In a recent series of transactions, Robert I. Kauffman, a director at Hagerty, Inc. (NYSE:HGTY), sold a total of $257,311 worth of company stock. The sales occurred over three separate days, with the prices of shares ranging from $9.92 to $10.06.
The first sale took place on June 6, 2024, where Kauffman sold 8,851 shares at an average price of $9.92. Following this transaction, he executed another sale on June 7, disposing of 5,865 shares at an average price of $9.95. The final sale happened on June 10, with 11,049 shares sold at an average price of $10.06. The transactions were carried out under a Rule 10b5-1 trading plan, which Kauffman had adopted on August 11, 2023.
According to the filings, the shares were held by Aldel LLC, and Kauffman, as the manager, has voting and investment discretion over these securities. However, he disclaims beneficial ownership except to the extent of his pecuniary interest.
Investors following Hagerty's insider activity will note that these sales have adjusted Kauffman's direct holdings in the company to 3,311,115 shares. The reported transactions reflect a consistent selling price range, providing a clear picture of the stock's market performance during the period of these sales.
Hagerty, Inc., headquartered in Traverse City, Michigan, operates in the insurance industry, primarily focusing on insurance agents, brokers, and service-related activities. The company's stock trades under the ticker HGTY on the New York Stock Exchange.
In other recent news, Hagerty reported strong Q1 results, showcasing substantial growth in both commission and marketplace revenue. The insurance company for collectible vehicles saw a 19% rise in commission revenue, driven by an increase in written premiums and robust underwriting results. Its marketplace revenue also witnessed a notable surge of 58%, thanks to more listings and higher auction sales.
Furthermore, Hagerty's operating margins improved significantly, with net income and adjusted EBITDA also seeing a considerable uptick. The firm reaffirmed its revenue growth outlook for 2024, which ranges between 15-17%, and a net income projection of $61 million to $70 million.
In addition to its strong financial performance, Hagerty also announced plans for strategic partnerships and product launches, aimed at supporting its positive outlook for 2024. Among these initiatives is the launch of the Enthusiast Plus product, slated for 2025 and 2026. The company has also scheduled an investor event on May 31 to discuss long-term growth strategies. These recent developments indicate a promising trajectory for Hagerty's growth in the coming years.
InvestingPro Insights
As investors analyze the recent insider selling activity at Hagerty, Inc. (NYSE:HGTY), it's essential to consider the broader financial context in which these transactions occur. According to InvestingPro data, Hagerty has demonstrated a strong financial performance with notable revenue growth. The company's revenue growth for the last twelve months as of Q1 2024 stands at 25.7%, supported by a robust gross profit margin of 57.06%. This growth trajectory is further reflected in the company's quarterly revenue growth of 24.44% for Q1 2024.
Despite the absence of dividend payments to shareholders, an InvestingPro Tip highlights that analysts are optimistic about Hagerty's profitability, with net income expected to grow this year. Additionally, the stock's recent performance has been strong, with a one-month price total return of 14.25%, which may provide context to the timing of Kauffman's sales.
Investors looking to dive deeper into Hagerty's financials and future prospects can find an array of InvestingPro Tips, with 9 additional tips available for review. These insights can be particularly valuable for those considering an investment in the insurance sector. For those interested in accessing these exclusive tips, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription at InvestingPro.
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