Alkami Technology, Inc. (NASDAQ:ALKT) Chief Financial Officer W. Bryan Hill recently executed a series of stock transactions, according to an SEC filing. On November 21, Hill sold a total of 110,250 shares of Alkami's common stock, amounting to approximately $4.26 million. The shares were sold at prices ranging from $38.0283 to $38.9541 per share.
Additionally, Hill exercised stock options to acquire 110,250 shares at a price of $15.46 per share, totaling $1,704,465. Following these transactions, Hill holds 471,403 shares directly.
In other recent news, Alkami Technology, a cloud-based digital banking solutions provider, has initiated a secondary offering of 7.5 million shares, with the proceeds going entirely to the selling stockholders. This offering was made possible by an effective shelf registration statement filed with the Securities and Exchange Commission. Meanwhile, the company has reported a strong Q3 financial performance, with a significant 27% increase in revenue to $85.9 million and an adjusted EBITDA of $8.3 million. KeyBanc Capital Markets, in response to these developments, raised its price target for Alkami Technology to $45 while maintaining an Overweight rating. Alkami Technology also reported nine new digital banking wins and secured 14 renewals. Looking ahead, the company forecasts Q4 2024 revenue between $89 million and $90 million, with full-year guidance of $333.2 million to $334.2 million. Despite a favorable environment for mergers and acquisitions, Alkami has not made any recent acquisitions.
InvestingPro Insights
Alkami Technology's recent stock performance aligns with the insider trading activity reported. According to InvestingPro data, ALKT has seen a significant 13.25% return over the last week and an impressive 80.12% return over the past year. The stock is currently trading near its 52-week high, with its price at 98.38% of the highest point reached in the last year.
These strong returns are supported by the company's robust revenue growth. InvestingPro data shows that Alkami's revenue grew by 26.73% in the last twelve months, reaching $315.56 million. This growth trajectory is further bolstered by an InvestingPro Tip indicating that 6 analysts have revised their earnings upwards for the upcoming period, suggesting positive expectations for the company's financial performance.
Despite the strong stock performance and revenue growth, it's worth noting that Alkami is not currently profitable, with a negative operating income of $48.86 million in the last twelve months. However, another InvestingPro Tip reveals that analysts predict the company will be profitable this year, which could explain the optimistic market sentiment and the insider's decision to exercise options and sell shares at current prices.
For investors seeking a more comprehensive analysis, InvestingPro offers 10 additional tips for Alkami Technology, providing a deeper understanding of the company's financial health and market position.
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