Zevia PBC (NYSE:ZVIA) Director Padraic L. Spence reported selling shares of the company's stock, according to a recent SEC filing. The transaction involved the sale of 26,199 shares of Class A Common Stock at an average price of $1.3209, totaling approximately $34,606.
The shares were sold on March 13, 2024, in multiple transactions at prices ranging from $1.28 to $1.38. The sale was executed to cover tax withholding obligations associated with the settlement of restricted stock units (RSUs), a common practice known as a "sell to cover" transaction. This type of sale is typically mandatory and is not indicative of discretionary trading by the reporting person.
Following the sale, Spence continues to have a substantial stake in the company, with 1,753,540 shares of Class A Common Stock remaining in his possession. This figure includes 801,872 RSUs, which are rights to receive shares upon vesting. The RSUs are scheduled to vest over various periods, with some vesting monthly since January 17, 2022, and others on anniversary dates or upon specific future events.
Investors and the market often monitor insider transactions as they can provide insights into how company executives view the stock's value and future prospects. However, it is important to note that sales to cover tax obligations are planned transactions and may not necessarily reflect an executive's outlook on the company's future performance.
Zevia PBC, known for its line of zero-calorie soft drinks, trades under the ticker symbol ZVIA on the New York Stock Exchange. The company has established itself in the beverage industry with a focus on providing healthier alternatives to traditional sugary sodas.
InvestingPro Insights
As Zevia PBC (NYSE:ZVIA) navigates the challenges of the beverage industry, recent data from InvestingPro provides a snapshot of the company's financial health and market performance. An important metric to consider is Zevia's market capitalization, which currently stands at $86.94 million. Despite the modest size, the company's balance sheet holds more cash than debt, which may offer some financial flexibility in its operations.
InvestingPro Data also reveals that Zevia's Price to Earnings (P/E) ratio is negative, standing at -2.96, reflecting the market's expectations of future earnings and indicating that the company is not currently profitable. This aligns with the InvestingPro Tips, which suggest that analysts do not anticipate Zevia will be profitable this year. Additionally, the stock's Relative Strength Index (RSI) suggests that it is in oversold territory, potentially signaling a buying opportunity for investors looking at technical indicators.
The company's stock has experienced a significant downturn, with a 1-week price total return of -15.6% and a 1-year price total return of -60.86%, trading near its 52-week low. This could be an important consideration for investors trying to gauge market sentiment and the stock's future trajectory.
For those interested in a deeper dive into Zevia's financials and market performance, InvestingPro offers additional insights. There are 14 more InvestingPro Tips available, which could be particularly useful for investors looking to make informed decisions about ZVIA stock. To explore these tips and metrics in detail, visit InvestingPro and don’t forget to use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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