Altair Engineering Inc. (NASDAQ:ALTR) Chief Executive Officer James Ralph Scapa has recently engaged in significant stock transactions, according to the latest SEC filings. The CEO sold a total of $1,211,138 worth of Class A Common Stock at prices ranging from $92.7135 to $94.185.
The transactions took place on June 10, 2024, and involved multiple sales at varying prices. Specifically, the shares were sold in several transactions at prices from $91.99 to $92.97, $93.00 to $93.94, and $94.17 to $94.20 per share, for different batches of shares. The weighted average prices reported for these sales were $92.7135, $93.2760, and $94.185, respectively.
In total, Scapa disposed of 6,500 shares at the weighted average price of $92.7135 and another 6,500 shares at $93.2760. Additionally, 200 shares were sold at a weighted average price of $94.185. These sales were conducted under a plan that complies with Rule 10b5-1 of the Exchange Act, which allows insiders to set up a predetermined plan to sell company stocks at a time when they are not in possession of material non-public information.
On the same day, the CEO also acquired 13,000 shares of Class A Common Stock at no cost, which were held indirectly through trusts and an LLC for which Scapa serves as trustee and manager, respectively. It is important to note that Scapa disclaims beneficial ownership of these securities except to the extent of his pecuniary interest therein.
Investors and followers of Altair Engineering Inc. may find this information relevant as insider transactions can provide insights into executives' perspectives on the company's current valuation and future prospects.
In other recent news, Altair Engineering Inc. posted impressive Q1 results for 2024, outperforming its own projections. The company reported a total revenue of $172.9 million, with software revenue contributing $158.4 million, indicating a 6.9% year-over-year increase on a constant currency basis. Adjusted EBITDA was reported at $45.8 million. Altair also ended the quarter with a substantial cash reserve of $557.6 million.
Despite Q2 results falling slightly below expectations due to currency impact and seasonality, Altair's strategic acquisitions and the anticipated launch of Altair SimSolid for electronics are indicative of a continued emphasis on expansion and innovation. The company's recent recognition as the 2024 Google (NASDAQ:GOOGL) Cloud North America Partner of the Year for Diversity, Equity, and Inclusion further underscores its ongoing efforts.
Analysts note that Altair's strong software revenue growth and adjusted EBITDA are expected to continue for Q2 and the full year of 2024. The company's expansion into new verticals and focus on executive engagement, coupled with strategic acquisitions and product launches, particularly in the aerospace and defense sectors, are seen as positive indicators for future growth. These are among the recent developments for Altair.
InvestingPro Insights
As Altair Engineering Inc. (NASDAQ:ALTR) navigates through its financial year, the company's performance metrics provide a deeper look into its market position and future potential. With a market capitalization of $7.83 billion, Altair stands as a significant player in its industry. The company's P/E ratio, albeit high at 796.61, has seen a slight adjustment in the last twelve months as of Q1 2024, coming down to 742.32, which may indicate a shift in earnings or market sentiment.
Investors considering Altair's stock should note the company's steady revenue growth, with a 7.11% increase in the last twelve months as of Q1 2024, and a more modest quarterly growth of 4.14% in Q1 2024. Moreover, the company's gross profit margin remains robust at 80.64%, reflecting its ability to maintain profitability. With an impressive EBITDA growth of 259.85% in the same period, Altair demonstrates its operational efficiency and potential for scalability.
For those looking at investment timing, Altair's recent price performance shows a bullish trend, with a 6.68% one-week total return and a 23.58% return over the past year as of day 163 of 2024. This could suggest a favorable short-term investment opportunity, particularly as the stock is trading at 97.4% of its 52-week high.
InvestingPro Tips for Altair include a focus on the company's solid gross profit margin and substantial EBITDA growth, which are indicative of its operational strength. Additionally, with 20 more InvestingPro Tips available, investors can gain further insights to make informed decisions. Use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription and explore these valuable tips.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.