Insider Buying: SmartRent, Inc. (NYSE:SMRT) CEO Buys 120,000 Shares of Stock

Key Points

• SmartRent CEO Frank Martell purchased 120,000 shares of the company at $1.35 per share, increasing his holdings by 19.10% to approximately 748,204 shares valued at $1,010,075.40.
• The company has a share repurchase program allowing for buybacks up to $50 million, indicating leadership's belief that the stock is undervalued.
• SmartRent recently reported a quarterly loss with an EPS of ($0.06), missing analysts’ expectations of ($0.04), along with revenues of $38.31 million, below the estimated $38.85 million.

SmartRent, Inc. (NYSE:SMRT - Get Free Report) CEO Frank Martell purchased 120,000 shares of the firm's stock in a transaction that occurred on Friday, August 15th. The stock was bought at an average cost of $1.35 per share, for a total transaction of $162,000.00. Following the completion of the purchase, the chief executive officer directly owned 748,204 shares in the company, valued at $1,010,075.40. This represents a 19.10% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link.

Frank Martell also recently made the following trade(s):

• On Tuesday, August 12th, Frank Martell acquired 130,000 shares of SmartRent stock. The stock was acquired at an average price of $1.37 per share, with a total value of $178,100.00.
• On Monday, August 11th, Frank Martell acquired 100,000 shares of SmartRent stock. The stock was acquired at an average price of $1.26 per share, with a total value of $126,000.00.
• On Friday, August 8th, Frank Martell acquired 150,000 shares of SmartRent stock. The stock was acquired at an average price of $1.25 per share, with a total value of $187,500.00.

SmartRent Stock Up 12.5%

SMRT stock traded up $0.17 during midday trading on Monday, hitting $1.49. The company's stock had a trading volume of 4,381,961 shares, compared to its average volume of 1,944,170. SmartRent, Inc. has a 52-week low of $0.67 and a 52-week high of $1.99. The firm has a market capitalization of $279.28 million, a P/E ratio of -3.91 and a beta of 1.82. The firm has a 50-day simple moving average of $1.05 and a 200-day simple moving average of $1.06.

SmartRent (NYSE:SMRT - Get Free Report) last released its quarterly earnings data on Wednesday, August 6th. The company reported ($0.06) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.04) by ($0.02). SmartRent had a negative return on equity of 14.94% and a negative net margin of 46.54%. The firm had revenue of $38.31 million for the quarter, compared to analysts' expectations of $38.85 million. On average, sell-side analysts expect that SmartRent, Inc. will post -0.14 earnings per share for the current fiscal year.

SmartRent declared that its Board of Directors has initiated a share repurchase program on Wednesday, May 7th that permits the company to buyback $50.00 million in outstanding shares. This buyback authorization permits the company to purchase up to 27.7% of its stock through open market purchases. Stock buyback programs are usually an indication that the company's leadership believes its stock is undervalued.

Analyst Upgrades and Downgrades

A number of research firms have commented on SMRT. Cantor Fitzgerald upgraded shares of SmartRent to a "hold" rating in a report on Tuesday, April 22nd. Keefe, Bruyette & Woods raised their price target on shares of SmartRent from $1.30 to $1.45 and gave the stock a "market perform" rating in a report on Tuesday, August 12th. Zacks Research upgraded shares of SmartRent to a "hold" rating in a report on Friday, August 8th. Finally, Wall Street Zen upgraded shares of SmartRent from a "sell" rating to a "hold" rating in a report on Sunday.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the company. Hudson Bay Capital Management LP purchased a new stake in shares of SmartRent in the second quarter valued at about $47,000. Tower Research Capital LLC TRC lifted its stake in shares of SmartRent by 570.2% during the second quarter. Tower Research Capital LLC TRC now owns 95,132 shares of the company's stock valued at $94,000 after buying an additional 80,938 shares during the period. Engineers Gate Manager LP lifted its stake in shares of SmartRent by 43.6% during the second quarter. Engineers Gate Manager LP now owns 79,923 shares of the company's stock valued at $79,000 after buying an additional 24,250 shares during the period. Bridgeway Capital Management LLC lifted its stake in shares of SmartRent by 100.0% during the second quarter. Bridgeway Capital Management LLC now owns 200,000 shares of the company's stock valued at $198,000 after buying an additional 100,000 shares during the period. Finally, Brevan Howard Capital Management LP purchased a new position in SmartRent during the second quarter worth approximately $308,000. 59.42% of the stock is currently owned by institutional investors and hedge funds.

SmartRent Company Profile

SmartRent, Inc, an enterprise software company, provides an integrated smart home operating system to residential property owners and operators, homebuilders, institutional home buyers, developers, and residents in the United States. The company's products and solutions include smart apartments and homes, access control for buildings, common areas, and rental units, asset protection and monitoring, parking management, self-guided tours, and community and resident Wi-Fi.