Sezzle Inc. (NYSE:SEZL) Executive Director and President, Paul Paradis, has sold a total of 1,645 shares of the company's common stock on July 12, 2024, for a weighted average price of $84.43 per share. The transactions took place in multiple sales with prices ranging from $81.19 to $87.89, resulting in a total value of approximately $138,882.
The recent filing with the Securities and Exchange Commission shows that after these transactions, Paradis still holds 192,852 shares of Sezzle Inc., indicating a significant remaining stake in the company. This move by a key executive at Sezzle Inc. may capture the attention of investors, as insider transactions are often closely monitored for insights into a company's performance and the confidence level of its leaders.
Sezzle, a company specializing in business services, is incorporated in Delaware and has its business address in Minneapolis, Minnesota. As per the filing, the exact details of the number of shares sold at each price point can be provided upon request.
As of now, the rationale behind Paradis's decision to sell shares has not been disclosed, and it remains unclear how this may impact the company's stock performance in the future. Shareholders and potential investors often look to such insider trades to gauge market sentiment and future prospects of the company.
The transactions were carried out legally, with all necessary documentation filed with the SEC, and were signed off by Brady Duane Kafka, acting as Attorney-in-Fact.
In other recent news, Sezzle, a buy-now-pay-later service provider, has been rated as a Buy by B. Riley due to its robust growth potential. The analyst firm highlighted Sezzle's transition into profitability and its promising growth trajectory within the rapidly expanding buy-now-pay-later sector. Sezzle has been lauded for its high growth and profitability, offering 0% APR point-of-sale financing that benefits both retailers and customers.
The company's financial performance has been strong, achieving net income profitability for the full year of 2023 and maintaining this profitability into the first quarter of 2024. B. Riley's price target of $113.00 is based on a 16 times multiple on the firm's 2025 earnings per share estimate.
The firm anticipates Sezzle to continue its expansion by adding more retail partners, growing its consumer subscription services, and potentially partnering with a fintech bank to offer additional banking services. B. Riley believes that Sezzle is well-positioned to capitalize on the expected 20% compound annual growth rate of the buy-now-pay-later industry over the next decade. These are the latest developments for the company.
InvestingPro Insights
Following the news of Sezzle Inc. (NYSE:SEZL) Executive Director and President Paul Paradis's recent stock sale, current and prospective investors may seek additional data points to better understand the company's financial health and market position. Here are some curated insights from InvestingPro that shed light on Sezzle's financial metrics and market performance.
InvestingPro data reveals that Sezzle has a market capitalization of $495.58 million, which provides a sense of the company's size in the competitive business services sector. Despite the insider sale, investors might be encouraged by the company's strong revenue growth, which stands at 29.45% for the last twelve months as of Q1 2024. This is further bolstered by an even higher quarterly revenue growth rate of 35.49% for Q1 2024, reflecting a robust upward trajectory for the company's earnings.
Additionally, Sezzle's price-to-earnings (P/E) ratio is currently at 35.46, which might appear high; however, when adjusted for the last twelve months as of Q1 2024, the P/E ratio becomes more favorable at 13.34. This suggests that the stock could be trading at a reasonable price relative to near-term earnings growth, a point underscored by one of the InvestingPro Tips that highlights Sezzle as trading at a low P/E ratio relative to its expected earnings growth.
Investors may also take note of the company's stock performance, with a significant six-month price total return of 379.63%, indicating a substantial appreciation in stock value over that period. This aligns with another InvestingPro Tip that points out Sezzle's strong return over the last three months, which could signal investor confidence in the company's growth prospects.
For those interested in further analysis and additional InvestingPro Tips, they can find more at https://www.investing.com/pro/SEZL, which includes 11 tips in total. To access these insights, readers can use the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription, offering a comprehensive view of Sezzle's financial landscape and investment potential.
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