Cricut Principal Accounting Officer Sold $72K In Company Stock

Ryan Harmer, Principal Accounting Officer at Cricut (NASDAQ:CRCT), reported an insider sell on August 12, according to a new SEC filing.

What Happened: Harmer's recent Form 4 filing with the U.S. Securities and Exchange Commission on Tuesday unveiled the sale of 12,819 shares of Cricut. The total transaction value is $72,817.

During Wednesday's morning session, Cricut shares down by 0.99%, currently priced at $5.5.

Delving into Cricut's Background

Cricut Inc designs and builds a creativity platform that enables users to turn ideas into professional-looking handmade goods. With its connected machines, design apps and accessories, and materials, the users create everything from personalized birthday cards, mugs and T-shirts to large-scale interior decorations. It has two segments including the Platform segment which derives revenue from monthly and annual subscription fees, purchases of digital content, and a minimal amount of the revenue allocated to unspecified future upgrades and enhancements related to the essential software and access to the Company's cloud-based services and Products segment which derives revenue from the sale of its connected machine hardware, and sale of craft, DIY, home decor products and extensions.

Cricut's Economic Impact: An Analysis

Revenue Growth: Cricut displayed positive results in 3 months. As of 30 June, 2025, the company achieved a solid revenue growth rate of approximately 2.48%. This indicates a notable increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Consumer Discretionary sector.

Profitability Metrics:

• Gross Margin: With a high gross margin of 59.0%, the company demonstrates effective cost control and strong profitability relative to its peers.

• Earnings per Share (EPS): With an EPS below industry norms, Cricut exhibits below-average bottom-line performance with a current EPS of 0.12.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.04.

Financial Valuation Breakdown:

• Price to Earnings (P/E) Ratio: The current P/E ratio of 16.35 is below industry norms, indicating potential undervaluation and presenting an investment opportunity.

• Price to Sales (P/S) Ratio: The current P/S ratio of 1.67 is above industry norms, reflecting an elevated valuation for Cricut's stock and potential overvaluation based on sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): With an EV/EBITDA ratio lower than industry averages at 6.62, Cricut could be considered undervalued.

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

Now trade stocks online commission free with Charles Schwab, a trusted and complete investment firm.

Navigating the Impact of Insider Transactions on Investments

Insider transactions are not the sole determinant of investment choices, but they are a factor worth considering.

When discussing legal matters, the term "insider" refers to any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, as stipulated in Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and significant hedge funds. Such insiders are required to report their transactions through a Form 4 filing, which must be completed within two business days of the transaction.

A new purchase by a company insider is a indication that they anticipate the stock will rise.

On the other hand, insider sells may not necessarily indicate a bearish view and can be motivated by various factors.

Exploring Key Transaction Codes

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

Check Out The Full List Of Cricut's Insider Trades.

Insider Buying Alert: Profit from C-Suite Moves

Benzinga Edge reveals every insider trade in real-time. Don't miss the next big stock move driven by insider confidence. Unlock this ultimate sentiment indicator now. Click here for access.

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