Short Interest in Nerdy Inc. (NYSE:NRDY) Drops By 16.4%

Key Points

• Short interest in Nerdy fell 16.4% in March to 7,225,234 shares (about 7.9% of shares sold short), leaving a short-interest ratio of 7.2 days based on average daily volume.
• Significant insider selling: CFO Jason H. Pello sold 75,000 shares on March 10 and insiders sold 224,887 shares in the last three months, although insiders still own 51.54% of the company.
• Analysts give Nerdy an average rating of "Reduce" with a $1.00 consensus price target; the stock trades near $0.80, the company reported negative EPS and has a market cap of about $151 million.

Nerdy Inc. (NYSE:NRDY - Get Free Report) was the target of a large decrease in short interest during the month of March. As of March 13th, there was short interest totaling 7,225,234 shares, a decrease of 16.4% from the February 26th total of 8,639,510 shares. Currently, 7.9% of the shares of the stock are sold short. Based on an average daily volume of 1,001,674 shares, the short-interest ratio is presently 7.2 days.

Analyst Upgrades and Downgrades

Separately, Weiss Ratings restated a "sell (e+)" rating on shares of Nerdy in a research report on Thursday, January 22nd. One analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, Nerdy has an average rating of "Reduce" and a consensus price target of $1.00.

Nerdy Stock Down 0.1%

Shares of NYSE NRDY opened at $0.80 on Monday. The company has a 50 day simple moving average of $0.95 and a 200 day simple moving average of $1.08. The company has a debt-to-equity ratio of 0.67, a current ratio of 2.27 and a quick ratio of 2.27. Nerdy has a 1 year low of $0.77 and a 1 year high of $1.90. The firm has a market cap of $151.45 million, a PE ratio of -2.36 and a beta of 1.80.

Nerdy (NYSE:NRDY - Get Free Report) last posted its earnings results on Thursday, February 26th. The company reported ($0.08) earnings per share for the quarter, missing analysts' consensus estimates of ($0.06) by ($0.02). Nerdy had a negative return on equity of 95.27% and a negative net margin of 22.30%.The business had revenue of $49.11 million for the quarter, compared to the consensus estimate of $45.75 million. On average, research analysts forecast that Nerdy will post -0.43 EPS for the current year.

Insider Activity at Nerdy

In other news, CFO Jason H. Pello sold 75,000 shares of the company's stock in a transaction on Tuesday, March 10th. The shares were sold at an average price of $0.92, for a total transaction of $69,000.00. Following the completion of the transaction, the chief financial officer directly owned 2,571,235 shares in the company, valued at approximately $2,365,536.20. This represents a 2.83% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Christopher C. Swenson sold 32,641 shares of the stock in a transaction on Tuesday, February 17th. The shares were sold at an average price of $0.97, for a total value of $31,661.77. Following the completion of the transaction, the insider owned 2,022,742 shares of the company's stock, valued at $1,962,059.74. The trade was a 1.59% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 224,887 shares of company stock valued at $211,700. 51.54% of the stock is owned by insiders.

Institutional Trading of Nerdy

Institutional investors have recently modified their holdings of the business. Bank of America Corp DE raised its position in Nerdy by 41.9% during the 4th quarter. Bank of America Corp DE now owns 60,565 shares of the company's stock worth $98,000 after purchasing an additional 17,889 shares during the last quarter. AQR Capital Management LLC grew its position in shares of Nerdy by 67.9% in the 1st quarter. AQR Capital Management LLC now owns 37,660 shares of the company's stock valued at $53,000 after buying an additional 15,234 shares during the last quarter. Strs Ohio bought a new stake in shares of Nerdy in the 1st quarter valued at about $56,000. Franklin Resources Inc. increased its stake in shares of Nerdy by 0.4% in the second quarter. Franklin Resources Inc. now owns 3,650,255 shares of the company's stock valued at $5,950,000 after buying an additional 15,674 shares during the period. Finally, Marshall Wace LLP acquired a new stake in shares of Nerdy in the second quarter valued at about $221,000. Institutional investors own 39.10% of the company's stock.

Nerdy Company Profile

Nerdy, Inc NYSE: NRDY is an American education technology company that operates a live online learning marketplace. Through its flagship Varsity Tutors platform, the company connects students, professionals and lifelong learners with a network of thousands of educators for personalized one-on-one tutoring, group classes and test preparation. The platform leverages proprietary matching algorithms to pair learners with instructors based on subject expertise, learning style and scheduling preferences.

Founded in 2007 by entrepreneur Chuck Cohn, Nerdy began as Varsity Tutors in Washington, DC, before establishing its headquarters in St.

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