for Medical Oncology (ESMO) conference. In other company news, Natera's Renasight test received an endorsement from the National Kidney Foundation for chronic kidney disease testing.
InvestingPro Insights
As Natera's CEO Steven Leonard Chapman reduces his stake in the company, investors might be curious about the broader financial picture. According to InvestingPro data, Natera boasts a market capitalization of $15.2 billion, reflecting its significant presence in the biotechnology sector. The company's revenue growth has been impressive, with a 46.13% increase over the last twelve months as of Q2 2024, reaching $1.36 billion. This strong top-line performance aligns with the stock's remarkable 192.14% price return over the past year.
Despite the robust revenue growth, InvestingPro Tips highlight that Natera is not currently profitable, with analysts not anticipating profitability this year. This is reflected in the company's negative operating income margin of -23.06% for the last twelve months. However, the company's liquid assets exceed short-term obligations, suggesting a solid near-term financial position.
The stock's volatility, as noted in one of the InvestingPro Tips, is evident in its recent price movements. While there's been a strong 20.96% return over the last three months, the stock has experienced a -5.93% return in the past week. This volatility may be a factor for investors to consider when evaluating Chapman's stock sale.
For those seeking a more comprehensive analysis, InvestingPro offers 11 additional tips for Natera, providing deeper insights into the company's financial health and market position.
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