rewrite this title and make it good for SEOAcv Auctions director Robert Goodman sells shares worth $4.1 million By Investing.com

BUFFALO, N.Y.—Robert P. Goodman, a director at ACV Auctions Inc. (NASDAQ:ACVA), has reported the sale of a significant amount of the company’s Class A Common Stock. According to the recent SEC filing, Goodman sold a total of 175,371 shares through entities Bessemer Venture Partners IX L.P., Bessemer Venture Partners IX Institutional L.P., and 15 Angels III LLC. The shares were sold at a weighted average price of $22.40, with transaction prices ranging from $22.01 to $22.80, resulting in a total sale value of approximately $4.1 million.

The transactions were executed on November 26, 2024. Despite the sales, Goodman retains indirect ownership of additional shares through various entities, although he disclaims beneficial ownership except to the extent of his pecuniary interest. Post-transaction, Goodman continues to hold shares directly and indirectly through entities such as NB Group, LLC and Katama Point LLC.

In other recent news, ACV Auctions Inc. has seen robust growth, with Citi highlighting the company’s strong dealer traction and increasing its stock price target from $22.00 to $27.00. This adjustment follows ACV Auctions’ impressive third-quarter performance, with a 32% year-over-year increase in Auction Marketplace Units Sold and a 19% year-over-year organic growth. The company also reported a 44% increase in third-quarter revenue, reaching a record $171 million, and a significant rise in vehicle sales of 32%, with 198,000 units sold.

ACV Auctions’ new offerings such as ClearCar, ACV Max, and Self-Inspection are gaining traction, especially as Commercial Wholesale has grown to represent over 5% of the unit mix in the third quarter across 10 locations. Despite potential seasonal dips due to post-hurricane impacts, Citi remains confident in ACV Auctions’ ability to increase transaction share and expand margins.

Furthermore, ACV Auctions exceeded expectations with its adjusted EBITDA, which came in at $11 million, surpassing guidance by 38%. This has led the company to raise its full-year revenue guidance to between $630 million and $634 million. Despite the impact of recent hurricanes on the fourth quarter’s revenue and EBITDA estimates, management, backed by Citi’s analysis, remains confident in meeting their adjusted EBITDA targets for 2024. These are the recent developments from ACV Auctions.

InvestingPro Insights

The recent stock sale by ACV Auctions Inc. (NASDAQ:ACVA) director Robert P. Goodman comes at a time when the company’s stock has shown strong performance. According to InvestingPro data, ACVA has delivered a robust 50.57% total return over the past year, with an impressive 27.51% return in just the last month. This upward momentum is reflected in the stock’s current price, which stands at 96.89% of its 52-week high.

Despite the positive stock performance, InvestingPro Tips highlight that ACVA is not currently profitable over the last twelve months and is trading at a high revenue valuation multiple. However, analysts expect the company to turn profitable this year, which could explain the recent stock appreciation.

The company’s financial health appears solid, with InvestingPro Tips noting that ACVA holds more cash than debt on its balance sheet and its liquid assets exceed short-term obligations. This strong financial position may provide confidence to investors despite the current lack of profitability.

For investors seeking a more comprehensive analysis, InvestingPro offers 13 additional tips for ACVA, providing a deeper understanding of the company’s financial position and market outlook.

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