NEW YORK – Timmie Hong, the Chief Product Officer of MoneyLion Inc. (NYSE:ML), engaged in a series of stock transactions, according to a recent SEC filing. Hong sold shares totaling over $650,000 and made purchases amounting to $31,500 in the company's stock on June 13.
The executive sold a combined total of 5,452 shares of MoneyLion's Class A Common Stock at prices ranging from $85.6975 to $93.05, with the total value of the sales transactions being approximately $654,562. These sales were executed in multiple trades and were part of a pre-arranged trading plan that falls under Rule 10b5-1, which allows company insiders to sell shares at predetermined times and prices to avoid any accusations of insider trading.
On the same day, Hong also acquired 3,750 shares through option exercises, with transaction prices between $6.6 and $12.0, amounting to a total purchase value of $31,500. These transactions involved stock options that were vested in previous years and are set to expire in 2027 and 2029, respectively.
The filing included footnotes indicating that the shares owned following the reported transactions include restricted stock units and performance share units, which represent a contingent right to receive shares of MoneyLion's Class A Common Stock. These acquisitions had been previously reported in the Reporting Person's prior Forms 4.
MoneyLion Inc., based in New York, operates within the finance services industry and has undergone a name change from Fusion Acquisition Corp. as of March 2020. The company's business address and mail address are both listed as 30 West 21st Street, 9th Floor, New York, NY, 10010.
Investors often monitor the buying and selling activities of company executives as indicators of confidence in the company's future prospects. The transactions by Hong, disclosed in the SEC filing, provide a glimpse into the trading behavior of MoneyLion's insiders.
In other recent news, MoneyLion Inc. has reported a record-breaking first quarter for 2024, with a 29% year-over-year increase in quarterly revenue, reaching $121 million. The company also experienced a 98% growth in its customer base, now totaling 15.5 million. The company's adjusted EBITDA also hit a record at $23 million, a 19.4% margin.
In other developments, MoneyLion's shareholders recently elected three Class III directors and ratified the appointment of RSM US LLP as the company's independent registered public accounting firm for the fiscal year ending December 31, 2024. The elected directors are Matt Derella, Annette Nazareth, and Michael Paull.
The company projects continued growth in revenue and adjusted EBITDA for the upcoming quarter, expecting Q2 revenue to be between $125 million and $130 million, and adjusted EBITDA between $17 million and $20 million. Despite market conditions affecting conversion rates in the lending business, MoneyLion remains confident in maintaining a strong EBITDA margin. These are the recent developments regarding MoneyLion Inc.
InvestingPro Insights
As MoneyLion Inc. (NYSE:ML) navigates the financial services landscape, recent insider trading activity has drawn attention to the company's stock. Timmie Hong's transactions come at a time when MoneyLion's market presence is characterized by a few notable financial metrics. The company has a market capitalization of $948.69 million, reflecting its size and investor valuation within the industry. While the company's P/E ratio stands at -31.95, indicating that investors are currently willing to pay a premium despite the company not being profitable over the last twelve months, this is a common occurrence in growth-oriented companies where future earnings are expected to justify the current valuation.
Investors considering MoneyLion's stock should note its high price volatility, as indicated by an InvestingPro Tip. The stock has experienced significant price movements, which may appeal to those with a higher risk tolerance seeking substantial returns. Indeed, MoneyLion's stock has seen a strong return over the last three months, with a price total return of 39.36%, and an even more remarkable return of 666.94% over the past year. This performance suggests a robust upward momentum that could interest growth-focused investors.
Another InvestingPro Tip suggests that MoneyLion is expected to grow its net income this year. This potential profitability, coupled with a revenue growth of 23.6% in the last twelve months as of Q1 2024, signals a positive outlook for the company's financial health. Moreover, the company's liquid assets exceed short-term obligations, providing financial stability and the ability to meet immediate liabilities.
For readers who wish to delve deeper into MoneyLion's financials and gain more insights, InvestingPro offers additional tips that can be accessed at https://www.investing.com/pro/ML. There are more InvestingPro Tips available, and by using the coupon code PRONEWS24, readers can get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, further empowering their investment decisions with comprehensive data and analysis.
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