indie Semiconductor (NASDAQ:INDI) Shares Down 12.4% After Insider Selling

Key Points

• indie Semiconductor shares fell 12.4% after CEO Donald McClymont and other executives disclosed recent stock sales. The stock traded as low as $4.05, with volume below its average for the day.
• Multiple insiders sold shares on July 2, including the CEO, CFO, and COO, with the CEO’s sale the largest at more than 126,000 shares. The transactions were filed with the SEC and reduced each executive’s ownership stake.
• Analysts currently have a cautious outlook on the stock, with a consensus rating of “Hold” and a consensus price target of $5.58. Recent reports have included hold, neutral, and sell ratings despite modest revenue growth in the latest quarter.

indie Semiconductor, Inc. (NASDAQ:INDI - Get Free Report) dropped 12.4% on Tuesday after an insider sold shares in the company. The stock traded as low as $4.05 and last traded at $4.0550. 2,793,924 shares changed hands during trading, a decline of 45% from the average daily volume of 5,094,496 shares. The stock had previously closed at $4.63.

Specifically, CEO Donald Mcclymont sold 126,496 shares of the business's stock in a transaction dated Thursday, July 2nd. The shares were sold at an average price of $4.45, for a total transaction of $562,907.20. Following the transaction, the chief executive officer owned 424,617 shares of the company's stock, valued at approximately $1,889,545.65. The trade was a 22.95% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO Naixi Wu sold 19,640 shares of indie Semiconductor stock in a transaction dated Thursday, July 2nd. The shares were sold at an average price of $4.37, for a total transaction of $85,826.80. Following the sale, the chief financial officer owned 134,425 shares of the company's stock, valued at approximately $587,437.25. This represents a 12.75% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In related news, COO Michael Wittmann sold 30,207 shares of the business's stock in a transaction on Thursday, July 2nd. The stock was sold at an average price of $4.45, for a total value of $134,421.15. Following the sale, the chief operating officer owned 145,602 shares in the company, valued at approximately $647,928.90. The trade was a 17.18% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink.

Wall Street Analysts Forecast Growth

INDI has been the subject of several analyst reports. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of indie Semiconductor in a research report on Tuesday, April 21st. UBS Group raised their price target on indie Semiconductor from $4.25 to $4.75 and gave the stock a "neutral" rating in a report on Friday, May 8th. TD Cowen initiated coverage on shares of indie Semiconductor in a research note on Wednesday, June 10th. They issued a "hold" rating and a $4.00 target price for the company. Finally, Wall Street Zen raised indie Semiconductor from a "sell" rating to a "hold" rating in a report on Saturday, May 16th. One investment analyst has rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and a consensus target price of $5.58.

indie Semiconductor Stock Performance

The stock's fifty day simple moving average is $4.31 and its two-hundred day simple moving average is $3.78. The company has a market cap of $922.35 million, a price-to-earnings ratio of -5.36 and a beta of 2.75. The company has a debt-to-equity ratio of 1.15, a quick ratio of 3.39 and a current ratio of 4.11.

indie Semiconductor (NASDAQ:INDI - Get Free Report) last released its quarterly earnings data on Thursday, May 7th. The company reported ($0.06) EPS for the quarter, hitting analysts' consensus estimates of ($0.06). The company had revenue of $55.46 million for the quarter, compared to the consensus estimate of $55.09 million. indie Semiconductor had a negative return on equity of 29.85% and a negative net margin of 69.76%.The company's quarterly revenue was up 2.5% compared to the same quarter last year. During the same period last year, the business posted ($0.08) EPS. Equities research analysts anticipate that indie Semiconductor, Inc. will post -0.52 EPS for the current year.

Institutional Trading of indie Semiconductor

Several large investors have recently modified their holdings of INDI. Primecap Management Co. CA boosted its position in indie Semiconductor by 3.0% during the 4th quarter. Primecap Management Co. CA now owns 29,774,708 shares of the company's stock worth $105,105,000 after acquiring an additional 873,940 shares during the period. Bamco Inc. NY increased its holdings in shares of indie Semiconductor by 0.7% during the fourth quarter. Bamco Inc. NY now owns 21,705,742 shares of the company's stock valued at $76,621,000 after purchasing an additional 148,455 shares during the period. Granahan Investment Management LLC raised its stake in shares of indie Semiconductor by 17.8% during the first quarter. Granahan Investment Management LLC now owns 20,283,839 shares of the company's stock valued at $65,314,000 after purchasing an additional 3,067,255 shares in the last quarter. Vanguard Group Inc. lifted its holdings in indie Semiconductor by 1.4% in the fourth quarter. Vanguard Group Inc. now owns 15,493,648 shares of the company's stock worth $54,693,000 after purchasing an additional 210,463 shares during the period. Finally, Elemental Capital Partners LLC grew its position in indie Semiconductor by 60.0% in the 1st quarter. Elemental Capital Partners LLC now owns 12,644,393 shares of the company's stock valued at $40,715,000 after buying an additional 4,741,680 shares in the last quarter. 67.73% of the stock is currently owned by institutional investors and hedge funds.

indie Semiconductor Company Profile

indie Semiconductor, Inc is a fabless semiconductor company headquartered in San Jose, California, that specializes in advanced chip solutions for the automotive industry. The company designs and develops microcontrollers, sensor processing units, application processors and power management integrated circuits tailored for electric vehicles (EVs), advanced driver assistance systems (ADAS), infotainment and digital clusters. indie's product portfolio aims to deliver high performance, energy efficiency and functional safety to meet stringent automotive requirements.

Originally formed as Integrated Memory Systems in 2021 through a business combination with a special purpose acquisition company, the firm rebranded to indie Semiconductor in early 2022.

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