Owlet (NYSE:OWLT) CEO Jonathan Harris Sells 1,851 Shares

Key Points

• Owlet CEO Jonathan Harris sold 1,851 shares on Oct. 16 at an average price of $8.75 to cover tax withholding on vested awards, leaving him with 317,309 shares (about a 0.58% reduction in his ownership).
• This sale is part of multiple recent insider "sell-to-cover" transactions — Harris also sold larger blocks earlier this year and other insiders (including a 49,056-share sale by founder Kurt Workman and a 6,892-share sale by the CFO) have reduced insider ownership, which can pressure investor sentiment despite tax-related explanations.
• Stock and market context: OWLT recently traded near $4.94, has a market cap of about $139M and a negative P/E, with mixed analyst ratings (average "Hold" and $20 average price target) and roughly 72.6% institutional ownership.

Owlet, Inc. (NYSE:OWLT - Get Free Report) CEO Jonathan Harris sold 1,851 shares of the stock in a transaction on Thursday, October 16th. The stock was sold at an average price of $8.75, for a total value of $16,196.25. Following the transaction, the chief executive officer owned 317,309 shares of the company's stock, valued at approximately $2,776,453.75. This represents a 0.58% 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.

Jonathan Harris also recently made the following trade(s):

• On Thursday, February 26th, Jonathan Harris sold 12,676 shares of Owlet stock. The shares were sold at an average price of $11.50, for a total value of $145,774.00.
• On Tuesday, February 17th, Jonathan Harris sold 3,540 shares of Owlet stock. The stock was sold at an average price of $10.65, for a total value of $37,701.00.

Owlet Trading Up 1.7%

Shares of OWLT traded up $0.08 during midday trading on Thursday, hitting $4.94. 211,452 shares of the stock were exchanged, compared to its average volume of 310,038. Owlet, Inc. has a 52-week low of $3.78 and a 52-week high of $16.94. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.51 and a current ratio of 1.85. The stock has a fifty day simple moving average of $6.75 and a 200 day simple moving average of $10.36. The firm has a market cap of $139.19 million, a P/E ratio of -1.82 and a beta of 2.00.

Owlet (NYSE:OWLT - Get Free Report) last posted its quarterly earnings data on Thursday, March 5th. The company reported ($0.03) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.13) by $0.10. The firm had revenue of $26.55 million during the quarter, compared to analysts' expectations of $26.01 million. On average, research analysts anticipate that Owlet, Inc. will post -0.63 EPS for the current fiscal year.

Key Stories Impacting Owlet

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 Analyst Weigh In

Several research analysts have recently commented on OWLT shares. Wall Street Zen lowered shares of Owlet from a "hold" rating to a "sell" rating in a research note on Saturday, March 14th. Weiss Ratings reissued a "sell (d-)" rating on shares of Owlet in a research note on Tuesday, April 21st. TD Cowen reissued a "buy" rating on shares of Owlet in a research note on Friday, March 6th. Finally, Zacks Research lowered shares of Owlet from a "strong-buy" rating to a "hold" rating in a research note on Monday, March 2nd. Three investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company has an average rating of "Hold" and an average price target of $20.00.

Institutional Investors Weigh In On Owlet

A number of hedge funds have recently bought and sold shares of the stock. Eclipse Operations LLC acquired a new stake in Owlet in 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 34.7% in the 4th quarter. Granahan Investment Management LLC now owns 686,749 shares of the company's stock valued at $11,118,000 after purchasing an additional 176,845 shares in the last quarter. Next Century Growth Investors LLC raised its position in Owlet by 18.4% in the 4th quarter. Next Century Growth Investors LLC now owns 484,908 shares of the company's stock valued at $7,851,000 after purchasing an additional 75,408 shares in the last quarter. 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. Institutional investors and hedge funds own 72.60% of the company's stock.

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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