On June 8, 2023, CEO and 10% Owner Charles Cohn purchased 25,000 shares of Nerdy Inc (NRDY, Financial), an online learning platform that connects students with live experts for personalized learning experiences. This recent acquisition adds to Cohn's already significant stake in the company, further demonstrating his confidence in Nerdy Inc's future prospects.
Who is Charles Cohn of Nerdy Inc?
Charles Cohn is the CEO and a 10% owner of Nerdy Inc. He has been instrumental in the company's growth and success since its inception. With a strong background in technology and education, Cohn has led Nerdy Inc to become a leading online learning platform that offers personalized learning experiences to students across various subjects and age groups.
Nerdy Inc's Business Description
Nerdy Inc is an online learning platform that connects students with live experts for personalized learning experiences. The company's mission is to transform the way people learn by leveraging technology to provide access to high-quality, personalized education for everyone. Nerdy Inc offers a wide range of services, including one-on-one tutoring, group classes, and self-paced courses, covering various subjects such as math, science, language, and test preparation. The platform uses advanced algorithms to match students with the best experts based on their learning needs and preferences, ensuring a highly effective and engaging learning experience.
Analysis of Insider Buy/Sell and Relationship with Stock Price
Over the past year, Charles Cohn has purchased a total of 5,904,759 shares and sold 0 shares. This indicates a strong conviction in the company's future prospects and growth potential. The insider transaction history for Nerdy Inc shows that there have been 10 insider buys in total over the past year, while there have been 14 insider sells over the same timeframe.
The stock price of Nerdy Inc has experienced fluctuations over the past year, but the overall trend of insider buying suggests that insiders believe the company's stock is undervalued and has the potential for growth. On the day of Charles Cohn's recent purchase, shares of Nerdy Inc were trading for $3.11 apiece, giving the stock a market cap of $294.059 million.
Valuation
To determine the intrinsic value of Nerdy Inc's stock, we can consider the GF Value, which takes into account historical multiples, a GuruFocus adjustment factor, and future estimates of business performance from Morningstar analysts. The GF Value is calculated based on the following three factors:
- Historical multiples (price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow) that the stock has traded at.
- A GuruFocus adjustment factor based on the company’s past returns and growth.
- Future estimates of business performance from Morningstar analysts.
Considering these factors, the GF Value suggests that Nerdy Inc's stock may be undervalued at its current price of $3.11 per share. This, combined with the recent insider buying activity, indicates that now may be an opportune time for investors to consider adding Nerdy Inc to their portfolios.
In conclusion, the recent insider buying activity by CEO Charles Cohn, along with the overall trend of insider purchases over the past year, suggests that insiders have confidence in Nerdy Inc's future growth potential. With a market cap of $294.059 million and a potentially undervalued stock price, investors may want to consider Nerdy Inc as a potential addition to their portfolios.
