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Harold J. Schwartz, President of Data Storage Corp (NASDAQ:DTST), recently sold shares of the company's common stock. The company's stock has shown remarkable strength, gaining nearly 19% in the past week and 74% over the last year, according to InvestingPro data. According to a filing with the Securities and Exchange Commission, Schwartz sold 1,593 shares on January 2, 2025, at a price of $4.23 per share, totaling $6,738. Following this transaction, Schwartz holds 860,318 shares directly. The sale was made to satisfy tax withholding obligations. The $34.93 million market cap company maintains strong financial health with a current ratio of 4.8 and more cash than debt on its balance sheet. InvestingPro subscribers have access to 11 additional key insights and a comprehensive Pro Research Report, offering deeper analysis of DTST's financial position and growth prospects.
In other recent news, Data Storage Corporation reported a minor dip in third-quarter revenues for fiscal year 2024, with revenues amounting to $5.8 million, a 3% decrease year-over-year. This was primarily attributed to a decline in one-time equipment sales. However, the company has seen a surge in recurring subscription revenue and an improved gross profit margin of 43.2%, up from 38.9% the previous year.
Data Storage Corporation has also secured significant contracts in the insurance, healthcare, and education sectors, fueling their optimism for growth and profitability in the coming year. Furthermore, the company's CloudFirst subsidiary is projected to generate over $20 million in recurring revenue for 2025.
The company ended Q3 with $11.9 million in cash and marketable securities, with no long-term debt. They also reported a 29% increase in infrastructure and disaster recovery cloud services and an adjusted EBITDA increase, despite a decrease in net income for the quarter. These are the latest developments in Data Storage Corporation's financial performance.
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