Grab (NASDAQ:GRAB) Shares Gap Up on Insider Buying Activity

Key Points

• Grab shares jumped from a $2.91 close to a $3.05 open after CEO Ping Tan bought 10.35 million shares and COO Alexander Hungate purchased 299,571 shares, both at $2.89 per share.
• Analyst sentiment is generally positive, with Grab receiving a “Moderate Buy” consensus rating and an average price target of $6.11, although ratings range from Strong Buy to Sell.
• Grab recently exceeded quarterly expectations, reporting $0.06 in earnings per share versus a $0.05 estimate and $997 million in revenue versus a $994.97 million consensus forecast; institutional investors own 55.52% of the stock.

Grab Holdings Limited (NASDAQ:GRAB - Get Free Report)'s share price gapped up prior to trading on Tuesday following insider buying activity. The stock had previously closed at $2.91, but opened at $3.05. Grab shares last traded at $3.1120, with a volume of 50,175,843 shares traded.

Specifically, CEO Ping Tan bought 10,350,000 shares of the firm's stock in a transaction on Monday, September 21st. The stock was acquired at an average price of $2.89 per share, with a total value of $29,911,500.00. Following the completion of the purchase, the chief executive officer owned 10,778,498 shares of the company's stock, valued at approximately $31,149,859.22. This trade represents a 2,415.41% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, COO Alexander Hungate purchased 299,571 shares of the company's stock in a transaction dated Monday, September 21st. The stock was bought at an average cost of $2.89 per share, for a total transaction of $865,760.19. Following the completion of the transaction, the chief operating officer owned 6,411,550 shares in the company, valued at approximately $18,529,379.50. This represents a 4.90% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure.

Wall Street Analysts Forecast Growth

Several equities research analysts have commented on GRAB shares. KeyCorp set a $7.00 target price on Grab in a report on Wednesday, September 16th. Morgan Stanley reaffirmed an "overweight" rating and issued a $6.25 price target on shares of Grab in a research report on Tuesday, June 30th. Weiss Ratings cut shares of Grab from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Monday, August 17th. Zacks Research raised shares of Grab from a "strong sell" rating to a "hold" rating in a research report on Tuesday, June 2nd. Finally, Benchmark restated a "buy" rating on shares of Grab in a research note on Tuesday, August 4th. One analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, Grab has an average rating of "Moderate Buy" and a consensus price target of $6.11.

Grab Stock Performance

The stock has a market capitalization of $12.73 billion, a P/E ratio of 51.93, a P/E/G ratio of 0.73 and a beta of 0.89. The company has a quick ratio of 1.51, a current ratio of 1.52 and a debt-to-equity ratio of 0.06. The business has a fifty day moving average price of $3.44 and a 200-day moving average price of $3.60.

Grab (NASDAQ:GRAB - Get Free Report) last released its quarterly earnings data on Tuesday, August 4th. The company reported $0.06 EPS for the quarter, topping the consensus estimate of $0.05 by $0.01. The company had revenue of $997.00 million during the quarter, compared to the consensus estimate of $994.97 million. Grab had a return on equity of 8.83% and a net margin of 15.97%. On average, sell-side analysts expect that Grab Holdings Limited will post 0.13 EPS for the current year.

Institutional Trading of Grab

A number of large investors have recently made changes to their positions in GRAB. BlackRock Inc. boosted its holdings in Grab by 6.4% in the second quarter. BlackRock Inc. now owns 156,175,807 shares of the company's stock worth $588,783,000 after purchasing an additional 9,357,389 shares during the last quarter. Assenagon Asset Management S.A. raised its stake in Grab by 58.0% during the 1st quarter. Assenagon Asset Management S.A. now owns 54,906,371 shares of the company's stock valued at $200,957,000 after buying an additional 20,152,535 shares during the last quarter. WFM ASIA BVI Ltd lifted its holdings in shares of Grab by 12.5% during the 4th quarter. WFM ASIA BVI Ltd now owns 37,675,992 shares of the company's stock valued at $188,003,000 after buying an additional 4,194,477 shares during the period. Norges Bank bought a new position in shares of Grab during the 4th quarter valued at $161,484,000. Finally, Artisan Partners Limited Partnership boosted its stake in shares of Grab by 5.0% in the 4th quarter. Artisan Partners Limited Partnership now owns 27,977,786 shares of the company's stock worth $139,609,000 after buying an additional 1,340,082 shares during the last quarter. 55.52% of the stock is currently owned by institutional investors.

Grab Company Profile

Grab Holdings Inc NASDAQ: GRAB is a technology company that operates a superapp serving consumers, drivers, merchants and businesses across Southeast Asia. Its platform connects users with transportation, food and grocery delivery, parcel and on-demand logistics, digital payments and other financial services.

The company began as a ride-hailing service in Malaysia in 2012, founded by Anthony Tan and Tan Hooi Ling, and expanded into a broader digital platform. Grab's consumer offerings include private-hire and taxi services, GrabFood, GrabMart and GrabExpress, while its financial-services products include digital payments, lending, insurance and digital banking services offered in selected markets.

Grab serves markets across Southeast Asia, including Singapore, Malaysia, Indonesia, Thailand, Vietnam, the Philippines and Cambodia.

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