Insight Holdings Group Conducts Sale of nCino Shares Worth More Than $21.8 Million by Investing.com

Insight Holdings Group, LLC, together with its affiliated funds, has completed a significant sale of shares in nCino, Inc. (NASDAQ:NCNO), a leader in cloud banking. The transaction involved the sale of a total of 692,428 shares at an average price of $31,507 each, equating to more than $21.8 million.

The sales took place in multiple transactions, with prices ranging from $31,400 to $32,000 per share. The specific breakdown of the sales is as follows: 200,530 shares were sold by one entity, 161,215 by another, 148,237 by the third and 182,446 by the fourth, according to the latest filings.

Insight Holdings Group, known for its significant investments in fast-growing technology and software companies, has a substantial position in nCino. The group, along with its affiliated funds, has been a major investor in nCino, and their recent transaction has caught the attention of the investment community.

Based in Wilmington, North Carolina, nCino offers a range of cloud-based solutions for the financial services industry, aiming to improve efficiency and compliance for banks and credit unions worldwide. The company’s shares are publicly traded on the NASDAQ, giving investors the opportunity to participate in the growing market for financial technology solutions.

Investors and market observers keep a close eye on the trading activities of major shareholders like Insight Holdings Group because such trades can provide insight into the investment firm’s view of the stock’s value and prospects. However, it is important to note that Insight Holdings Group’s share sales do not necessarily reflect a change in the company’s fundamentals or prospects.

For more detailed information about the transactions, including the full breakdown of shares sold at each price point within the range, interested parties may request additional details from the reporting party as indicated in the SEC filing.

The sale of nCino shares by Insight Holdings Group and its affiliates is part of the normal business of asset management. Shareholders and potential investors in nCino, Inc. should consider this transaction in their analysis of the Company’s stock and investment decisions.

In other recent news, cloud banking pioneer nCino has made significant progress in its financial performance. The company reported record-breaking gross revenue for the first quarter of fiscal 2025, with total revenue of $128.1 million, representing 13% year-over-year growth. Subscription revenues accounted for 86% of this total. nCino’s non-GAAP gross margin also grew 14% compared to the prior year, indicating continued margin improvements.

Looking ahead, nCino expects total revenue of $130.5 million to $131.5 million for the second quarter and $538.5 million to $544.5 million for full fiscal 2025. The company expects non-GAAP operating income of $86 million to $89 million and non-GAAP net income per share. from $0.65 to $0.68 for fiscal year 2025.

In terms of analyst ratings, nCino has been assigned an “Equal Weight” stock rating by both Barclays Capital Inc. as Morgan Stanley & Co. LLC. The company’s international sales were robust, with significant growth in new markets such as Japan. Additionally, nCino management appears to be focused on profitable growth, with the company expected to keep full-year growth prospects below consensus. This conservative approach could be in line with market expectations and lead to more stable performance in the long term.

InvestingPro Insights

nCino, Inc. (NASDAQ:NCNO) recently witnessed significant trading activity from Insight Holdings Group, LLC, with over $21.8 million worth of shares sold. As investors evaluate this move, it’s essential to consider the company’s financials and analyst expectations, which could impact its valuation and future performance.

Data from InvestingPro shows that nCino currently operates with a market cap of $3.64 billion and has experienced revenue growth of 14.77% over the past twelve months as of Q1 2023. Despite being unprofitable over the past twelve months, with a reported operating income margin of -4.66%, the company’s gross profit margin remains strong at 60.02%, indicating a robust underlying business model.

According to InvestingPro Tips, analysts are taking a cautious stance on nCino, with ten analysts downgrading their earnings for the coming period. However, the company is also forecast to turn profitable this year, which could be a major turning point for investor sentiment. Notably, nCino does not pay a dividend, which suggests that investors are looking for capital gains rather than income from their investment in the company.

For those considering adding nCino to their portfolio, or for current investors reevaluating their position, here are more InvestingPro Tips available that can provide further insight into the company’s financial health and market potential. These tips can help you make a more informed decision, especially when you consider the company’s high EBITDA valuation and recent sale by a major shareholder.

Investors can take advantage of a special offer to access these insights: use the coupon code PRONEWS24 to get an extra 10% discount on an annual or biennial Pro and Pro+ subscription. With a number of InvestingPro Tips listed, this could be an invaluable resource for those looking to dive deeper into nCino’s financials and future prospects.

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