In a recent transaction, Xiao Yan, a significant shareholder of Cheetah Net Supply Chain Service Inc. (NASDAQ:CTNT), sold a total of 1,500,000 shares of the company's Class A Common Stock, resulting in proceeds of approximately $4.37 million. The shares were sold on May 21, 2024, at a weighted average price of $2.91, with individual transactions occurring at prices ranging from $2.10 to $3.85.
The sale has left Xiao Yan with zero ownership in the company's Class A Common Stock following the transaction, indicating a complete divestment from the mentioned stock category. The reported average price provides a general insight into the value Xiao Yan received for the shares, although the exact number of shares sold at each price within the range was not disclosed in the filing.
Investors and followers of Cheetah Net Supply Chain Service Inc. may consider this transaction noteworthy as it involves a substantial number of shares and a significant total value. The company, which operates within the wholesale motor vehicles and motor vehicle parts and supplies industry, is incorporated in North Carolina and has its business address in Charlotte.
The details of the sale were outlined in a Form 4 filing with the U.S. Securities and Exchange Commission, which included a footnote commitment from Xiao Yan to provide full information regarding the number of shares sold at each separate price within the range upon request.
As of now, the reasons behind Xiao Yan's sale and its implications for Cheetah Net Supply Chain Service Inc. remain speculative, with the transaction simply reflecting a change in the executive's stake in the company.
InvestingPro Insights
The recent sale of Cheetah Net Supply Chain Service Inc. (NASDAQ:CTNT) shares by significant shareholder Xiao Yan coincides with a challenging period for the company, as reflected in key metrics and market sentiment. According to InvestingPro data, CTNT has a market capitalization of $32.72 million and has experienced a sharp decline in revenue growth over the last twelve months as of Q1 2024, with a decrease of 43.65%. Additionally, the company's stock has suffered from weak gross profit margins, reporting a gross profit margin of just 10.57% in the same period.
InvestingPro Tips reveal that analysts are anticipating a sales decline in the current year for CTNT, which may have influenced market performance and possibly Xiao Yan's decision to divest. The company's stock also generally trades with high price volatility, an important consideration for investors. Notably, CTNT's stock price has fallen significantly over the last year, with a one-year price total return of -85.36%.
For investors looking for a deeper analysis and more InvestingPro Tips on CTNT, they can explore additional insights on InvestingPro, which lists 13 more tips for a comprehensive understanding of the company's financial health and market position. Moreover, users can take advantage of an exclusive offer using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, enhancing their investment strategy with real-time data and expert analysis.
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