Butterfly Network (NYSE:BFLY) Stock Price Up 9.4% - Here's What Happened

Key Points

• Butterfly Network shares rose 9.4% to about $8.11 in Tuesday trading, though volume was 58% below the stock’s average daily level.
• Analyst sentiment remains mixed: TD Cowen reaffirmed a Buy rating with a $10 target, while the overall consensus is Hold with an average price target of $6.56.
• The company beat quarterly expectations, reporting an adjusted loss of $0.01 per share versus an expected loss of $0.04 and revenue of $32.61 million versus $29.16 million expected. However, insiders sold 4.74 million shares worth roughly $32.2 million during the quarter.

Shares of Butterfly Network, Inc. (NYSE:BFLY - Get Free Report) were up 9.4% during trading on Tuesday . The company traded as high as $8.10 and last traded at $8.11. Approximately 2,721,278 shares traded hands during trading, a decline of 58% from the average daily volume of 6,453,858 shares. The stock had previously closed at $7.41.

Analysts Set New Price Targets

A number of research analysts recently weighed in on BFLY shares. Weiss Ratings reiterated a "sell (d-)" rating on shares of Butterfly Network in a research note on Monday, August 3rd. TD Cowen reaffirmed a "buy" rating and issued a $10.00 price target on shares of Butterfly Network in a report on Friday. Three investment 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. Based on data from MarketBeat.com, the company presently has an average rating of "Hold" and an average target price of $6.56.

Butterfly Network Stock Up 4.8%

The business's 50-day moving average price is $7.97 and its 200 day moving average price is $6.03. The company has a market capitalization of $2.07 billion, a P/E ratio of -26.67 and a beta of 2.08.

Butterfly Network (NYSE:BFLY - Get Free Report) last issued its quarterly earnings data on Thursday, July 30th. The company reported ($0.01) EPS for the quarter, beating the consensus estimate of ($0.04) by $0.03. Butterfly Network had a negative net margin of 66.74% and a negative return on equity of 33.99%. The company had revenue of $32.61 million during the quarter, compared to analysts' expectations of $29.16 million. Analysts anticipate that Butterfly Network, Inc. will post -0.18 EPS for the current fiscal year.

Insider Transactions at Butterfly Network

In related news, CAO Megan Carlson sold 68,852 shares of the stock in a transaction on Friday, July 31st. The stock was sold at an average price of $7.86, for a total value of $541,176.72. Following the sale, the chief accounting officer owned 425,889 shares in the company, valued at approximately $3,347,487.54. This trade represents a 13.92% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, Director Jonathan Rothberg sold 1,195,857 shares of Butterfly Network stock in a transaction on Friday, July 17th. The shares were sold at an average price of $6.60, for a total value of $7,892,656.20. Following the sale, the director directly owned 54,143 shares of the company's stock, valued at $357,343.80. This represents a 95.67% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 4,743,569 shares of company stock valued at $32,219,597. Corporate insiders own 21.99% of the company's stock.

Institutional Trading of Butterfly Network

Large investors have recently modified their holdings of the business. Bank of America Corp DE lifted its stake in Butterfly Network by 71.0% during the first quarter. Bank of America Corp DE now owns 4,165,222 shares of the company's stock worth $16,827,000 after purchasing an additional 1,728,938 shares during the last quarter. Janus Henderson Group PLC bought a new stake in Butterfly Network in the 1st quarter worth approximately $446,000. Dimensional Fund Advisors LP lifted its position in Butterfly Network by 30.9% in the 1st quarter. Dimensional Fund Advisors LP now owns 2,358,181 shares of the company's stock worth $9,524,000 after buying an additional 557,100 shares during the last quarter. Sei Investments Co. boosted its stake in Butterfly Network by 30.6% in the first quarter. Sei Investments Co. now owns 2,298,894 shares of the company's stock worth $9,288,000 after buying an additional 539,171 shares in the last quarter. Finally, Lotus Technology Management LP purchased a new stake in Butterfly Network in the second quarter worth approximately $1,378,000. Institutional investors own 37.85% of the company's stock.

About Butterfly Network

Butterfly Network, Inc develops portable, semiconductor-based ultrasound systems designed to make diagnostic imaging more accessible across hospitals, clinics, physician offices, emergency services and other care settings. Its technology uses a single handheld probe with software-enabled imaging capabilities, rather than requiring multiple dedicated ultrasound machines.

The company's product portfolio includes the Butterfly iQ, iQ+, and iQ3 handheld ultrasound devices, along with related software and cloud-based tools.

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