Taboola director Limon Zvi purchases $493,722 in company shares

Published 28/02/2025, 23:08
© Taboola PR

In recent activity at Taboola.com Ltd. (NASDAQ:TBLA), Director Limon Zvi executed a significant purchase of company shares. On February 27, Zvi acquired 168,506 ordinary shares at a weighted average price of $2.93 per share, resulting in a total transaction value of approximately $493,722. This purchase increases Zvi’s holdings to 2,987,383 shares, with a portion held indirectly through a trust. The purchase comes as the stock trades near its 52-week low, having declined about 24% in the past week. According to InvestingPro analysis, the stock appears undervalued based on its Fair Value assessment.

The shares were bought in multiple trades, with prices ranging from $2.91 to $2.96. The transaction reflects Zvi’s continued confidence in Taboola, a company known for its digital advertising and content discovery platform. This acquisition comes amidst a broader context of market interest in Taboola’s strategic developments and financial performance. InvestingPro data shows management has been actively buying back shares, while the company maintains a strong balance sheet with more cash than debt. Get deeper insights into insider trading patterns and 15+ additional ProTips with an InvestingPro subscription.

In other recent news, Taboola reported its fourth-quarter earnings for 2024, revealing a slight miss on earnings per share (EPS) compared to market expectations, with an EPS of $0.10 falling short of the $0.11 forecast. Revenue also came in below expectations at $410 million versus the anticipated $476.56 million. For the full year, Taboola’s revenues reached $1.77 billion, with a 25% increase in Ex-TAC Gross Profit, reaching $667.5 million. Adjusted EBITDA saw a significant growth of 104%, totaling $200.9 million, while free cash flow exceeded expectations, reaching $149.2 million.

Benchmark analyst Mark Zgutowicz revised the price target for Taboola shares, lowering it to $4.50 from $5.00, but maintained a Buy rating. In contrast, B.Riley analysts downgraded Taboola shares from a Buy to a Neutral stance, adjusting the price target to $4.00. Citizens JMP analysts also downgraded Taboola stock to Market Perform from Market Outperform, following the company’s admission that its primary market in native advertising is smaller than previously estimated. The company launched a new performance advertising platform, "Realize," aiming to tap into a $55 billion market opportunity and expand beyond its traditional native advertising segment.

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