Tenable Holdings, Inc. (NASDAQ:TENB) Chief Operating Officer Mark C. Thurmond has recently sold a portion of his company shares, according to a new SEC filing. On May 21, 2024, Thurmond sold 820 shares of Tenable Holdings at a price of $43.55 per share, totaling approximately $35,711.
The transactions were made under a Rule 10b5-1 trading plan, which allows company insiders to set up a predetermined schedule for buying and selling securities to avoid any accusations of insider trading. This plan indicates that the sale was prearranged and not based on any material, non-public information the executive might possess.
In addition to the sale, the filing also reported that on May 22, Thurmond acquired a total of 4,873 shares through the vesting of performance restricted stock units (PRSUs) and restricted stock units (RSUs) at no cost. These acquisitions were part of a structured vesting plan where 25% of the shares vested immediately, with the remainder to vest in equal quarterly installments over the next three years, contingent upon Thurmond's ongoing service with Tenable Holdings.
The vesting of these shares came after the Compensation Committee of Tenable Holdings' Board of Directors certified the achievement of the PRSUs granted on February 23, 2023, with a 93.9% payout based on the company's fiscal year 2023 performance criteria.
Following these transactions, Thurmond's direct ownership in Tenable Holdings stands at 40,843 shares of common stock, reflecting both the sale and the vested shares.
Investors often monitor insider transactions as they can provide insights into executives' confidence in the company's future performance. However, it's important to note that these transactions do not necessarily indicate a change in company outlook or performance and could be part of an executive's personal financial planning strategy.
For more detailed information, investors are encouraged to review the full SEC Form 4 filing.
InvestingPro Insights
Recent market data for Tenable Holdings, Inc. (NASDAQ:TENB) reveals a mixed financial landscape, with the company's gross profit margins standing out as a strong point. According to InvestingPro data, Tenable has a gross profit margin of 77.36% for the last twelve months as of Q1 2024, which underscores the company's ability to manage its cost of goods sold effectively and maintain a healthy difference between revenue and cost of production.
However, the company's profitability remains a concern, with a negative P/E ratio of -74.17, suggesting that Tenable has yet to post a net profit. The adjusted P/E ratio for the same period stands at an even lower -103.61, reinforcing the notion that investors are currently valuing the company's growth prospects rather than current earnings. This aligns with one of the InvestingPro Tips, which indicates that Tenable is not profitable over the last twelve months but is expected to turn a profit this year.
In terms of valuation, Tenable is trading at a high Price / Book multiple of 14.28, suggesting that the market is pricing the company's assets at a premium. This could be seen as a sign of investor confidence in the company's future growth and asset value.
For investors looking to delve deeper into Tenable's financials and future prospects, there are additional InvestingPro Tips available. There are 16 analysts who have revised their earnings estimates downwards for the upcoming period, which could be an essential factor to consider. Moreover, the company does not pay a dividend to shareholders, which might influence investment decisions for those seeking income-generating stocks.
To explore these insights and more, investors can visit https://www.investing.com/pro/TENB for further details. Remember to use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. There are 5 more InvestingPro Tips available that could provide a more comprehensive view of Tenable's financial health and market position.
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