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Beachbody appoints interim CFO, grants stock award

EditorNatashya Angelica
Published 08/09/2024, 10:19 AM
BODI
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The Beachbody Company, Inc. (NYSE:BODI), a nonstore retailer, has announced the appointment of Brad Ramberg as the Interim Chief Financial Officer, effective August 15, 2024. The company disclosed this information in a recent filing with the Securities and Exchange Commission.

Along with Ramberg's appointment, Beachbody's Compensation Committee approved a grant of restricted stock units (RSUs) valued at $100,000 under the company's 2021 Incentive Award Plan. The exact number of shares included in the RSU Award will be determined by the closing price of Beachbody's Class A common stock on the grant date.

The RSUs are set to fully vest on August 15, 2025, provided Ramberg remains employed with the company until that date. The announcement comes as Beachbody continues to navigate the competitive retail landscape.

Beachbody, headquartered in El Segundo, California, operates under the retail-nonstore retailers category and is incorporated in Delaware. The company has been publicly traded since its name change from Forest Road Acquisition Corp. on October 1, 2020.

The terms of Ramberg's compensation package, including the RSU Award, reflect the company's commitment to aligning executive incentives with shareholder interests. The vesting condition underscores the importance of executive retention in the company's strategy.

This announcement is based on a press release statement and provides a factual account of the company's executive changes and compensation arrangements without speculation on the broader industry impacts or trends.

In other recent news, Beachbody Company has been under the analytical lens of Canaccord Genuity. The firm initiated coverage on Beachbody with a Buy rating and a price target of $13.00. Canaccord Genuity highlights Beachbody's transformation from a direct marketing entity to a contemporary health and wellness company. The firm noted that, like many digital health and wellness businesses, Beachbody experienced a business boom during the pandemic.

Currently, Beachbody is pivoting towards a phase of profitable growth, and the management is implementing significant cost reductions. The company reported positive adjusted EBITDA for two consecutive quarters and is projected to reach a much lower breakeven point in FY24, estimated to be $400 million less than in FY21.

Canaccord Genuity's valuation of Beachbody at approximately 0.1 times its FY25 enterprise value to sales ratio is significantly lower compared to its peers, which average 1.7 times. This suggests that as Beachbody continues its strategic initiatives, the company's stock presents an appealing risk-reward profile. These are among the most recent developments for Beachbody.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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