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Acclade CEO Rajeev Singh sells $1,271 in stock

Published 2024-11-20, 03:26 p/m
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Rajeev Singh, the Chief Executive Officer of Accolade, Inc. (NASDAQ:ACCD), recently executed a stock sale, according to a filing submitted to the Securities and Exchange Commission. On November 19, Singh sold 380 shares of common stock at an average price of $3.345, amounting to a total transaction value of $1,271. This sale was conducted to cover tax withholding obligations related to the vesting of restricted stock units, as noted in the filing.

In addition to the sale, Singh acquired 933 shares of common stock on November 18 through the conversion of restricted stock units. This transaction, however, did not involve any cash exchange, as it was an automatic conversion of units into common stock.

Following these transactions, Singh directly owns 796,109 shares of Accolade, Inc. Furthermore, Singh holds an indirect interest in 651,619 shares through Avanti Holdings, LLC, where he is a partner with voting and investment power over the securities.

In other recent news, Accolade Inc (NASDAQ:ACCD). has been in the spotlight due to significant financial developments. The healthcare solutions provider has reported strong second-quarter results for 2025, exceeding revenue expectations with a total of $106.4 million and surpassing its adjusted EBITDA guidance. The company has also confirmed its fiscal year 2025 revenue guidance between $460 million to $475 million and projected a positive adjusted EBITDA of $15 million to $20 million.

However, Wells Fargo (NYSE:WFC) has revised the price target for Accolade downwards to $6.00, expressing concerns over the timing of deal closures and their impact on the company's anticipated growth. Despite this, the firm maintains an Equal Weight rating on the stock. Stephens and Canaccord Genuity (TSX:CF) have also adjusted their price targets while maintaining Buy ratings, reflecting a 12% revenue growth for Accolade in fiscal years 2025 and 2026.

Truist Securities and BofA Securities have followed suit, reducing their price targets for Accolade but maintaining Buy ratings. These adjustments occurred in the wake of Accolade's recent earnings call, where the company affirmed its fiscal year 2025 revenue guidance. Despite slower revenue growth anticipated in fiscal year 2026 due to staggered launches, Accolade's management has expressed optimism about a strong pipeline with diversification across employers, health plans, and government segments.

InvestingPro Insights

To provide additional context to Rajeev Singh's recent stock transactions, it's worth examining Accolade's current financial position and market performance. According to InvestingPro data, Accolade's market capitalization stands at $287.52 million, reflecting the company's current valuation in the healthcare technology sector.

The company's revenue for the last twelve months as of Q2 2025 was reported at $441.03 million, with a revenue growth of 16.04% over the same period. This growth indicates that Accolade is expanding its business, which could be a positive sign for investors despite the recent stock sale by the CEO.

However, it's important to note that Accolade is currently not profitable, with an operating income of -$93.68 million for the last twelve months. This aligns with an InvestingPro Tip stating that analysts do not anticipate the company will be profitable this year. The company's price-to-book ratio of 0.68 suggests that the stock might be undervalued relative to its book value, which could be of interest to value investors.

Another InvestingPro Tip highlights that Accolade's stock price movements have been quite volatile. This is evident in the company's six-month price total return of -54.56%, indicating significant downward pressure on the stock price. This volatility and recent price decline provide context for why the CEO's stock transactions, even for tax purposes, might attract attention.

For investors seeking a more comprehensive analysis, InvestingPro offers additional tips and insights. There are 9 more InvestingPro Tips available for Accolade, which could provide a deeper understanding of the company's financial health and market position.

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

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