SEATTLE—Pankaj Sharma, the Chief Business Officer of Remitly Global, Inc. (NASDAQ:RELY), executed a sale of 4,000 shares of the company's common stock, according to a recent SEC filing. The shares were sold at a price of $20 each, resulting in a total transaction value of $80,000.
Following this transaction, Sharma retains ownership of 151,576 shares in the company. This sale was conducted automatically as part of a pre-established Rule 10b5-1 trading plan, which allows insiders to set up a predetermined schedule for buying or selling stock to avoid any potential conflicts of interest.
Remitly Global, a Seattle-based company, continues to be a significant player in the business services sector, offering digital financial services to immigrants and their families.
In other recent news, Remitly Global Inc. has reported robust financial performance in the third quarter of 2024. The company's revenue surged by 39% to $336.5 million, and an adjusted EBITDA of $46.7 million was noted, indicating a nearly 14% margin. In addition, active customers increased by 35% to 7.3 million, and send volume rose by 42% to $14.5 billion.
KeyBanc Capital Markets responded to these developments by adjusting its outlook on Remitly, raising the price target to $21 from $20 and maintaining an Overweight rating. This decision reflects confidence in Remitly's customer acquisition trends, marketing efficiency, and the management's improved visibility and communication regarding growth drivers.
Remitly has also raised its full-year revenue and adjusted EBITDA outlook for 2024. The company is formulating plans for 2025, targeting low- to mid-20s revenue growth, driven by customer loyalty and a strong product. However, Remitly also anticipates a sequential decline in the gross take rate due to transaction size and currency fluctuations. These are among the recent developments for Remitly, as reported in their latest earnings call.
InvestingPro Insights
Remitly Global's recent insider sale by Chief Business Officer Pankaj Sharma comes amid a period of strong performance for the company's stock. According to InvestingPro data, Remitly has seen impressive returns, with a 51.28% price increase over the past month and a 42.43% gain over the last three months. This upward momentum has pushed the stock to 84.62% of its 52-week high, suggesting investor confidence in the company's prospects.
Despite the positive stock performance, InvestingPro Tips indicate that Remitly is not currently profitable over the last twelve months, with a negative P/E ratio of -58.89. However, analysts predict that the company will turn profitable this year, which could explain the recent stock rally.
The company's financial health shows promise, with liquid assets exceeding short-term obligations, providing a solid foundation for future growth. Remitly's revenue growth is also noteworthy, with a 35.18% increase over the last twelve months and a 39.27% quarterly growth rate, indicating strong demand for its digital financial services.
For investors seeking a more comprehensive analysis, InvestingPro offers 11 additional tips for Remitly Global, providing deeper insights into the company's financial position and market outlook.
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