Newegg Commerce (NASDAQ:NEGG) Shares Down 9% After Insider Selling

Key Points

• Newegg Commerce shares fell 9% intraday to $13.35 after director Fred Chang disclosed multiple stock sales totaling 29,728 shares across three transactions.
• Despite the sales, Chang still directly owned approximately 3.03 million shares; the transactions reduced his position by less than 1% overall.
• Analyst sentiment remains negative, with the stock carrying an average “Sell” rating. Newegg recently reported adjusted EPS of $0.11, beating estimates, but revenue of $320.4 million came in below the $439.2 million consensus forecast.

Newegg Commerce, Inc. (NASDAQ:NEGG - Get Free Report) fell 9% during mid-day trading on Tuesday after an insider sold shares in the company. The company traded as low as $13.67 and last traded at $13.35. Approximately 3,415 shares traded hands during mid-day trading, a decline of 96% from the average daily volume of 76,700 shares. The stock had previously closed at $14.67.

Specifically, Director Fred Chang sold 3,582 shares of the business's stock in a transaction dated Thursday, September 10th. The shares were sold at an average price of $14.47, for a total value of $51,831.54. Following the transaction, the director directly owned 3,030,377 shares in the company, valued at $43,849,555.19. The trade was a 0.12% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Fred Chang sold 12,564 shares of the stock in a transaction that occurred on Wednesday, September 9th. The shares were sold at an average price of $15.13, for a total transaction of $190,093.32. Following the completion of the sale, the director directly owned 3,033,959 shares of the company's stock, valued at approximately $45,903,799.67. This trade represents a 0.41% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In other news, Director Fred Chang sold 13,582 shares of Newegg Commerce stock in a transaction that occurred on Tuesday, September 8th. The shares were sold at an average price of $15.18, for a total transaction of $206,174.76. Following the sale, the director owned 3,046,523 shares of the company's stock, valued at approximately $46,246,219.14. The trade was a 0.44% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link.

Wall Street Analysts Forecast Growth

Separately, Weiss Ratings raised Newegg Commerce from a "sell (e+)" rating to a "sell (d-)" rating in a research note on Monday, July 13th. One research analyst has rated the stock with a Sell rating, Based on data from MarketBeat, the company presently has an average rating of "Sell".

Newegg Commerce Stock Down 6.9%

The company has a debt-to-equity ratio of 0.21, a quick ratio of 0.64 and a current ratio of 1.55. The firm has a 50-day moving average price of $15.82 and a 200 day moving average price of $25.18.

Newegg Commerce (NASDAQ:NEGG - Get Free Report) last posted its earnings results on Thursday, August 27th. The company reported $0.11 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.40) by $0.51. The firm had revenue of $320.41 million for the quarter, compared to analyst estimates of $439.20 million.

Newegg Commerce Company Profile

Newegg Commerce, Inc operates an e-commerce platform focused on technology products and consumer electronics. Its merchandise includes computer components, laptops, desktop computers, peripherals, networking equipment, software, gaming products, home electronics, appliances and related accessories.

The company serves individual consumers, businesses and technology enthusiasts through its Newegg retail platform and marketplace. In addition to selling products directly, Newegg enables third-party merchants and brands to offer merchandise through its platform and provides services such as fulfillment, advertising and business-to-business purchasing support.

Newegg was founded in 2001 and is headquartered in the City of Industry, California.

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