Investors following Urgent.ly Inc. (NASDAQ:ULY) received an update on the company's insider transactions. Ben Volkow, a director of Urgent.ly, has sold a total of $2,162 worth of company stock, according to a recent SEC filing.
The transactions took place over two consecutive days. On April 30, 2024, Volkow sold 700 shares at a weighted average price of $1.6635. The following day, on May 1, he sold an additional 600 shares at the same average price. Prices for these sales ranged from $1.64 to $1.685 per share. After these transactions, Volkow's holding in the company stood at 535,544 shares of common stock.
The sales were conducted under a pre-arranged Rule 10b5-1 trading plan, which was adopted by Volkow on November 20, 2023. These plans are commonly used by company insiders to sell a predetermined number of shares at a predetermined time to avoid accusations of insider trading.
Investors and analysts often scrutinize insider sales as they can provide insights into an insider's view of the company's current valuation. However, it is also common for insiders to sell shares for personal financial management reasons that are not necessarily indicative of their outlook on the company's future performance.
Urgent.ly, a company categorized under the computer processing and data preparation services industry, has thus seen a notable transaction from one of its directors, which is now on record for shareholders and potential investors to consider.
InvestingPro Insights
Urgent.ly Inc. (NASDAQ:ULY) director Ben Volkow's recent stock sales come at a time when the company's financial metrics and market performance present a mixed picture. As per the latest InvestingPro Data, Urgent.ly has a market capitalization of approximately 22.41 million USD, with a notable P/E ratio of 0.31. However, the adjusted P/E ratio for the last twelve months as of Q4 2023 stands at -2.02, reflecting potential concerns about the company's profitability. Additionally, the company's revenue has experienced a decline, with a -1.57% change over the last twelve months as of Q4 2023 and a more pronounced quarterly revenue growth drop of -13.31% in Q4 2023.
One InvestingPro Tip that stands out is the company's weak gross profit margins, which could be a cause for concern for investors. The gross profit margin for the last twelve months as of Q4 2023 was reported at 20.51%, indicating that Urgent.ly may be facing challenges in maintaining profitability. Moreover, the company's stock has taken a significant hit over the last six months, with a price total return of -58.87%, and the one-year price total return stands at -68.61%, suggesting a period of bearish investor sentiment.
For those considering the long-term prospects of Urgent.ly, it's worth noting that the company is trading at a low revenue valuation multiple and analysts anticipate a sales decline in the current year. Nonetheless, Urgent.ly's liquid assets do exceed its short-term obligations, indicating some degree of financial stability in the immediate future. With these insights, potential investors may wish to delve deeper into the company's financials and market position. For a comprehensive analysis and additional InvestingPro Tips, visit InvestingPro. Users can also take advantage of a special offer using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. There are 11 additional InvestingPro Tips listed for Urgent.ly on InvestingPro, providing a more detailed perspective on the company's financial health and stock performance.
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