ACV Auctions (NASDAQ:ACVA) Reaches New 1-Year Low - Here's What Happened

Key Points

• ACV Auctions' share price has dropped to a new 52-week low, trading as low as $9.85, down from a previous close of $10.20.
• Brokerages have significantly revised their price targets for ACV Auctions, with reductions from analysts at Stephens, Goldman Sachs, JPMorgan Chase, JMP Securities, and Citigroup, reflecting a generally bearish outlook.
• Insider transactions show a notable sell-off, with key executives reducing their stakes, indicating potential concerns about the company's future performance.

ACV Auctions Inc. (NASDAQ:ACVA - Get Free Report)'s share price hit a new 52-week low on Thursday . The company traded as low as $9.85 and last traded at $9.90, with a volume of 429225 shares changing hands. The stock had previously closed at $10.20.

Analysts Set New Price Targets

A number of brokerages have weighed in on ACVA. Stephens reduced their price target on shares of ACV Auctions from $16.00 to $11.50 and set an "equal weight" rating for the company in a report on Tuesday, August 12th. The Goldman Sachs Group reduced their price target on shares of ACV Auctions from $26.00 to $21.00 and set a "buy" rating for the company in a report on Tuesday, August 12th. JPMorgan Chase & Co. reduced their price target on shares of ACV Auctions from $20.00 to $19.00 and set an "overweight" rating for the company in a report on Thursday, July 17th. JMP Securities dropped their price objective on shares of ACV Auctions from $20.00 to $18.00 and set a "market outperform" rating for the company in a research note on Tuesday, August 12th. Finally, Citigroup dropped their price objective on shares of ACV Auctions from $21.00 to $17.00 and set a "buy" rating for the company in a research note on Tuesday, August 12th. Ten research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $19.67.

ACV Auctions Stock Down 1.6%

The firm has a market cap of $1.73 billion, a price-to-earnings ratio of -20.49 and a beta of 1.68. The company has a debt-to-equity ratio of 0.28, a quick ratio of 1.56 and a current ratio of 1.56. The business's 50-day moving average is $12.26 and its 200-day moving average is $14.35.

Insider Transactions at ACV Auctions

In other ACV Auctions news, insider Michael Waterman sold 34,339 shares of the stock in a transaction dated Tuesday, July 8th. The shares were sold at an average price of $16.05, for a total transaction of $551,140.95. Following the sale, the insider owned 379,957 shares of the company's stock, valued at $6,098,309.85. This represents a 8.29% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Craig Eric Anderson sold 15,000 shares of the firm's stock in a transaction dated Tuesday, July 22nd. The shares were sold at an average price of $15.04, for a total transaction of $225,600.00. Following the completion of the transaction, the insider directly owned 340,799 shares in the company, valued at $5,125,616.96. This trade represents a 4.22% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 51,089 shares of company stock worth $794,433. Insiders own 2.90% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of ACVA. Versant Capital Management Inc boosted its stake in shares of ACV Auctions by 464.4% in the 1st quarter. Versant Capital Management Inc now owns 2,201 shares of the company's stock valued at $31,000 after purchasing an additional 1,811 shares during the last quarter. BI Asset Management Fondsmaeglerselskab A S bought a new position in ACV Auctions during the 1st quarter worth approximately $35,000. CWM LLC boosted its stake in ACV Auctions by 77.4% during the 2nd quarter. CWM LLC now owns 4,642 shares of the company's stock worth $75,000 after acquiring an additional 2,026 shares during the last quarter. GAMMA Investing LLC boosted its stake in ACV Auctions by 3,005.8% during the 1st quarter. GAMMA Investing LLC now owns 5,932 shares of the company's stock worth $84,000 after acquiring an additional 5,741 shares during the last quarter. Finally, Neo Ivy Capital Management bought a new position in ACV Auctions during the 2nd quarter worth approximately $87,000. Institutional investors own 88.55% of the company's stock.

About ACV Auctions

ACV Auctions Inc operates a digital marketplace that connects buyers and sellers for the online auction of wholesale vehicles. The company's marketplace platform includes digital marketplace, which connects buyers and sellers by providing online auction, which facilitates real-time transactions of wholesale vehicles; Run List for pre-filtering and pre-screening of vehicles up to 24 hours prior to an auction taking place; ACV transportation service to enable the buyers to see real-time transportation quotes and status reports of the vehicle; ACV capital, a short-term inventory financing services for buyers to purchase vehicles; and Go Green's seller assurance service for against claims related to defects in the vehicle.

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