CAMBRIDGE, MA—Jayme Mendal, CEO and President of EverQuote , Inc. (NASDAQ:EVER), recently executed a sale of 5,750 shares of Class A Common Stock, amounting to $109,422. The transaction was carried out on November 26, 2024, at a price of $19.03 per share. This sale was conducted under a pre-arranged Rule 10b5-1 trading plan, which Mendal adopted on December 15, 2023. Following this transaction, Mendal holds 395,227 shares directly.
In other recent news, EverQuote has been making waves with its robust Q3 2024 financial results, surpassing previous guidance. The online insurance marketplace reported total revenues of $144.5 million, marking a 163% increase year-over-year. This growth was driven by a significant 200% rise in auto insurance revenue and a 30% increase in home insurance revenue.
Following these results, both Needham and Canaccord Genuity (TSX:CF) maintained their Buy ratings on EverQuote, although Needham lowered its price target to $30 while Canaccord Genuity retained its $35.00 target. The analysts' decisions were influenced by EverQuote's strong Q3 performance, with the Value Margin Metric (VMM) reported at 30.4% of revenue, exceeding both firms' estimates.
Despite the upcoming Federal Communications Commission ( FCC (BME:FCC)) Telephone Consumer Protection Act (TCPA) rule, which is expected to affect around 25% of EverQuote's operations, the company remains optimistic about long-term growth. EverQuote's transition to new technology platforms has improved operational efficiency, supporting this growth despite the regulatory changes. The company has also set Q4 guidance that anticipates over 100% growth, indicating a continued recovery for EverQuote.
InvestingPro Insights
While Jayme Mendal's recent stock sale might raise eyebrows, a closer look at EverQuote's financials through InvestingPro data reveals a more nuanced picture. The company's revenue growth is noteworthy, with a 27.43% increase over the last twelve months as of Q3 2024, reaching $408.44 million. This growth trajectory aligns with an InvestingPro Tip indicating that analysts anticipate sales growth in the current year.
EverQuote's impressive gross profit margin of 94.98% underscores its operational efficiency, which is highlighted as another InvestingPro Tip. This strong margin suggests the company's ability to maintain profitability even as it scales.
Despite the recent insider sale, EverQuote's stock has shown remarkable performance, with a one-year price total return of 121.17% as of the latest data. This substantial return may reflect investor confidence in the company's growth prospects and financial health.
For investors seeking a more comprehensive analysis, InvestingPro offers 13 additional tips for EverQuote, providing deeper insights into the company's financial position and market performance.
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