Symbotic’s chief customer officer sells $45,370 in stock

Symbotic Inc. (NASDAQ:SYM), a $10.8 billion market cap company currently trading at $18.23, recently reported that Michael David Dunn, the company’s Chief Customer Officer, executed a series of stock transactions involving the company’s Class A common stock. According to InvestingPro data, the stock is currently trading near its 52-week low of $17.11, suggesting potential value opportunity based on Fair Value analysis. On April 2, Dunn sold 2,040 shares at prices ranging from $22.15 to $22.31, totaling approximately $45,370. This sale was primarily to cover tax obligations related to the vesting of restricted stock units, as mandated by the company’s equity incentive plans.

In addition to the sale, Dunn acquired 5,498 shares on April 1 through the conversion of restricted stock units, which were converted on a one-for-one basis into Class A common stock. This transaction did not involve any cash outlay as the price per share was recorded at $0. The company has demonstrated strong growth potential, with InvestingPro analysis showing impressive revenue growth of 44% in the last twelve months and analysts expecting continued sales growth this year.

Earlier, on February 28, Dunn acquired 513 shares at $16.32 each, under the Symbotic Inc. 2022 Employee Stock Purchase Plan, totaling $8,372. Following these transactions, Dunn holds 23,822 shares indirectly through the Dunn Family Holding LLC.

These transactions reflect Dunn’s ongoing management of his equity position in Symbotic, aligning with company policies and personal financial planning.

In other recent news, Symbotic Inc. reported first-quarter earnings for fiscal year 2025, revealing a revenue of $486.7 million, which fell short of the consensus estimate of $494.03 million. The company’s guidance for the second quarter suggests revenues between $510-530 million, below the consensus of $533.3 million, leading to a downgrade by Raymond (NSE:RYMD) James from Outperform to Market Perform. Despite this, DA Davidson and Oppenheimer maintained their positive outlooks, with both firms setting a price target of $35.00 and highlighting the company’s strong technological capabilities and financial position. Needham also maintained a Buy rating but adjusted its price target to $32, acknowledging the challenges posed by Symbotic’s acquisition of Walmart (NYSE:WMT)’s Advanced Systems and Robotics business.

Symbotic’s first-quarter results showed a year-over-year revenue increase of 35%, although it missed the midpoint of its guidance. The company’s adjusted EBITDA exceeded expectations due to improved gross margins, and analysts expect a 30%-35% revenue growth for the second quarter compared to the previous year. The company’s backlog remains substantial at $22.4 billion, providing visibility into future revenue streams. However, the slower-than-expected pace of system deployments and a flat backlog have raised concerns among some analysts.

Oppenheimer emphasized the positive aspects of Symbotic’s gross margin improvement and the potential for software revenue growth, while Raymond James highlighted the need for Symbotic to enhance its system deployment pace. The upcoming acquisition of Walmart’s robotics business is seen as a significant event that could impact Symbotic’s execution capabilities. Despite the challenges, analysts remain optimistic about Symbotic’s long-term growth prospects, supported by its technological advancements and strategic initiatives.

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