JPMorgan Chase & Co. has increased its investment in ACV Auctions Inc. (NASDAQ: ACVA) by acquiring an additional 15,871 shares during the second quarter of 2023. This move raised the total number of shares held by the institutional investor to 3,969,553, representing a 0.4% increase in its stake. As of the end of the reporting period, JPMorgan held a value of approximately $64.4 million in ACV Auctions, accounting for 2.32% of the company’s stock.
Several other institutional investors have also adjusted their positions in ACV Auctions recently. For instance, Entropy Technologies LP established a new stake worth around $559,000 during the same quarter. The Swiss National Bank increased its holdings by 4.3%, acquiring an additional 12,700 shares for a total of $5.02 million. Furthermore, Handelsbanken Fonder AB raised its stake by 6.6%, now owning 46,900 shares valued at $761,000, while Dynamic Technology Lab Private Ltd. saw a significant increase of 111.7%, acquiring 32,124 shares.
Senvest Management LLC made a notable expansion, lifting its position by 144.8% to own 1,689,290 shares, valued at approximately $27.4 million. Collectively, institutional investors own about 88.55% of ACV Auctions’ stock.
Insider Transactions Reflect Confidence
In related developments, Director Brian Hirsch purchased 80,571 shares of ACV Auctions on November 14, 2023, at an average price of $6.21 per share, totaling $500,345.91. This acquisition increased his ownership to 99,678 shares, valued at around $619,000, marking a substantial 421.68% increase in his position.
Additionally, Director Robert P. Goodman acquired 912,408 shares on November 10, 2023, at an average cost of $5.61 per share, amounting to $5.12 million. Following this transaction, Goodman’s total ownership stood at 912,408 shares, valued at the same amount. Corporate insiders currently hold 2.90% of the company’s stock.
Stock Performance and Market Overview
ACV Auctions’ shares opened at $7.79 on the most recent trading day, reflecting a 0.8% increase. The company has a market capitalization of $1.34 billion and maintains a debt-to-equity ratio of 0.28, with both a current and quick ratio of 1.56. Over the past year, the stock has fluctuated between a low of $4.95 and a high of $23.30.
The company recently reported its quarterly earnings on November 5, 2023, revealing earnings per share of $0.07, consistent with analyst expectations. ACV Auctions recorded a revenue of $199.56 million, slightly below the forecast of $200.26 million. Notably, this reflects a 16.5% increase in revenue year-over-year, while the firm faced a negative net margin of 12.51% and a negative return on equity of 12.94%.
Looking ahead, ACV Auctions has set its guidance for the fourth quarter of 2025 at expected earnings per share of -0.07 for the current fiscal year.
ACV Auctions operates a digital marketplace specializing in online auctions for wholesale vehicles, providing a platform that facilitates transactions between buyers and sellers. Its services include a pre-screening process for vehicles, real-time transportation quotes, short-term financing options, and seller assurance services.
As the marketplace continues to evolve, analysts and investors alike watch closely for further developments in ACV Auctions’ growth trajectory.
