OAKLAND, CA—Daniel J. Nova, a director at ThredUp Inc. (NASDAQ:TDUP), recently acquired additional shares in the company. According to a filing with the Securities and Exchange Commission, Nova purchased 30,000 shares of ThredUp's Class A common stock on November 25, 2024. The shares were bought at an average price of $1.6651 per share, amounting to a total transaction value of $49,953.
Following this transaction, Nova holds a total of 244,033 shares indirectly and 188,173 shares directly in ThredUp. The indirect shares are managed through entities such as the Daniel J. Nova 2000 Trust and Nova Family Enterprises, as noted in the filing.
In other recent news, ThredUp Inc. has reported strong financial results for the third quarter of 2024, with a Gross Merchandise Value (GMV) increase of 7% year-over-year to $457 million. Despite a decrease in consolidated revenue to $73 million, the company's U.S. gross margin improved to 79.3%. ThredUp is transitioning to a consignment model, which is expected to constitute the mid-90s percentage of revenue by 2025.
The company has also revised its fourth-quarter U.S. revenue outlook upward to between $58 million and $60 million, with full-year projections of $250.8 million to $252.8 million. ThredUp is divesting its European business, with a management buyout targeted by year-end, and shifting its focus to the U.S. market.
Innovative AI features, including enhanced search, Style Chat, and Image Search, are expected to improve customer engagement and drive sales growth. In addition, the company's premium selling service experienced a doubling in demand immediately after launch. These are among the recent developments in the company's operations.
InvestingPro Insights
Daniel J. Nova's recent purchase of ThredUp shares comes at an interesting time for the company. According to InvestingPro data, ThredUp's stock has seen a significant surge in recent weeks, with a 143.05% price return over the past month and an 88.66% return over the last three months. This aligns with the InvestingPro Tip that highlights the company's "strong return over the last month."
Despite these recent gains, ThredUp faces some challenges. The company is not profitable over the last twelve months, with a negative operating income of $60.81 million. However, it's worth noting that ThredUp boasts impressive gross profit margins of 68.14%, which is one of the InvestingPro Tips for the company.
The stock's recent performance may be attracting investor attention, but it's important to consider that ThredUp operates in a volatile market. An InvestingPro Tip indicates that the stock "generally trades with high price volatility," which could explain the significant price movements observed recently.
For investors seeking a more comprehensive analysis, InvestingPro offers 11 additional tips for ThredUp, providing a deeper understanding of the company's financial health and market position.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.