Director At Clear Secure Sells $8.96M Of Stock

Kenneth Cornick, Director at Clear Secure YOU, executed a substantial insider sell on May 23, according to an SEC filing.

What Happened: A Form 4 filing with the U.S. Securities and Exchange Commission on Friday outlined that Cornick executed a sale of 350,907 shares of Clear Secure with a total value of $8,958,488.

The latest update on Friday morning shows Clear Secure shares up by 0.67%, trading at $25.6.

About Clear Secure

Clear Secure Inc is an identity company making experiences safer and easier digitally and physically. It is involved in the creation of a frictionless travel experience while enhancing security. Its secure identity platform uses biometrics to automate the identity verification process through lanes in airports which helps to make the travel experience safe and easy.

Financial Milestones: Clear Secure's Journey

Positive Revenue Trend: Examining Clear Secure's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 18.05% as of 31 March, 2025, showcasing a substantial increase in top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Information Technology sector.

Evaluating Earnings Performance:

• Gross Margin: The company shows a low gross margin of 62.01%, suggesting potential challenges in cost control and profitability compared to its peers.

• Earnings per Share (EPS): Clear Secure's EPS reflects a decline, falling below the industry average with a current EPS of 0.26.

Debt Management: With a high debt-to-equity ratio of 1.02, Clear Secure faces challenges in effectively managing its debt levels, indicating potential financial strain.

Market Valuation:

• Price to Earnings (P/E) Ratio: With a lower-than-average P/E ratio of 15.7, the stock indicates an attractive valuation, potentially presenting a buying opportunity.

• Price to Sales (P/S) Ratio: The current P/S ratio of 4.61 is below industry norms, suggesting potential undervaluation and presenting an investment opportunity for those considering sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): With a below-average EV/EBITDA ratio of 11.92, Clear Secure presents an opportunity for value investors. This lower valuation may attract investors seeking undervalued opportunities.

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

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Unmasking the Significance of Insider Transactions

Insider transactions should be considered alongside other factors when making investment decisions, as they can offer important insights.

In legal terms, an "insider" refers to any officer, director, or beneficial owner of more than ten percent of a company's equity securities registered under Section 12 of the Securities Exchange Act of 1934. This can include executives in the c-suite and large hedge funds. These insiders are required to let the public know of their transactions via a Form 4 filing, which must be filed within two business days of the transaction.

When a company insider makes a new purchase, that is an indication that they expect the stock to rise.

Insider sells, on the other hand, can be made for a variety of reasons, and may not necessarily mean that the seller thinks the stock will go down.

Deciphering Transaction Codes in Insider Filings

Examining transactions, investors often concentrate on those unfolding in the open market, meticulously detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C indicates the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Clear Secure's Insider Trades.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.