In a recent transaction, Alclear Investments II, LLC, a significant shareholder of Clear Secure, Inc. (NYSE:YOU), sold a total of 227,021 shares of Class A Common Stock at an average price of $31.05 per share, resulting in a total sale value of approximately $7.05 million. The sales were executed on September 9, 2024, and were reported in a filing with the Securities and Exchange Commission.
The price range for the shares sold was between $31.00 and $31.30. The reporting person has agreed to provide further details regarding the number of shares sold at each price upon request.
The transactions have brought Alclear Investments II's holdings in Class A Common Stock to zero, following an automatic conversion of Class B Common Stock into Class A Common Stock, as outlined in Clear Secure's Certificate of Incorporation. This conversion was part of the settlement of the sale transaction.
Additionally, Alclear Investments II engaged in an exchange of non-voting common units of Alclear Holdings, LLC, along with an equal number of shares of Class D Common Stock, for Clear Secure's Class B Common Stock on a one-for-one basis. This exchange was made under the terms of an Exchange Agreement dated June 29, 2021. After the exchange, Alclear Investments II held 5,939,423 shares of Class B Common Stock, which carry 20 votes per share and economic rights, including rights to dividends and distributions upon liquidation.
The SEC filing also noted that due to its relationship with Mr. Kenneth Cornick, the sole manager of Alclear Investments II, LLC, and an equityholder, the firm may be deemed to be a director by deputization of Clear Secure, Inc.
Investors and market watchers often keep a close eye on insider transactions as they can provide valuable insights into a company's financial health and the confidence that insiders have in the company's future prospects.
In other recent news, Clear Secure, Inc. announced a key executive departure in a recent SEC filing. Executive Vice President, Verified, Kasra Moshkani is set to leave the company to pursue other opportunities. The company has begun the process to find a suitable replacement. On the financial front, Clear Secure reported a strong fiscal second quarter for 2024, with a 25% increase in revenues and a 137% rise in adjusted EBITDA. The company also added a record 2.3 million members during the quarter, contributing to growth in CLEAR Travel and CLEAR Verified. In addition, the company launched new technology enhancements, an airport innovation campaign, and is optimistic about the growth of TSA PreCheck. These are recent developments that indicate the company's continued focus on innovation and customer experience.
InvestingPro Insights
Clear Secure, Inc. (NYSE:YOU) has recently seen significant insider transaction activity, which often draws the attention of investors seeking to understand the perspectives of those closest to the company. To complement the recent sale by Alclear Investments II, LLC, insights from InvestingPro help paint a broader picture of Clear Secure's financial position and market performance.
An InvestingPro Tip that stands out for Clear Secure is the company's strong cash position, as it holds more cash than debt on its balance sheet. This provides the company with financial flexibility and could be a reassuring factor for investors considering the implications of insider sales.
Moreover, Clear Secure has demonstrated a robust financial performance in the last twelve months as of Q2 2024, with a notable revenue growth of 32.44%. This growth is supported by a substantial increase in EBITDA, which surged by an impressive 199.06% over the same period. These metrics not only reflect the company's efficient operations but also its ability to expand profitably.
The stock has also delivered a strong return over the last year, with a one-year price total return of 52.11%. This performance is further underscored by the stock trading near its 52-week high, at 93.74% of the peak price, indicating investor confidence and a positive market sentiment towards the company.
For those seeking more in-depth analysis, InvestingPro offers additional tips on Clear Secure, including insights on earnings revisions by analysts and valuation multiples. In total, there are 17 more InvestingPro Tips available, which can be accessed for Clear Secure at InvestingPro.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.