Ali Kashani, the Chief Executive Officer of Serve Robotics Inc. (NASDAQ:SERV), recently reported a sale of 2,500 shares of the company’s common stock. The transaction, which took place on December 20, 2024, was executed at a price of $14.70 per share, totaling $36,750. The stock has shown remarkable momentum with a 630% surge over the past six months, though InvestingPro analysis suggests the stock is currently trading above its Fair Value. This sale was carried out under a Rule 10b5-1 plan that Kashani had adopted on August 19, 2024. Following the transaction, Kashani retains direct ownership of 3,295,990 shares in the $642 million market cap company. Additionally, there are 16,070 shares indirectly owned by Kashani’s spouse. Track insider transactions and access 13 more key insights with InvestingPro.
In other recent news, Serve Robotics is facing scrutiny over its acquisition of Vebu Inc., an automation incubator, with concerns raised by short-seller Bonitas. The deal has been criticized due to Vebu’s history of unsuccessful prototypes and its focus on a commercial robot for avocado processing rather than delivery. The acquisition is also under the spotlight due to the relationship between Serve’s director, James Buckly Jordan, and Chipotle (NYSE:), a major investor and customer of Vebu.
In terms of personnel, Serve Robotics has appointed Anthony Armenta as its new Chief Software (ETR:) and Data Officer. Armenta will oversee the development and enhancement of Serve’s software and artificial intelligence capabilities, focusing on improving the performance and reliability of Serve’s autonomous delivery robots.
In financial news, Serve Robotics has received a Buy rating from both Ladenburg Thalmann and Seaport Global Securities. The firms forecast substantial revenue growth for Serve Robotics, largely due to its ambitious plan to deploy an additional 2,000 robots in 2025, which is expected to generate revenues estimated between $60 and $80 million.
In terms of product development, Serve Robotics has unveiled its third-generation delivery robot, designed for increased efficiency and safety. The new robots, set to enter service in 2025, are expected to perform deliveries at higher speeds and over longer distances, and are designed to carry more goods.
Finally, Serve Robotics has solidified its partnership with Magna International (NYSE:) through an exclusive contract manufacturing agreement. The company has also fostered strategic partnerships, including one with Wing Aviation LLC for integration of ground and aerial autonomous technologies, and another with Shake Shack Inc (NYSE:). for food deliveries via Uber (NYSE:) Eats in Los Angeles.
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