Nasdaq Inc. (NASDAQ:NDAQ) executive vice president Bryan Everard Smith reported selling a portion of his company stock, netting more than $465,000. The transactions, which took place on April 1, were disclosed in a filing with the Securities and Exchange Commission.
Smith sold 7,400 shares of Nasdaq's common stock at an average price of $62.91, totaling approximately $465,534. These sales were conducted in multiple transactions, with prices ranging from $62.72 to $63.01. According to the filing, this sale was carried out under a pre-arranged Rule 10b5-1 trading plan, which allows insiders to sell shares at predetermined times to avoid accusations of trading on nonpublic information.
In addition to the sale, the filing showed that Smith surrendered 2,482 shares to cover withholding taxes associated with the vesting of equity, valued at $62.29 per share, resulting in a total transaction value of $154,603. It's a common practice for executives to surrender shares in this manner to satisfy tax obligations.
The same filing also noted the award of 8,026 shares of restricted stock to Smith as part of Nasdaq's Equity Incentive Plan. These shares will vest over a period of time, with one-third becoming available on April 1 of 2026, 2027, and the final portion in 2028. The award of these shares did not have an immediate transaction value since they are subject to vesting.
Following these transactions, Smith's direct holdings in Nasdaq common stock have been adjusted to reflect the new total of shares owned. Investors often keep a close eye on insider transactions as they can provide insights into executives' perspectives on the company's current valuation and future prospects.
InvestingPro Insights
As investors consider the recent insider transactions by Nasdaq Inc. (NASDAQ:NDAQ) executive vice president Bryan Everard Smith, it is essential to look at the broader financial health and performance indicators of the company. According to InvestingPro metrics, Nasdaq currently has a market capitalization of $35.7 billion and a price-to-earnings (P/E) ratio of 29.3, which is slightly adjusted from the last twelve months as of Q4 2023 to 28.95. This relatively high earnings multiple suggests that the stock is trading at a premium compared to its earnings, which is an important consideration for investors.
The company has experienced a price uptick of 30.79% over the last six months, indicating strong recent performance in the market. This aligns with the InvestingPro Tip highlighting a significant price increase in the same period. Moreover, Nasdaq's revenue growth for the last quarter of 2023 was 4.11%, reflecting a positive short-term trajectory.
When it comes to dividends, Nasdaq has a commendable track record, having raised its dividends for 12 consecutive years, which is a testament to its commitment to returning value to shareholders. This is further supported by the company's ability to maintain dividend payments for 13 consecutive years. The dividend yield as of the latest data stands at 1.43%, with a dividend growth of 10.0% over the last twelve months.
For investors seeking more in-depth analysis and additional InvestingPro Tips, there are 9 more tips available on InvestingPro for Nasdaq Inc., which can be accessed at https://www.investing.com/pro/NDAQ. These insights could provide valuable information for making informed investment decisions. Moreover, by using the coupon code PRONEWS24, investors can receive an additional 10% off a yearly or biyearly Pro and Pro+ subscription, offering even more value to those looking to enhance their investment strategy.
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