Vericel Corp (NASDAQ:VCEL) President and CEO Dominick Colangelo has sold a total of 35,000 shares of company stock, valued at over $1.5 million, according to recent SEC filings. The transactions took place on April 17 and 18, with share prices ranging from $44.59 to $46.47.
Colangelo's sales were executed through an automatic trading plan, which was established in September of the previous year. The filings also revealed that the CEO acquired the same number of shares at a price of $3.02 per share through the exercise of stock options on the same dates as the sales.
The sale of shares resulted in a total transaction value of $1,593,550 for the common stock, with the acquisition of shares through option exercises totaling $105,700. It's noted that the shares Colangelo now owns include those acquired under the company's 2015 Employee Stock Purchase Plan, which are exempt under specific SEC rules.
The exercised options, which allowed for the purchase of 35,000 shares, were part of a larger grant that provided the right to buy 440,000 shares. These options were scheduled to vest in quarterly installments, contingent upon continued service, with the first vesting date back in 2015. All options will expire in January 2025 if not exercised.
Investors often monitor the buying and selling activities of company insiders for insights into the health and future prospects of the company. Insider transactions are regularly reported and can provide valuable context alongside other market data.
InvestingPro Insights
As Vericel Corp (NASDAQ:VCEL) navigates through a period marked by executive stock transactions, investors are keenly observing the company's financial health and stock performance. According to real-time data from InvestingPro, Vericel Corp holds a market capitalization of $2.11 billion, showcasing its significant presence in the sector.
The company's stock price has experienced notable volatility recently, with a 1-week price total return showing an 8.43% decrease. Despite this short-term dip, the longer-term view appears more optimistic, with a 6-month price total return at an impressive 28.66%, and a year-to-date return at 23.17%. This aligns with the InvestingPro Tip that the stock has seen a large price uptick over the last six months.
InvestingPro Tips also highlight that Vericel's net income is expected to grow this year, and three analysts have revised their earnings upwards for the upcoming period, which could signify a positive outlook for the company's profitability. Additionally, the company's liquid assets exceed its short-term obligations, indicating a strong liquidity position. With a moderate level of debt, Vericel operates with financial stability that could reassure investors concerned about the insider selling activity.
For those looking to delve deeper into Vericel's financial metrics and stock performance, InvestingPro offers a wealth of additional tips, with 12 more available for VCEL. These insights can be accessed with an exclusive offer: use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. The next earnings date is set for May 7, 2024, which will be a significant event for investors to watch closely.
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