ACV auctions exec Anderson sells $150,000 in company stock

In a recent move, Anderson Craig Eric, the Chief Customer Data and Science Officer (CCDSO) of ACV Auctions Inc. (NASDAQ:ACVA), sold 7,500 shares of the company's Class A Common Stock. The stock was sold at a price of $20.00 per share, resulting in a total transaction value of $150,000. This sale occurred on September 12, 2024, and was executed through multiple transactions at the stated price.


ACV Auctions, a business services company headquartered in Buffalo, New York, has seen its executives actively participate in the trading of its shares. The transactions by Anderson are part of the normal course of action for company insiders and are reported in compliance with SEC regulations.


Investors and market watchers often pay close attention to insider selling and buying as it can provide insights into an executive's perspective on the company's current valuation and future prospects. However, it is essential to note that trading by insiders can be subject to various motivations and does not necessarily reflect a direct correlation with the company's performance.


The recent transaction by Anderson is part of a planned trading strategy, as indicated by the use of a Rule 10b5-1 trading plan, which was established on September 15, 2023. Such plans allow company insiders to set up predetermined trading arrangements for buying or selling stocks at a specified time, providing an affirmative defense against potential allegations of trading on non-public material information.


For those monitoring the insider activities at ACV Auctions Inc., it is worth noting that the shares sold are part of a larger holding by Anderson. Following the sale, Anderson's direct ownership in the company's Class A Common Stock stands at 328,167 shares.


ACV Auctions Inc. continues to be a subject of interest for investors who consider insider trading patterns as one of many factors in their investment decisions. The company's stock performance and the actions of its executives will undoubtedly remain under scrutiny as the market evaluates the implications of such insider transactions.



In other recent news, ACV Auctions, the online automotive marketplace for dealers, reported a robust financial performance for the second quarter of 2024. The company's revenue surged by 29% year-over-year, reaching $161 million, and vehicle sales saw a 22% year-over-year increase with 187,000 vehicles sold. ACV Auctions also recorded a 65% sequential increase in adjusted EBITDA, positioning the company to potentially achieve its first year of adjusted EBITDA profitability.


Recent developments include a significant growth in auction and assurance revenue, which grew 33% YoY, making up 57% of total revenue. Software as a Service (SaaS) and data services products returned to positive growth, accounting for 5% of total revenue. ACV Auctions ended the second quarter with a healthy balance sheet, holding $273 million in cash and cash equivalents and $110 million in debt.


Looking ahead, ACV Auctions has provided guidance for Q3 revenue to be in the range of $158 million to $162 million and adjusted EBITDA in the range of $6 million to $8 million. The full-year revenue guidance midpoint has been raised to $615 million to $625 million, with adjusted EBITDA guidance of $21 million to $25 million. These projections reflect the company's focus on driving top-line growth, expanding margins, and creating long-term shareholder value.
InvestingPro Insights


ACV Auctions Inc. (NASDAQ:ACVA) has been making headlines not only due to insider trading activities but also because of its financial metrics and market performance. The InvestingPro data provides a glimpse into the company's valuation and growth, which is particularly relevant for investors following the insider sale by Anderson Craig Eric, the Chief Customer Data and Science Officer.


The company holds a market capitalization of approximately $3.33 billion, reflecting its size and significance in the market. Despite not being profitable over the last twelve months, with a negative P/E ratio of -40.78, analysts are optimistic about the company's future. This is evidenced by a net income that is expected to grow this year. Moreover, ACV Auctions has been trading at a high Price / Book multiple of 7.26, which suggests that investors may be expecting high growth rates or have confidence in the company's asset value.


Revenue growth remains a strong point for ACV Auctions, with a significant increase of 21.57% over the last twelve months as of Q2 2024. This is further supported by a quarterly revenue growth of 29.31% in Q2 2024, indicating a robust upward trajectory. The InvestingPro Tips also highlight that analysts anticipate sales growth in the current year, which aligns with the company's recent revenue trends.


For those interested in further insights, there are additional InvestingPro Tips available for ACV Auctions Inc., which can provide a deeper understanding of the company's financial health and market standing. These tips include information on the company's balance sheet, such as holding more cash than debt, and the fact that liquid assets exceed short-term obligations. With 4 analysts having revised their earnings upwards for the upcoming period, investors may find value in exploring these additional tips on InvestingPro.


As ACV Auctions continues to navigate the market, these insights can be instrumental for investors considering the implications of insider transactions and the overall potential of the company. The full list of InvestingPro Tips and detailed metrics can be accessed for ACV Auctions Inc. at https://www.investing.com/pro/ACVA.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Source: Investing.com