Trupanion (NASDAQ:TRUP) Trading 6.1% Higher - Time to Buy?

Key Points

• Trupanion shares rose 6.1% on Monday, trading as high as $27.33 after closing at $25.83, though volume was below average.
• The company recently beat quarterly earnings expectations, reporting EPS of $0.11 versus $0.07 expected and revenue of $384.05 million, up 12.3% year over year.
• Wall Street remains cautious overall: analysts have a Hold consensus rating with an average target price of $41.50, while some insiders have recently sold shares.

Trupanion, Inc. (NASDAQ:TRUP - Get Free Report) shares shot up 6.1% on Monday . The company traded as high as $27.33 and last traded at $27.41. Approximately 186,882 shares traded hands during mid-day trading, a decline of 56% from the average daily volume of 423,422 shares. The stock had previously closed at $25.83.

Analyst Upgrades and Downgrades

Several research firms have weighed in on TRUP. Stifel Nicolaus set a $28.00 price target on shares of Trupanion in a research note on Friday, June 26th. Weiss Ratings reiterated a "sell (d+)" rating on shares of Trupanion in a report on Monday, June 1st. Cantor Fitzgerald lowered their target price on Trupanion from $42.00 to $34.00 and set a "neutral" rating for the company in a research note on Thursday, April 9th. Finally, Bank of America dropped their target price on Trupanion from $63.00 to $59.00 and set a "buy" rating for the company in a report on Tuesday, April 14th. Two analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Trupanion presently has an average rating of "Hold" and an average target price of $41.50.

Trupanion Stock Up 6.1%

The stock's fifty day moving average is $23.70 and its 200 day moving average is $27.63. The company has a current ratio of 1.73, a quick ratio of 1.73 and a debt-to-equity ratio of 0.25. The company has a market capitalization of $1.20 billion, a P/E ratio of 46.41 and a beta of 1.39.

Trupanion (NASDAQ:TRUP - Get Free Report) last announced its quarterly earnings results on Thursday, April 30th. The financial services provider reported $0.11 earnings per share for the quarter, beating the consensus estimate of $0.07 by $0.04. The business had revenue of $384.05 million during the quarter, compared to analysts' expectations of $379.77 million. Trupanion had a net margin of 1.74% and a return on equity of 6.87%. The firm's revenue for the quarter was up 12.3% compared to the same quarter last year. During the same quarter in the prior year, the company posted ($0.03) EPS. Research analysts predict that Trupanion, Inc. will post 0.54 EPS for the current fiscal year.

Insider Activity at Trupanion

In related news, EVP Steve Weinrauch sold 6,674 shares of the business's stock in a transaction dated Friday, June 5th. The stock was sold at an average price of $22.00, for a total transaction of $146,828.00. Following the transaction, the executive vice president owned 78,062 shares in the company, valued at $1,717,364. The trade was a 7.88% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Fawwad Qureshi sold 6,177 shares of the company's stock in a transaction that occurred on Wednesday, May 27th. The shares were sold at an average price of $22.18, for a total value of $137,005.86. Following the transaction, the chief financial officer directly owned 2,081 shares of the company's stock, valued at $46,156.58. The trade was a 74.80% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 17,807 shares of company stock worth $395,482 in the last 90 days. Company insiders own 5.58% of the company's stock.

Hedge Funds Weigh In On Trupanion

A number of hedge funds and other institutional investors have recently made changes to their positions in TRUP. Kelleher Financial Advisors bought a new stake in Trupanion in the third quarter valued at $74,000. Kemnay Advisory Services Inc. purchased a new position in Trupanion during the 4th quarter valued at $64,000. Parallel Advisors LLC raised its holdings in Trupanion by 1,831.9% in the 1st quarter. Parallel Advisors LLC now owns 1,816 shares of the financial services provider's stock worth $47,000 after purchasing an additional 1,722 shares in the last quarter. Advisory Services Network LLC bought a new position in Trupanion in the 3rd quarter worth $160,000. Finally, Tidal Investments LLC purchased a new stake in shares of Trupanion in the 2nd quarter worth about $212,000.

Trupanion Company Profile

Trupanion, Inc is a pet medical insurance company that provides comprehensive insurance coverage for cats and dogs. The company's core offering is a single, customizable medical policy designed to cover veterinary diagnostic tests, surgeries, hospital stays and congenital or hereditary conditions. Trupanion seeks to streamline the claims process by offering direct payment options to participating veterinarians, reducing the need for upfront payments by pet owners.

Founded in 1999 by Darryl Rawlings and headquartered in Seattle, Washington, Trupanion began operations in the early 2000s and has grown its presence through both digital channels and partnerships with veterinary hospitals.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.