In a recent transaction, Mark Newcomer, CEO of Paysign, Inc. (NASDAQ:PAYS), sold a significant number of shares in the company. The sale, which took place on August 5, 2024, involved a total of 69,593 shares of common stock, resulting in proceeds exceeding $316,000.
The shares were sold at a weighted average price of $4.5407, with individual transactions occurring at prices that ranged from $4.1801 to $5.0401. This information was disclosed in a footnote, which also stated that the sales were executed to meet tax withholding obligations related to the vesting of restricted stock.
Following the transaction, Newcomer still holds a substantial amount of Paysign shares, with 9,548,886 shares remaining in his possession. The sale represents a notable change in Newcomer's stake in the company, but he maintains a significant ownership interest.
Investors and interested parties have been informed that further details regarding the specific prices of shares sold at different points within the stated range can be provided upon request to Paysign, Inc., any security holder of the company, or the staff of the Securities and Exchange Commission.
As CEO and a key executive of Paysign, Newcomer's transactions are closely watched by the market for indications of executive confidence in the company's future. This sale is part of the normal course of executive compensation and stock ownership management.
Paysign, Inc., headquartered in Henderson, NV, operates within the business services sector, providing a range of payment solutions and services. The company has seen various changes over the years, including a name change from 3PEA International, Inc. in 2010. As of the latest reports, Paysign continues to develop its offerings in the payment processing space.
In other recent news, Paysign Inc. reported a significant surge in its financial performance for the first quarter of 2024, with robust growth in both revenue and adjusted EBITDA. The company's revenue increased by 30% year-over-year to $13.2 million, and its adjusted EBITDA jumped by 135% to $1.7 million. This strong performance was largely driven by a 305% revenue increase in its patient affordability business and an 11% revenue increase in its plasma donor compensation business to $10.4 million.
In addition to these developments, Paysign has been working with over 40 pharmaceutical companies and has secured repeat business from larger manufacturers. The company plans to add 15 to 25 new plasma centers throughout 2024, further expanding its operations. Despite not providing specific numbers for business growth in the current year, Paysign maintains an optimistic outlook for the future and expects to have a full pipeline of potential opportunities throughout the year. The company's recent performance and future plans reflect its commitment to value creation for its shareholders.
InvestingPro Insights
Amidst the recent executive stock transactions at Paysign, Inc. (NASDAQ:PAYS), investors may find the following InvestingPro Insights particularly informative. As of the latest data, Paysign has a market capitalization of approximately $246.56 million. The company's stock has experienced significant volatility, with a Price/Earnings (P/E) ratio standing at 31.58. This is a slight increase from the P/E ratio for the last twelve months as of Q2 2024, which was 32.97, indicating a high earnings multiple compared to historical earnings.
The company has also demonstrated strong revenue growth, with a 26.45% increase over the last twelve months as of Q2 2024. This growth is further highlighted by a quarterly revenue growth rate of 29.8% for Q2 2024. Despite these positive figures, it's important to note that Paysign's net income is expected to drop this year, which could be a point of consideration for investors.
From a performance perspective, Paysign has seen a high return over the past year, with a 147.59% price total return. In the shorter term, the stock has taken a hit over the last week with a -13.13% price total return, but it has had a strong return over the last month with an 18.41% increase. InvestingPro Tips highlight that Paysign does not pay a dividend to shareholders, which may influence investment decisions for those seeking regular income streams.
For investors seeking a deeper dive into Paysign's performance and potential, there are additional InvestingPro Tips available at https://www.investing.com/pro/PAYS. These tips provide further insights into the company's financial health and market position.
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