President and CEO Of N-able Makes $1.93M Sale

John Pagliuca, President and CEO at N-able NABL, reported an insider sell on August 14, according to a new SEC filing.

What Happened: According to a Form 4 filing with the U.S. Securities and Exchange Commission on Wednesday, Pagliuca sold 150,956 shares of N-able. The total transaction value is $1,927,708.

Monitoring the market, N-able's shares down by 0.0% at $12.8 during Thursday's morning.

Get to Know N-able Better

N-able Inc is a provider of cloud-based software solutions for managed service providers (MSPs), enabling them to support digital transformation and growth for small and medium-sized enterprises. With a flexible technology platform and powerful integrations, N-able makes it easy for MSPs to monitor, manage, and protect their end-customer systems, data, and networks. The company's growing portfolio of management, security, automation, and data protection solutions is built for IT services management professionals. Geographically, the majority of revenue is from the United States. it also has a presence in the United Kingdom and all other International regions.

Unraveling the Financial Story of N-able

Revenue Growth: N-able's revenue growth over a period of 3 months has been noteworthy. As of 30 June, 2024, the company achieved a revenue growth rate of approximately 12.6%. This indicates a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Information Technology sector.

Key Insights into Profitability Metrics:

• Gross Margin: Achieving a high gross margin of 83.96%, the company performs well in terms of cost management and profitability within its sector.

• Earnings per Share (EPS): N-able's EPS is below the industry average. The company faced challenges with a current EPS of 0.05. This suggests a potential decline in earnings.

Debt Management: With a below-average debt-to-equity ratio of 0.51, N-able adopts a prudent financial strategy, indicating a balanced approach to debt management.

Valuation Metrics: A Closer Look

• Price to Earnings (P/E) Ratio: N-able's P/E ratio of 71.11 is below the industry average, suggesting the stock may be undervalued.

• Price to Sales (P/S) Ratio: With a P/S ratio of 5.34 below industry standards, the stock shows potential undervaluation, making it an appealing investment option for those focusing on sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): The company's EV/EBITDA ratio of 23.74 trails industry averages, indicating a potential disparity in market valuation that could be advantageous for investors.

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

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Why Insider Activity Matters in Finance

Insider transactions contribute to decision-making but should be supplemented by a comprehensive investment analysis.

From a legal standpoint, the term "insider" pertains to any officer, director, or beneficial owner holding more than ten percent of a company's equity securities as outlined in Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and significant hedge funds. These insiders are mandated to inform the public of their transactions through a Form 4 filing, to be submitted within two business days of the transaction.

A company insider's new purchase is a indicator of their positive anticipation for a rise in the stock.

While insider sells may not necessarily reflect a bearish view and can be motivated by various factors.

Deciphering Transaction Codes in Insider Filings

When dissecting transactions, the focal point for investors is often those occurring in the open market, meticulously detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C indicates the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of N-able's Insider Trades.

This article was generated by Benzinga's automated content engine and reviewed by an editor.