LAS VEGAS—Randy L. Taylor, President and CEO of Everi Holdings Inc. (NYSE:EVRI), recently sold 50,000 shares of the company's common stock, according to a filing with the Securities and Exchange Commission. The shares were sold at an average price of $13.44, totaling approximately $672,000.
Following the sale, Taylor retains ownership of 744,822 shares in the company. The transaction involved shares sold from vested Performance Stock Units originally granted in 2018. The shares were sold in multiple transactions at prices ranging from $13.39 to $13.48.
In other recent news, Everi Holdings Inc. has cleared a significant regulatory milestone in its ongoing transaction with International Game Technology PLC (NYSE:IGT) and Apollo Global Management (NYSE:APO), Inc., moving the deal closer to completion. The merger, initially disclosed in 2024, involves the simultaneous acquisition of Everi and IGT’s Gaming & Digital business by a holding company owned by Apollo Global Management.
Everi's stockholders were informed that, upon the transaction's finalization, they will no longer hold an equity interest in the company nor have rights to participate in its future earnings or growth. In a related development, Everi's stock rating was downgraded by Stifel from Buy to Hold following the acquisition announcement.
Analysts from B.Riley maintained a Neutral rating on Everi Holdings, adjusting its EBITDA estimates for 2024 and 2025 to $325.4 million and $346.9 million, respectively, reflecting a cautious stance due to potential delays in product transitions within Everi's games business. Similarly, Raymond (NS:RYMD) James adjusted Everi's stock rating from a 'Strong Buy' to a 'Market Perform' status.
Everi's first-quarter results revealed a decrease in its Games segment but growth in its Fintech cash access services, with adjusted EBITDA falling to $80.3 million. The company anticipates revenue growth and a return to growth in Fintech revenues in the second half of 2024. These are the recent developments for Everi Holdings Inc.
InvestingPro Insights
As Randy L. Taylor's recent stock sale makes waves, Everi Holdings Inc. (NYSE:EVRI) continues to present a mixed financial picture. According to InvestingPro data, the company boasts a market capitalization of $1.16 billion and an impressive gross profit margin of 80.04% for the last twelve months as of Q3 2023. This aligns with one of the InvestingPro Tips highlighting Everi's "impressive gross profit margins."
However, investors should note that Everi's P/E ratio stands at a lofty 87.4, suggesting the stock may be trading at a premium. This is further supported by another InvestingPro Tip indicating that the company is "trading at a high earnings multiple." Despite this, the stock has shown significant momentum, with a remarkable 102.1% price total return over the past six months.
For those seeking a more comprehensive analysis, InvestingPro offers 13 additional tips on Everi Holdings, providing deeper insights into the company's financial health and market position. These tips could be particularly valuable in light of the recent insider selling activity.
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