ENGLEWOOD, Colo.—Paul D. Bloom, Chief Commercial Officer and Chief Information Officer at Gevo , Inc. (NASDAQ:GEVO), recently sold 16,000 shares of the company's common stock. The shares were sold at a weighted average price of $3.0608, totaling approximately $48,972. This transaction was executed under a pre-set 10b5-1 trading plan, which Bloom adopted on March 25, 2024.
Following the sale, Bloom holds 947,882 shares directly. Additionally, he has an indirect interest in 20,104.30 shares through his 401(k) plan, after disposing of 15 shares to cover administrative fees between August 6 and October 21, 2024.
In other recent news, Gevo, Inc. has secured significant financial backing from the U.S. Department of Energy's (DoE) Loan Programs Office for its ambitious Net-Zero 1 project. The conditional commitment is for a loan guarantee of up to $1.63 billion, which includes $1.46 billion plus capitalized interest. This project in Lake Preston, South Dakota, aims to produce sustainable aviation fuel, protein and animal feed, and corn oil. H.C. Wainwright has maintained a positive stance on Gevo, reiterating a Buy rating for the company's stock.
The loan guarantee from the DoE is expected to play a crucial role in the development of the NZ1 facility, which aligns with the increasing demand for sustainable fuel options. Gevo also recently acquired Cultivate Agricultural Intelligence for $6 million, aimed at enhancing its subsidiary, Verity. This acquisition is expected to generate $1.7 million in revenue for 2024.
These are recent developments in the ongoing efforts of Gevo to establish itself as a leader in the field of renewable energy and sustainable products. The company's focus on producing environmentally friendly fuels and products is part of a larger industry trend towards sustainability and reducing carbon emissions. These advancements underscore Gevo's commitment to these goals.
InvestingPro Insights
As Paul D. Bloom's recent stock sale unfolds, Gevo, Inc. (NASDAQ:GEVO) presents an intriguing financial picture. According to InvestingPro data, the company's market capitalization stands at $766.53 million, reflecting significant investor interest. This interest is further evidenced by the stock's remarkable performance, with a 404.84% price total return over the past three months and a 371.81% return over six months.
InvestingPro Tips highlight that Gevo holds more cash than debt on its balance sheet, indicating a strong financial position. This liquidity strength is crucial for a company in the renewable fuels sector, where capital-intensive projects are common. Additionally, the stock is trading near its 52-week high, with the current price at 97.34% of that peak, suggesting robust market confidence in Gevo's prospects.
However, investors should note that Gevo is not currently profitable, with a negative gross profit margin of -105.98% for the last twelve months as of Q2 2024. This aligns with another InvestingPro Tip indicating that analysts do not anticipate the company to be profitable this year.
For those interested in a deeper analysis, InvestingPro offers 13 additional tips on Gevo, providing a more comprehensive view of the company's financial health and market position.
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