In a recent transaction, Sheena Jonathan, co-founder of Natera, Inc. (NASDAQ:), a leader in personalized genetic testing and diagnostics, sold a significant portion of the company’s stock. The sales, which occurred on September 18, 2024, totaled more than $2.8 million.
The transactions involve the sale of multiple blocks of shares at different prices. Prices per share for these transactions ranged from $127.3779 to $128.0748. In detail, the sales were made in multiple transactions, selling shares at different prices within the given range. The total number of shares sold by Jonathan was not disclosed in one block, but took place through several transactions as part of pre-arranged trading plans.
These trading plans, known as Rule 10b5-1 plans, were adopted by Jonathan on different dates, with some plans established as early as March 13, 2023 and others as early as December 12, 2023. Rule 10b5-1 plans allow company insiders to trading plans to sell shares at predetermined times to avoid accusations of insider trading.
It is notable that some of the shares sold were indirectly held by trusts, namely the Caraluna 1 Trust and Caraluna 2 Trust, for the benefit of Jonathan’s minor children. Jonathan has disclaimed beneficial ownership of these securities and indicated that they are held for the benefit of the children.
The sale represents a significant divestiture by the co-founder, but Sheena Jonathan’s remaining interests in Natera, Inc. are still significant. Following the sale, the exact number of shares Jonathan will retain directly or indirectly through trusts is detailed in the SEC filing, but not in this summary.
Investors often keep an eye on insider transactions because they can provide insight into an insider’s perspective on the company’s current valuation and future prospects. However, such sales may also be part of the standard financial planning and diversification strategies of company insiders.
Natera, Inc. remains a major player in the medical laboratory industry, providing innovative genetic testing solutions. The company’s corporate address is in Austin, Texas, and operates under the legal jurisdiction of Delaware.
In other recent news: Natera Inc . is in the spotlight due to a number of important developments. The company reported a 12% sequential revenue increase from the first quarter and a 58% increase year over year, prompting it to raise its full-year revenue guidance to about $1.5 billion. Gross margin expectations are 55%, accompanied by record test volumes and an increase in average selling prices.
Analysts from Piper Sandler, TD Cowen and Canaccord Genuity have maintained positive ratings on Natera stock, highlighting the potential impact of the new Galaxy study results and anticipation of the presentation at the European Society for Medical Oncology (ESMO). They have highlighted Natera’s significant lead in the market due to its pioneering advantages, especially with the cancer test Signatera.
In other developments, Natera’s Renasight test received approval from the National Kidney Foundation for testing for chronic kidney disease. Despite a delay in ALTAIR trial submission and failure to renew its partnership with Foundation Medicine, the company expects steady sequential growth in volumes and revenue with an expected 40% revenue growth compared to 2023. These are some of the recent highlights of Natera’s journey.
InvestingPro Insights
Following the recent insider transactions by Sheena Jonathan, co-founder of Natera, Inc. (NASDAQ:NTRA), investors are keeping a close eye on the company’s financial health and stock performance. According to data from InvestingPro, Natera boasts a robust market capitalization of $15.75 billion, reflecting significant investor confidence in the company’s market position and future growth potential.
Despite not being profitable over the last twelve months, Natera has shown impressive revenue growth, with the latest figures showing an increase of 46.13% over the last twelve months from Q2 2024. This growth trajectory is further highlighted by the company’s quarterly sales growth of 58.13%. % in Q2 2024, indicating strong continued business momentum.
A Tip from InvestingPro highlights that analysts have upgraded their earnings expectations for the period ahead, which could indicate opportunities for continued revenue growth or operational improvements. Moreover, Natera shares have delivered strong returns over the past three months, with a total price return of 19.3% and a notable return of 170.21% over the past year, demonstrating its robust performance in the stock market.
For investors looking for more in-depth analysis, additional InvestingPro Tips are available, including insights into Natera’s liquidity, debt levels and trading multiples. Currently, there are 9 more tips listed on InvestingPro that can help investors make more informed decisions about Natera, Inc. These can be found at: https://www.investing.com/pro/NTRA.
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