TriplePoint’s president buys shares worth nearly $250k By Investing.com

President of TriplePoint Venture Growth BDC Corp. (NYSE:), Sajal Srivastava, has recently made a substantial purchase of the company’s common stock, signaling a vote of confidence in the business development company’s prospects. The transactions, which took place over two consecutive days, involved the acquisition of a total of 35,381 shares, representing a nearly $250,000 investment in the company.

On the first day, Srivastava acquired 11,298 shares at a price of $7.0199 each. The buying spree continued into the next day with an additional 22,759 shares purchased at $7.0867 per share, and 1,324 shares at $7.0923 per share. The purchases were made directly, as noted in the SEC filing, with the price per share paid by Srivastava ranging from $7.0199 to $7.0923.

Following these transactions, Srivastava’s ownership in TriplePoint stands significantly increased, although the filing includes a footnote indicating that the total shares owned also comprise those received through the company’s dividend reinvestment plan. This detail underscores the additional ways in which Srivastava’s stake in the company has grown over time.

Investors often monitor insider buying as it can be indicative of an executive’s belief in the company’s future performance. Srivastava’s role as President and his decision to invest a considerable amount in TriplePoint’s stock may be viewed as a positive signal about the company’s financial health and future outlook.

TriplePoint Venture Growth BDC Corp., based in Menlo Park, California, provides financing solutions to venture growth stage companies in technology, life sciences, and other high growth industries. As of the latest transactions, the President’s actions suggest a strong alignment with the company’s growth trajectory and commitment to its long-term success.

In other recent news, TriplePoint Venture Growth BDC Corporation encountered a series of significant developments. Piper Sandler, a notable investment firm, revised its outlook on TriplePoint, lowering the stock price target to $8.00 from $9.50, while maintaining a neutral rating. This adjustment followed TriplePoint’s earnings miss influenced by decreased interest income and increased operating expenses. Furthermore, TriplePoint’s portfolio shrank for the fifth consecutive quarter as prepayments surpassed new originations.

The company also reduced its quarterly dividend to $0.30 from $0.40, with its net investment income for the second quarter of 2024 reported at $0.33. Despite the challenges, TriplePoint significantly improved its liquidity and leverage position, according to Piper Sandler. However, growth expectations remain subdued compared to historical levels.

In TriplePoint’s recent earnings call, the company highlighted increased investment activity, improved operating performance among portfolio companies, and a strengthened fundraising environment. It also announced the retirement of CFO Chris Mathieu, with Matt Galiani stepping in as Interim CFO. These recent developments reflect the company’s active management of its portfolio and financials amidst volatile market conditions.

InvestingPro Insights

In the wake of TriplePoint Venture Growth BDC Corp.’s (NYSE:TPVG) President Sajal Srivastava’s recent purchase of company stock, it’s worth noting the broader financial context in which this transaction has occurred. According to InvestingPro data, TPVG currently has a market capitalization of approximately $283.26 million and is trading near its 52-week low. Despite a challenging period, with revenue showing a decline of 6.84% over the last twelve months as of Q2 2024, the company continues to pay a significant dividend to shareholders, boasting a high dividend yield of 16.95%.

InvestingPro Tips highlight the stock’s current position in oversold territory, as indicated by its Relative Strength Index (RSI). This could imply potential for a rebound, which may be what Srivastava is anticipating. Furthermore, while analysts have revised their earnings expectations downwards for the upcoming period, the company’s solid track record of maintaining dividend payments for 11 consecutive years and the fact that its liquid assets exceed short-term obligations provide some reassurance about its financial stability.

Investors considering TriplePoint as an investment opportunity can find additional insights on InvestingPro, with over 10 more InvestingPro Tips available, including analyses of stock price volatility and free cash flow yield. For more detailed analysis and metrics that could help in making a well-informed decision, visit https://www.investing.com/pro/TPVG.

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