Charlie Bass, a director and significant shareholder of Socket Mobile, Inc. (NASDAQ:SCKT), recently acquired additional shares of the company's common stock. According to a recent filing, Bass purchased a total of 10,000 shares in two separate transactions on November 15 and November 18. The shares were bought at prices ranging from $1.3093 to $1.3605 per share, amounting to a total investment of $13,349. Following these transactions, Bass now holds 1,551,651 shares directly. This move underscores Bass's continued confidence in Socket Mobile, a Fremont, California-based company specializing in electronic computing solutions.
In other recent news, Socket Mobile, Inc. reported its third-quarter financial results for 2024, revealing a mixed performance. The company saw a 21% increase in revenue to $3.9 million year-over-year, despite an operating loss of $1 million and a negative EBITDA of approximately $500,000. The quarter was characterized by uneven bookings, resulting in a significant backlog entering the fourth quarter.
Socket Mobile's industrial products received positive feedback and are currently under evaluation by large organizations. The company has also raised $1 million from insiders to ensure working capital for larger customer projects.
In terms of future expectations, Socket Mobile anticipates profitability in 2025 due to investments in industrial and camera spaces. The company is transitioning into a more comprehensive hardware and software data capture entity, with new products and strategic initiatives expected to diversify and stabilize its revenue sources. Despite the challenges faced in the third quarter, Socket Mobile remains confident in its path to profitability and its ability to navigate market challenges.
InvestingPro Insights
Charlie Bass's recent purchase of Socket Mobile (NASDAQ:SCKT) shares aligns with several intriguing metrics revealed by InvestingPro. The company's stock has shown remarkable momentum, with InvestingPro data indicating a 42.11% price return over the last three months and a 16.17% return in the past month. This recent performance suggests growing investor interest, potentially influenced by insiders like Bass who are increasing their stakes.
Despite the positive price action, Socket Mobile is currently trading at a low Price / Book multiple of 0.57, according to InvestingPro data. This valuation metric could indicate that the stock is undervalued relative to its book value, possibly explaining Bass's decision to acquire more shares.
InvestingPro Tips highlight that Socket Mobile is not profitable over the last twelve months, with a negative P/E ratio of -7.5. However, the company's revenue growth of 20.79% in the most recent quarter suggests potential for future improvement. These contrasting indicators provide context for Bass's investment decision and may interest readers seeking a deeper understanding of the company's financial position.
For investors looking to delve further into Socket Mobile's prospects, InvestingPro offers additional insights with 6 more tips available, providing a comprehensive view of the company's financial health and market position.
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