Olo Inc (NYSE:OLO), a company specializing in digital ordering and delivery solutions for multi-location restaurants, has reported an insider sell according to a recent SEC filing. The company's Chief Financial Officer, Peter Benevides, sold 18,885 shares of the company on March 6, 2024. The transaction was executed at an average price of $5.6 per share, resulting in a total sale amount of $105,756.
Over the past year, Peter Benevides has been active in the market, selling a total of 43,066 shares and making no purchases of the company's stock. This latest transaction continues the trend of insider selling at Olo Inc, with a total of 24 insider sells and no insider buys reported over the same period.
On the day of the insider's recent sale, Olo Inc's shares were trading at $5.6, giving the company a market capitalization of $905 million. The stock's trading price is significantly below the GuruFocus Value (GF Value) of $10.74, indicating a price-to-GF-Value ratio of 0.52. According to GuruFocus, this suggests that Olo Inc's stock might be a Possible Value Trap, and investors should think twice before making an investment decision.
The GF Value is a proprietary valuation metric developed by GuruFocus, which takes into account historical trading multiples such as the price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow. It also includes a GuruFocus adjustment factor based on the company's historical returns and growth, as well as future business performance estimates provided by Morningstar analysts.
The insider trend image above reflects the recent selling activity by insiders at Olo Inc, which may be of interest to current and potential investors as they evaluate the company's stock performance and insider sentiment.
The GF Value image provides a visual representation of Olo Inc's current stock price in relation to its estimated intrinsic value, offering another perspective for investors considering the company's valuation.
Investors and analysts often monitor insider selling as it can provide insights into an insider's perspective on the value of the company's stock. However, it is important to note that insider selling does not always indicate a lack of confidence in the company, as insiders may sell shares for various reasons, including personal financial planning and diversification.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
