SAN FRANCISCO—Mitchell Ann, the Chief Financial Officer of Allbirds , Inc. (NASDAQ:BIRD), recently acquired 600 shares of the company's Class A Common Stock. The transaction, which took place on November 11, 2024, was valued at approximately $4,896, with each share priced at $8.16.
Following this acquisition, Ann holds a total of 62,477 shares. This total includes 1,651 shares acquired through the Allbirds, Inc. 2021 Employee Stock Purchase Plan. The transaction was conducted directly by Ann, reflecting her ongoing investment in the sustainable footwear company.
Allbirds, known for its eco-friendly products, is headquartered in San Francisco, California. This stock acquisition signals continued confidence in the company's direction and growth potential.
In other recent news, footwear company Allbirds has released its Q3 2024 financial results, revealing a net revenue of $43 million. Despite lower unit sales and a transition to a distributor model in certain regions, the company managed to increase its gross margin to 44.4%. The company's product portfolio was expanded with the addition of two new offerings, the Tree Glider and Lounger Lift.
Allbirds also announced adjustments to its full-year revenue guidance, now expected to lie between $187 million and $193 million, with an anticipated adjusted EBITDA loss of $75 million to $71 million. The company also revealed plans to enter Latin America and Europe through international distributor agreements starting from mid-2025.
Despite store closures and revenue decline due to transitions, the company's gross margin improved due to lower freight costs and a healthier inventory position. The company maintains strong cash reserves of $79 million, positioning it well for future endeavors. Finally, Allbirds is optimistic about growth from new product launches and strategic marketing efforts.
InvestingPro Insights
Mitchell Ann's recent acquisition of Allbirds shares comes at a time when the company faces significant challenges. According to InvestingPro data, Allbirds' revenue for the last twelve months as of Q3 2024 stood at $205.9 million, with a concerning revenue decline of 22.67% during the same period. This decline is further emphasized by the company's negative operating income of $99 million, indicating substantial operational difficulties.
Despite these challenges, InvestingPro Tips highlight that Allbirds holds more cash than debt on its balance sheet, which could provide some financial flexibility. Additionally, the stock is currently trading at a low revenue valuation multiple, potentially presenting an opportunity for investors who believe in the company's long-term prospects.
It's worth noting that Allbirds' stock has experienced significant volatility, with a 25.4% decline in the past week alone. This volatility aligns with an InvestingPro Tip suggesting that the stock's RSI indicates oversold territory, which might interest value-oriented investors.
For those seeking a more comprehensive analysis, InvestingPro offers 17 additional tips for Allbirds, providing deeper insights into the company's financial health and market position.
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