Porch Group (NASDAQ:PRCH) Stock Price Up 6.5% Following Better-Than-Expected Earnings

Key Points

• Shares jumped 6.5% after Porch reported EPS of ($0.04) that beat estimates of ($0.10) and revenue of $109.44 million versus $93.99 million expected.
• Analysts maintain a consensus "Moderate Buy" on PRCH with an average price target of $17.21 (7 Buys, 1 Hold, 1 Sell).
• Insiders have been selling recently—CEO and COO sold shares to cover tax withholding, with 936,782 shares (~$6.94M) sold in the past 90 days—while insiders still own 23.32% of the company.

Porch Group, Inc. (NASDAQ:PRCH - Get Free Report)'s stock price was up 6.5% during trading on Tuesday following a stronger than expected earnings report. The stock traded as high as $8.50 and last traded at $8.5740. Approximately 1,628,854 shares were traded during trading, an increase of 5% from the average daily volume of 1,556,975 shares. The stock had previously closed at $8.05.

The company reported ($0.04) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.10) by $0.06. The firm had revenue of $109.44 million during the quarter, compared to analyst estimates of $93.99 million. Porch Group had a negative return on equity of 51.86% and a negative net margin of 0.72%.

Analyst Upgrades and Downgrades

PRCH has been the subject of several recent research reports. Zacks Research raised Porch Group from a "strong sell" rating to a "hold" rating in a research report on Friday, March 6th. Benchmark reiterated a "buy" rating on shares of Porch Group in a research note on Friday, January 16th. Weiss Ratings reissued a "sell (d+)" rating on shares of Porch Group in a research note on Monday, December 29th. Finally, Keefe, Bruyette & Woods upgraded shares of Porch Group from a "market perform" rating to an "outperform" rating and cut their price objective for the stock from $13.00 to $10.50 in a report on Wednesday, February 11th. Seven research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Porch Group has a consensus rating of "Moderate Buy" and an average price target of $17.21.

Insider Buying and Selling at Porch Group

In other news, CEO Matt Ehrlichman sold 145,882 shares of Porch Group stock in a transaction dated Tuesday, April 14th. The stock was sold at an average price of $6.84, for a total value of $997,832.88. Following the completion of the transaction, the chief executive officer owned 17,163,175 shares of the company's stock, valued at $117,396,117. The trade was a 0.84% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO Matthew Neagle sold 83,599 shares of the company's stock in a transaction dated Tuesday, April 14th. The stock was sold at an average price of $6.84, for a total transaction of $571,817.16. Following the completion of the transaction, the chief operating officer owned 2,607,657 shares in the company, valued at approximately $17,836,373.88. The trade was a 3.11% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 936,782 shares of company stock valued at $6,939,605 over the last 90 days. Corporate insiders own 23.32% of the company's stock.

Institutional Investors Weigh In On Porch Group

A number of institutional investors have recently made changes to their positions in PRCH. Aster Capital Management DIFC Ltd lifted its position in Porch Group by 956.3% in the 3rd quarter. Aster Capital Management DIFC Ltd now owns 1,521 shares of the company's stock valued at $26,000 after acquiring an additional 1,377 shares in the last quarter. Larson Financial Group LLC increased its holdings in shares of Porch Group by 444.8% in the 3rd quarter. Larson Financial Group LLC now owns 1,836 shares of the company's stock worth $31,000 after purchasing an additional 1,499 shares in the last quarter. RiverPark Advisors LLC purchased a new position in shares of Porch Group in the third quarter worth $39,000. Osbon Capital Management LLC purchased a new position in shares of Porch Group in the fourth quarter worth $25,000. Finally, Kemnay Advisory Services Inc. bought a new position in shares of Porch Group during the fourth quarter valued at $38,000. Hedge funds and other institutional investors own 48.48% of the company's stock.

Porch Group Stock Performance

The company has a quick ratio of 1.30, a current ratio of 1.30 and a debt-to-equity ratio of 17.20. The stock has a market capitalization of $1.07 billion, a P/E ratio of -171.80 and a beta of 3.09. The business has a fifty day moving average price of $7.63 and a 200-day moving average price of $9.38.

About Porch Group

Porch Group, Inc operates a technology-driven home services platform designed to connect homeowners with professional contractors, maintenance providers and home improvement specialists. Through its online marketplace and proprietary software solutions, Porch enables users to research, compare and book services ranging from home repairs and remodeling to maintenance and renovations. The company's platform integrates detailed provider profiles, customer reviews and real-time appointment scheduling to streamline the process of sourcing and managing home projects.

In addition to its core marketplace, Porch offers software products tailored for service professionals.

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