Insider Selling: Owlet (NYSE:OWLT) CFO Sells 6,892 Shares of Stock

Key Points

• CFO Amanda Crawford sold 6,892 shares on Feb. 27 at an average price of $11.50 (≈$79,258) in a sell-to-cover transaction to satisfy tax withholding; she now owns 212,800 shares, a 3.14% reduction.
• Other recent insider sales — including a 49,056-share sale by the CEO and a 12,676-share sale by another senior exec — have materially reduced insider ownership and could weigh on investor sentiment despite tax-related explanations.
• Owlet beat Q results (EPS -$0.03 vs. -$0.13 est., revenue $26.55M vs. $26.01M) but analysts are mixed with a consensus “Hold” and $20 average target while the stock trades near $4.94 and remains well below its 52-week high.

Owlet, Inc. (NYSE:OWLT - Get Free Report) CFO Amanda Crawford sold 6,892 shares of the stock in a transaction on Friday, February 27th. The stock was sold at an average price of $11.50, for a total value of $79,258.00. Following the transaction, the chief financial officer owned 212,800 shares of the company's stock, valued at approximately $2,447,200. This represents a 3.14% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Owlet Trading Up 1.7%

Shares of NYSE OWLT traded up $0.08 during mid-day trading on Thursday, reaching $4.94. 211,452 shares of the company's stock were exchanged, compared to its average volume of 310,038. The firm has a market capitalization of $139.19 million, a price-to-earnings ratio of -1.82 and a beta of 2.00. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.51 and a current ratio of 1.85. Owlet, Inc. has a 52-week low of $3.78 and a 52-week high of $16.94. The company's 50-day moving average is $6.75 and its 200-day moving average is $10.36.

Owlet (NYSE:OWLT - Get Free Report) last released its quarterly earnings results on Thursday, March 5th. The company reported ($0.03) earnings per share for the quarter, topping analysts' consensus estimates of ($0.13) by $0.10. The business had revenue of $26.55 million for the quarter, compared to analysts' expectations of $26.01 million. Analysts expect that Owlet, Inc. will post -0.63 EPS for the current fiscal year.

Owlet News Summary

Here are the key news stories impacting Owlet this week:

• Neutral Sentiment: Multiple small insider "sell-to-cover" transactions by company executives are routine and largely intended to cover tax withholding on vested awards; these reduce the negative signal versus open-market deliberate divestitures. Representative filing for several of the CFO's trades is here: SEC Filings (CFO)
• Negative Sentiment: Large insider sale by CEO Kurt Workman — he sold 49,056 shares ( ~11.4% reduction at the time) in October, a sizable block that can be interpreted negatively by investors even if described as tax-related. Filing: Workman SEC Filing
• Negative Sentiment: Significant sales by other senior executives — CEO Jonathan Harris sold 12,676 shares on Feb. 26 (material size) and CFO Amanda Crawford sold 6,892 shares on Feb. 27; both transactions were disclosed as covering tax withholding but reduce insider ownership and can pressure sentiment. Harris filing: Harris SEC Filing — Crawford filing: Crawford SEC Filing
• Negative Sentiment: Analyst preview (Zacks) expects Q1 earnings to decline, signaling downside to near-term fundamentals and raising the risk of an earnings miss or guidance cut — this is a direct negative pressure on valuation and near-term sentiment. Earnings Preview: Zacks

Wall Street Analysts Forecast Growth

OWLT has been the subject of a number of research analyst reports. Zacks Research cut Owlet from a "strong-buy" rating to a "hold" rating in a report on Monday, March 2nd. Weiss Ratings restated a "sell (d-)" rating on shares of Owlet in a report on Tuesday, April 21st. Wall Street Zen cut Owlet from a "hold" rating to a "sell" rating in a report on Saturday, March 14th. Finally, TD Cowen restated a "buy" rating on shares of Owlet in a report on Friday, March 6th. Three analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and an average target price of $20.00.

Hedge Funds Weigh In On Owlet

A number of hedge funds and other institutional investors have recently bought and sold shares of OWLT. Eclipse Operations LLC purchased a new position in Owlet during the 4th quarter valued at about $124,677,000. AWM Investment Company Inc. acquired a new stake in Owlet in the 4th quarter valued at about $28,304,000. Granahan Investment Management LLC raised its position in Owlet by 135.9% in the 3rd quarter. Granahan Investment Management LLC now owns 509,904 shares of the company's stock valued at $4,319,000 after purchasing an additional 293,771 shares in the last quarter. Russell Investments Group Ltd. acquired a new stake in Owlet in the 4th quarter valued at about $3,662,000. Finally, Vanguard Group Inc. raised its position in Owlet by 86.3% in the 3rd quarter. Vanguard Group Inc. now owns 389,840 shares of the company's stock valued at $3,302,000 after purchasing an additional 180,619 shares in the last quarter. 72.60% of the stock is currently owned by hedge funds and other institutional investors.

About Owlet

Owlet Baby Care, Inc is a consumer health technology company specializing in the design and manufacture of smart baby monitoring products. The company’s flagship device, the Owlet Smart Sock, is a wearable monitor that tracks a newborn’s heart rate and oxygen saturation levels and transmits real-time data to a mobile app. Owlet has since expanded its product suite to include the Owlet Cam, an HD video monitor with audio and motion alerts, and the Dream Sock, a non-wearable device that collects sleep metrics to help parents understand and improve their baby’s rest patterns.

Founded in 2013 by engineer and father Kurt Workman, Owlet is headquartered in Lehi, Utah.

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