In a recent transaction, Timothy Saxe, Senior Vice President and Chief Technology Officer of QuickLogic Corp (NASDAQ:QUIK), sold shares of the company's stock. The transaction involved the sale of 10,000 shares at an average price of $8.4384 per share, totaling approximately $84,384.
The sale was conducted under a prearranged 10b5-1 trading plan, which allows company insiders to set up a trading schedule in advance to avoid accusations of trading on nonpublic information. The shares were sold on August 19, 2024, and the prices ranged from $8.335 to $8.74 per share.
Following the transaction, Saxe still owns a total of 104,934 shares of QuickLogic stock, indicating continued investment in the company. The sale was disclosed in a legal filing with the Securities and Exchange Commission, which included full information about the number of shares sold at each price point.
Investors often monitor insider sales as they may provide insights into an executive's view of the company's current valuation and future prospects. However, it's important to note that insider transactions can be motivated by a variety of factors and may not necessarily signal changes in company performance or outlook.
In other recent news, QuickLogic Corporation reported its Q2 fiscal 2024 earnings, noting a 41% year-over-year increase in revenue, despite a 31% sequential decline from Q1. The company has revised its full-year growth forecast to 15%, attributing this to scheduling push-outs rather than losing contracts. QuickLogic anticipates a sharp revenue rebound in Q4 and further growth thereafter. The company is also expanding its FPGA Chiplet product line and has announced significant partnerships and distribution agreements.
QuickLogic's subsidiary, SensiML, is projected to achieve record revenue in 2024 with its new Open-Source strategy. The company plans to be cash-flow positive with double-digit earnings for fiscal 2024, and expects to further accelerate growth and profitability in late 2025. A four-year compound annual growth rate (CAGR) of 30% indicates QuickLogic's long-term potential.
QuickLogic's strategic partnerships with companies such as Intel (NASDAQ:INTC) Foundry, BAE Systems (LON:BAES), CTG, Spur Microwave, and Astute Electronics, along with distribution agreements, are expected to strengthen its market position. The company's collaboration with YorChip on the development of an FPGA Chiplet, expected to release in the second half of 2025, and proposals worth over $40 million, signal potential future growth. These are some of the recent developments in QuickLogic Corporation.
InvestingPro Insights
In light of the recent insider transaction at QuickLogic Corp (NASDAQ:QUIK), it's pertinent for investors to consider additional metrics and insights that could inform their understanding of the company's current situation and future prospects. According to InvestingPro data, QuickLogic has a market capitalization of $125.56 million and is trading at a P/E ratio of 67.97, with a slight adjustment in the last twelve months as of Q2 2024 to 70.47. This valuation comes amidst a significant revenue growth of 66.32% over the same period, highlighting the company's expanding financials.
Despite the robust revenue increase, the stock has experienced a notable decline in recent times, with a 1-month price total return of -23.82% and a 3-month return of -26.88%. This volatility is reflected in one of the InvestingPro Tips, which points out that QuickLogic's stock price movements have been quite volatile. Additionally, the company is trading at a high EBITDA valuation multiple, which could suggest that the market is pricing in optimistic growth expectations.
Another InvestingPro Tip that investors may find useful is that the company is expected to be profitable this year, a sentiment echoed by analysts predicting QuickLogic's profitability. With the stock having taken a substantial hit over the last six months, down by 32.22%, the company's anticipated return to profitability might provide a silver lining for potential investors.
For those seeking more comprehensive analysis, InvestingPro offers additional tips on QuickLogic, with a total of 14 tips available that delve deeper into the company's financial health and stock performance. For further insights, investors can visit https://www.investing.com/pro/QUIK.
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