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Accolade CEO Rajeev Singh sells shares worth $1,307

Published 19/12/2024, 07:46 am
ACCD
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Rajeev Singh, the Chief Executive Officer of Accolade, Inc. (NASDAQ:ACCD), recently sold 381 shares of common stock at an average price of $3.432 per share, totaling approximately $1,307. The stock, currently trading near its 52-week low, has experienced significant volatility with a 71% decline year-to-date. According to InvestingPro analysis, the company appears undervalued at its current market capitalization of $257 million. This transaction was conducted to cover tax withholding obligations related to the vesting and settlement of Restricted Stock Units (RSUs), as detailed in a recent SEC filing. The sale was not a discretionary transaction but a mandatory action to satisfy tax obligations. Following this transaction, Singh holds 815,851 shares of Accolade's common stock directly. Additionally, Singh has indirect ownership of 651,619 shares through Avanti Holdings, LLC, where he is a partner with voting and investment power. InvestingPro subscribers can access 8 additional key insights and a comprehensive Pro Research Report about Accolade's financial health and market position.

In other recent news, Accolade Inc (NASDAQ:ACCD). has been in the spotlight following a series of adjustments to its financial outlook by prominent firms. Wells Fargo (NYSE:WFC) revised the price target for Accolade downwards to $6.00 while maintaining an Equal Weight rating, citing concerns over the timing of deal closures. Despite this, the firm suggested that the company's revenue targets for Fiscal Year 26 (FY26) are achievable with moderate growth in Annual Contract Value (ACV).

Accolade also reported a strong second quarter for 2025, surpassing revenue expectations with a total of $106.4 million and exceeding its adjusted EBITDA guidance. The company confirmed its fiscal year 2025 revenue guidance of $460 million to $475 million and projected a positive adjusted EBITDA of $15 million to $20 million.

Analyst firms, including Stephens, Canaccord Genuity, Truist Securities, and BofA Securities, have revised their price targets for Accolade, while maintaining Buy ratings. Stephens adjusted its model to reflect a 12% revenue growth for Accolade in fiscal years 2025 and 2026.

Despite the anticipation of slower revenue growth in fiscal year 2026 due to staggered launches, Accolade's management has expressed optimism about a strong pipeline diversified across employers, health plans, and government segments. This diversity, coupled with Accolade's competitive edge in the expert medical opinion (EMO) product market and successful management of marketing expenses, has been a notable development in the company's recent business dynamics.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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