LiveRamp Holdings CTO sells shares worth nearly $150k

LiveRamp Holdings, Inc. (NYSE:RAMP) has reported that its Chief Technology Officer, Mohsin Hussain, sold 5,773 shares of company stock on August 30, 2024, in a transaction totaling approximately $149,982. The shares were sold at a weighted average price of $25.98, with individual sales prices ranging from $25.98 to $26.00.

The sale was disclosed in a filing with the Securities and Exchange Commission. Following the transaction, Hussain continues to own 73,614 shares of LiveRamp Holdings, a leading company in computer processing and data preparation services. The stock sale by the CTO is of interest to investors who closely monitor insider transactions as indicators of executive confidence in the company's prospects.

LiveRamp Holdings, originally known as Acxiom Holdings, Inc., has undergone several name changes since its inception, with its most recent transition to LiveRamp Holdings reflecting its focus on data connectivity and identity resolution services. The company, incorporated in Delaware, has its headquarters in San Francisco, California.

Investors and stakeholders can request additional details about the sale from the issuer, including the exact number of shares sold at each price point within the reported range. The filing also confirmed that the shares were directly owned by Hussain, indicating a personal stake in the company's performance.

This transaction comes as part of the regular disclosure of stock trades made by company insiders, providing transparency to the market and allowing investors to gauge the actions of those with in-depth knowledge of the company. Hussain's role as CTO places him in a pivotal position to influence the technological direction and capabilities of LiveRamp Holdings.

In other recent news, LiveRamp, a data collaboration platform, has increased its share repurchase program from $1.1 billion to $1.3 billion, extending the program's expiration to December 31, 2026. The company has repurchased $35 million worth of stock in the current fiscal year, with $19 million bought back in the ongoing fiscal second quarter. The increased authorization leaves LiveRamp with approximately $322 million for stock repurchases through 2026. CEO Scott Howe highlighted the company's financial capacity to leverage the current share price drop, emphasizing a robust cash balance and projected fiscal year free cash flow.

LiveRamp also reported strong first-quarter results for Fiscal 2025, surpassing market expectations with double-digit growth in both revenue and annual recurring revenue (ARR). The company's revenue reached $176 million, and operating income stood at $27 million. LiveRamp's Data Marketplace segment saw a growth of 23%, in line with the US digital advertising market's trend. The company revised its revenue guidance for FY'25 upwards, now expecting between $715 million and $735 million. Despite a few deals being delayed due to client companies' layoffs and macroeconomic uncertainty, LiveRamp maintains a strong relationship with Google (NASDAQ:GOOGL) Ads and sees positive revenue opportunities from its partnership with Oracle (NYSE:ORCL).

InvestingPro Insights

As investors digest the news of LiveRamp Holdings, Inc.'s (NYSE:RAMP) Chief Technology Officer's stock sale, it's important to consider the broader financial context in which this transaction occurs. According to InvestingPro data, LiveRamp Holdings currently has a market capitalization of approximately $1.69 billion. The company's price-to-earnings (P/E) ratio stands at a high 282.78, which may suggest investor optimism about future earnings growth despite its current valuation.

InvestingPro Tips highlight that LiveRamp Holdings is trading at a high earnings multiple, which aligns with the adjusted P/E ratio for the last twelve months as of Q1 2025 being 140.69. This could indicate that the market has high expectations for the company's future profitability. Moreover, the company has been actively managing its capital, as evidenced by management's aggressive share buyback strategy. Additionally, LiveRamp Holdings holds more cash than debt on its balance sheet, providing a solid liquidity position which is further supported by the fact that its liquid assets exceed short-term obligations.

On the performance front, the company has experienced a revenue growth of 12.02% over the last twelve months as of Q1 2025, with a gross profit margin of 72.77%, showing efficient operations and strong profitability at the gross level. However, the stock has taken a significant hit over the last six months, with a price total return of -25.56%, which may reflect market adjustments or investor reactions to broader economic conditions.

For those interested in further analysis, InvestingPro offers additional insights, including more detailed financial metrics and analyst forecasts, which can be found at: https://www.investing.com/pro/RAMP. There are currently 11 more InvestingPro Tips available for LiveRamp Holdings, which can provide investors with a deeper understanding of the company's financial health and market position.

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