In a recent transaction, John Aballi, President and CEO of Exagen Inc . (NASDAQ:XGN), purchased 24,305 shares of the company's common stock. The shares were acquired at a weighted average price of $2.81 per share, amounting to a total purchase value of $68,297. Following this transaction, Aballi's direct ownership in Exagen stands at 689,799 shares. This purchase reflects Aballi's continued investment in the company, as he maintains both director and officer roles within Exagen.
"In other recent news, Exagen Inc. has reported its third quarter financial results for 2024, highlighting a significant growth and strategic progress. The company's total revenue reached $12.5 million for the quarter, despite a one-time adjustment of $1.2 million. The year-to-date revenue rose to $42 million, marking an 8% increase from the previous year, largely due to a 45% surge in average selling price. The adjusted EBITDA loss showed a substantial improvement, with a more than 70% reduction compared to the same period in 2023.
In addition, Exagen Inc. unveiled new biomarkers intended to enhance autoimmune testing, particularly for Systemic Lupus Erythematosus (SLE) and rheumatoid arthritis (RA). The new biomarkers are expected to provide greater diagnostic clarity for these conditions, enhancing the company's AVISE CTD test platform. The availability of these enhancements is pending conditional approval by the New York State Department of Health.
These recent developments are part of Exagen's strategic growth plan and its path to profitability. The company ended the quarter with $22 million in cash and cash equivalents and projects full-year 2024 revenue to fall between $55 million and $56 million. Despite challenges such as a decrease in the gross margin for Q3 and the impact of hurricanes on operations, the company is optimistic about achieving cash flow positivity by the end of 2025."
InvestingPro Insights
John Aballi's recent purchase of Exagen Inc. (NASDAQ:XGN) shares aligns with several positive indicators highlighted by InvestingPro. The company has seen a significant price uptick over the last six months, with InvestingPro data showing a 59.57% price total return over this period. This trend is further supported by the stock's impressive 90.86% one-year price total return, suggesting strong market confidence in Exagen's potential.
An InvestingPro Tip notes that Exagen operates with a moderate level of debt, which could be seen as a positive factor in the current economic climate. Additionally, the company's liquid assets exceed short-term obligations, indicating a solid financial position that may have influenced Aballi's decision to increase his stake.
Despite these positive signals, it's worth noting that Exagen is not currently profitable, with a negative operating income of $15.4 million in the last twelve months. However, the company has shown revenue growth of 8% over the same period, reaching $55.75 million.
For investors seeking a more comprehensive analysis, InvestingPro offers 7 additional tips for Exagen Inc., providing deeper insights into the company's financial health and market position.
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