PodcastOne, Inc.'s (NASDAQ:PODC) Executive Chairman, Robert S. Ellin, has made a significant investment in the company's stock, according to a recent filing with the U.S. Securities and Exchange Commission. The transaction, which took place on September 19, involved the purchase of 9,055 shares of PodcastOne's common stock at a weighted average price of $1.809 per share.
Investors following the company's insider transactions will note that these shares were acquired in multiple transactions with prices ranging from $1.779 to $1.82. The total amount invested by Ellin in this latest transaction comes to $16,380, signaling a vote of confidence in the future of PodcastOne.
Following the purchase, Ellin now holds a total of 108,563 shares directly. Additionally, the SEC filing disclosed that Ellin is deemed to have sole voting and dispositive power over an aggregate of 864,851 shares of common stock, which includes shares owned by entities such as Trinad Capital Master Fund Ltd., Trinad Capital Management, LLC, and JJAT Corp. It's important for investors to be aware that these holdings are considered to be beneficially owned by Ellin due to his positions within these entities.
The recent acquisition by Ellin may interest investors as insider buying can sometimes be a positive indicator for a company's stock performance. It's worth noting that the shares purchased do not include those held by a family trust and family foundation over which Ellin does not exercise voting or dispositive power, as clarified in the footnotes of the SEC filing.
PodcastOne, Inc. continues to be a notable player in the services-computer programming and data processing industry, and this latest move by its Executive Chairman will likely be followed closely by the market and PodcastOne's shareholders.
In other recent news, PodcastOne anticipates a record revenue of $13 million in its preliminary Q1 results, marking a 21% increase from the same period last year. The company also reports a rise to the 11th spot in Podtrac's rankings and an expansion to a 5.5 million unique monthly audience in the U.S. and 17.5 million global downloads and streams. These figures are preliminary and subject to final review by PodcastOne’s independent registered accounting firm, Macias Gini & O'Connell, LLP.
In other developments, PodcastOne has elected all eight nominees to its Board of Directors during its 2024 Annual Meeting of Stockholders. The board members include Robert S. Ellin, James Berk, Jay Krigsman, Craig Foster, Ramin Arani, Patrick Wachsberger, Carolyn Blackwood, and Jon Merriman.
The company projects strong financial performance, with revenues expected to reach between $50M and $55M for the fiscal year ending March 31, 2025. This projection follows a successful fiscal year that concluded on March 31, 2024, with the company reporting $43.3M in revenue and $660K in adjusted EBITDA. Additionally, PodcastOne has entered a significant business-to-business partnership with a Fortune 250 company, expected to contribute over $20M in annual revenues.
InvestingPro Insights
In light of the recent insider transactions by PodcastOne, Inc.'s (NASDAQ:PODC) Executive Chairman, Robert S. Ellin, market observers may gain additional insights by considering some key financial metrics and InvestingPro Tips. As of the last twelve months, PodcastOne has a market capitalization of $43.71 million, which reflects the company's value as perceived by the market. Despite not being profitable over the last twelve months, with a negative P/E ratio of -2.78, the company has shown a robust revenue growth of 25.32% during the same period.
An InvestingPro Tip worth noting is that PodcastOne holds more cash than debt on its balance sheet, which can provide the company with financial flexibility and resilience in challenging market conditions. Additionally, while the company does not currently pay dividends, it has a high shareholder yield, which could be appealing to certain investors looking for capital returns.
Furthermore, the recent purchase by Ellin may also resonate with investors considering the strong return of 23.36% that the company's stock has experienced over the last month. This performance is particularly notable given the 6-month price total return of -20.84%, suggesting a potential turnaround in investor sentiment.
For those interested in a deeper dive into PodcastOne's financial health and future prospects, there are additional InvestingPro Tips available on the platform. The service currently lists 7 more tips that can provide investors with a comprehensive understanding of the company's position and outlook. To explore these further, one can visit the dedicated page for PodcastOne at https://www.investing.com/pro/PODC.
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