Trupanion (NASDAQ:TRUP) Shares Gap Down After Earnings Miss

Trupanion, Inc. (NASDAQ:TRUP - Get Free Report)'s share price gapped down before the market opened on Thursday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $47.51, but opened at $40.45. Trupanion shares last traded at $37.62, with a volume of 523,279 shares traded.

The financial services provider reported $0.04 earnings per share for the quarter, missing analysts' consensus estimates of $0.06 by ($0.02). Trupanion had a negative net margin of 0.75% and a negative return on equity of 3.11%. The business had revenue of $337.31 million during the quarter, compared to analysts' expectations of $335.41 million.

Wall Street Analyst Weigh In

A number of analysts recently weighed in on the company. Northland Securities lifted their price target on Trupanion from $45.00 to $50.00 and gave the company a "market perform" rating in a research note on Thursday, October 31st. Stifel Nicolaus decreased their price target on Trupanion from $44.00 to $41.00 and set a "hold" rating on the stock in a research note on Thursday. Finally, Piper Sandler decreased their target price on Trupanion from $57.00 to $52.00 and set an "overweight" rating on the stock in a research report on Thursday. Two research analysts have rated the stock with a hold rating, four have given a buy rating and one has given a strong buy rating to the company's stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus target price of $46.60.

Insiders Place Their Bets

In other news, SVP Emily Dreyer sold 900 shares of the business's stock in a transaction on Monday, November 25th. The stock was sold at an average price of $54.55, for a total value of $49,095.00. Following the completion of the transaction, the senior vice president now directly owns 23,808 shares of the company's stock, valued at $1,298,726.40. The trade was a 3.64 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, CFO Fawwad Qureshi sold 9,867 shares of the business's stock in a transaction on Friday, November 29th. The stock was sold at an average price of $53.08, for a total value of $523,740.36. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 11,581 shares of company stock worth $615,159. 5.50% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Trupanion

A number of institutional investors have recently made changes to their positions in TRUP. SBI Securities Co. Ltd. acquired a new position in shares of Trupanion in the fourth quarter worth $25,000. Jones Financial Companies Lllp raised its holdings in shares of Trupanion by 71.7% in the fourth quarter. Jones Financial Companies Lllp now owns 570 shares of the financial services provider's stock worth $27,000 after acquiring an additional 238 shares during the last quarter. Quest Partners LLC acquired a new position in Trupanion in the third quarter valued at $37,000. Quarry LP acquired a new position in Trupanion in the fourth quarter valued at $39,000. Finally, Wilmington Savings Fund Society FSB acquired a new position in Trupanion in the third quarter valued at $54,000.

Trupanion Price Performance

The stock has a market capitalization of $1.40 billion, a price-to-earnings ratio of -143.26, a price-to-earnings-growth ratio of 8.29 and a beta of 1.60. The company has a 50 day moving average of $48.04 and a 200 day moving average of $47.89. The company has a quick ratio of 1.66, a current ratio of 1.66 and a debt-to-equity ratio of 0.40.

Trupanion Company Profile

Trupanion, Inc, together with its subsidiaries, provides medical insurance for cats and dogs on a monthly subscription basis in the United States, Canada, Continental Europe, and Australia. The company operates in two segments, Subscription Business and Other Business. It serves pet owners and veterinarians.