PodcastOne, Inc. (NASDAQ:PODC) director D. Jonathan Merriman has increased his stake in the company, according to a recent filing with the Securities and Exchange Commission. On June 3, Merriman purchased a total of 48,839 shares of PodcastOne's common stock, valued at approximately $93,640.
The transactions were made in two separate purchases, with prices ranging from $1.80 to $2.05 per share. The first purchase involved 28,839 shares at a weighted average price of $1.86, with individual prices varying between $1.80 and $1.95. The second acquisition comprised 20,000 shares bought at a weighted average of $2.00, with the price of these shares ranging from $1.95 to $2.05.
Following these transactions, Merriman now directly owns 28,839 shares of the company. Additionally, he has an indirect interest in 163,079 shares held by the D. Jonathan and Odile Merriman Family Trust, over which he has shared voting and dispositive power. Merriman has clarified that while he is a trustee of the Trust, he disclaims beneficial ownership of these indirectly held shares, except to the extent of his pecuniary interest.
These purchases show a positive sign of confidence from the director in the future of PodcastOne, a company specializing in computer programming, data processing, and other related services within the technology sector.
Investors typically monitor insider buying as it can be indicative of executives' confidence in the company's prospects. The recent acquisition by Merriman might thus be seen as a reinforcing signal for the stock. However, it is important for investors to consider a wide range of factors when evaluating the implications of insider transactions for their investment decisions.
In other recent news, PodcastOne, a subsidiary of LiveOne, has made significant strides in its board expansion and financial performance. The podcast platform recently welcomed Jon Merriman, a finance veteran, and Carolyn Blackwood, former COO of Warner Bros, to its Board of Directors. These additions are expected to contribute to PodcastOne's strategic initiatives and content creation, respectively.
In terms of financial performance, PodcastOne anticipates robust growth with revenue expected to reach between $50M and $55M for the fiscal year ending March 31, 2025. The company reported $43.3M in revenue for the year ending March 31, 2024, marking a 25% increase from the previous year. PodcastOne has also entered a significant business-to-business partnership with a Fortune 250 company, expected to contribute over $20M in annual revenues.
These are recent developments for PodcastOne, which is intensifying efforts to scale business operations and enhance visibility within financial and investment communities. The company continues to generate over 350 hours of content weekly, attracting more than 10 million unique monthly listeners. PodcastOne's growth trajectory includes acquiring successful podcasts, developing new content, maximizing operational efficiencies, and exploring additional revenue streams.
InvestingPro Insights
PodcastOne, Inc. (NASDAQ:PODC) has recently seen significant insider buying activity from director D. Jonathan Merriman, indicating a strong vote of confidence in the company's prospects. To provide investors with a broader financial context, here are some key metrics and insights from InvestingPro:
InvestingPro Data:
- Market Cap (Adjusted): 41.09M USD
- Revenue Growth (Quarterly) for Q1 2023: 32.39%
- Price, Previous Close: 1.77 USD
InvestingPro Tips suggest that while PodcastOne holds more cash than debt on its balance sheet and has a high shareholder yield, the company faces challenges with weak gross profit margins and is not expected to be profitable this year. Additionally, the company's liquid assets exceed short-term obligations, but it has not been profitable over the last twelve months and does not pay a dividend to shareholders.
The insider buying could be a strategic move considering PodcastOne's price has fallen significantly over the last year, with a 1 Year Price Total Return as of Q1 2023 at -54.9%. This suggests that insiders like Merriman may see the current valuation as an attractive entry point.
For investors looking for a more in-depth analysis of PodcastOne, there are additional InvestingPro Tips available at https://www.investing.com/pro/PODC. These can provide further insight into the company's financial health and future prospects. Remember to use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. With the additional tips listed on InvestingPro, investors can make more informed decisions based on comprehensive data and expert analysis.
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