Insider Buying: Gloo (NASDAQ:GLOO) Major Shareholder Buys 923,076 Shares

Key Points

• Gloo major shareholder Grace & Mercy Foundation bought 923,076 shares at $3.25 each, spending about $3.0 million and boosting its stake by 36.92%. The filing suggests strong insider confidence in the company.
• GLOO shares rose 7.1% to $3.16 on heavy trading volume, far above its average daily volume. The stock remains well below its 52-week high of $9.98.
• Recent news around the company is mixed: analysts have a consensus Hold rating with a $16 target, while Gloo’s recent quarterly results missed EPS estimates and an equity offering has raised dilution concerns.

Gloo Holdings (NASDAQ:GLOO - Get Free Report) major shareholder Grace & Mercy Foundation, Inc. bought 923,076 shares of the firm's stock in a transaction that occurred on Thursday, July 9th. The stock was purchased at an average cost of $3.25 per share, with a total value of $2,999,997.00. Following the completion of the transaction, the insider owned 3,423,076 shares in the company, valued at approximately $11,124,997. This trade represents a 36.92% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Large shareholders that own more than 10% of a company's shares are required to disclose their transactions with the SEC.

Gloo Stock Up 7.1%

NASDAQ:GLOO traded up $0.21 during mid-day trading on Monday, reaching $3.16. 2,578,431 shares of the stock were exchanged, compared to its average volume of 149,160. The firm has a market capitalization of $259.47 million and a PE ratio of -0.55. Gloo Holdings has a 1 year low of $2.94 and a 1 year high of $9.98. The company has a 50 day moving average of $5.10. The company has a debt-to-equity ratio of 0.11, a current ratio of 0.94 and a quick ratio of 0.91.

Gloo (NASDAQ:GLOO - Get Free Report) last issued its quarterly earnings data on Monday, June 8th. The company reported ($0.22) earnings per share for the quarter, missing analysts' consensus estimates of ($0.16) by ($0.06). The business had revenue of $41.53 million during the quarter. As a group, research analysts predict that Gloo Holdings will post -0.31 EPS for the current year.

Key Stories Impacting Gloo

Here are the key news stories impacting Gloo this week:

• Positive Sentiment: Major shareholder Grace & Mercy Foundation, Inc. bought 923,076 shares at $3.25 per share, increasing its stake by 36.92% and signaling strong insider confidence in Gloo Holdings (GLOO). SEC filing
• Positive Sentiment: Separate reports say Gloo’s CEO and a director also bought millions of dollars of stock, adding to the bullish insider-buying theme and helping support the shares.
• Neutral Sentiment: Gloo announced the closing of its public offering of Class A common stock, a financing move that brings in capital but also increases the share count. Yahoo Finance article
• Neutral Sentiment: Media coverage highlighted Gloo as a fast-growing tech penny stock and noted the company’s AI-focused platform strategy, which may be helping investor interest but is not a direct financial catalyst. SiliconANGLE article
• Negative Sentiment: A Seeking Alpha commentary argued the equity offering is “damaging,” reflecting concern that dilution could weigh on Gloo Holdings (GLOO) despite the insider purchases. Seeking Alpha article
• Negative Sentiment: Several filings also show recent selling by affiliated financial entities, which may add some caution around near-term shareholder sentiment.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the company. EverSource Wealth Advisors LLC lifted its position in Gloo by 263.4% in the first quarter. EverSource Wealth Advisors LLC now owns 5,513 shares of the company's stock valued at $27,000 after purchasing an additional 3,996 shares during the period. Jane Street Group LLC acquired a new position in Gloo during the 4th quarter worth approximately $82,000. Beacon Pointe Advisors LLC purchased a new position in shares of Gloo during the 4th quarter worth approximately $142,000. Marshall Wace LLP acquired a new stake in shares of Gloo in the 4th quarter valued at approximately $173,000. Finally, HRT Financial LP acquired a new stake in shares of Gloo in the 4th quarter valued at approximately $179,000.

Analysts Set New Price Targets

A number of equities analysts recently issued reports on the company. Benchmark raised their price target on Gloo from $14.00 to $15.00 and gave the stock a "buy" rating in a report on Tuesday, June 9th. Weiss Ratings upgraded Gloo from a "sell (e-)" rating to a "sell (e)" rating in a research note on Friday, May 1st. Finally, Wall Street Zen lowered Gloo from a "hold" rating to a "sell" rating in a report on Saturday, May 23rd. Two investment analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, the company presently has an average rating of "Hold" and a consensus target price of $16.00.

Gloo Company Profile

Gloo's mission is to build the leading vertical technology platform for the faith and flourishing ecosystem, which we believe is one of the largest, oldest and least-digitized ecosystems in the world. Our purpose is to shape technology as a force for good, so people can flourish and communities can thrive. This is grounded in our belief that relationships catalyze growth, and when technology is used to serve relationships, it transforms lives. The faith and flourishing ecosystem is vast and, we believe, a technologically underserved vertical that includes traditional Christian (primarily Protestant and Catholic) churches and a diverse network of ministries, nonprofits and service providers.

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