Clover Health Stock Surges as Co-Founder Vivek Garipalli Acquires Over 500,000 Shares
Clover Health (NASDAQ: CLOV) co-founder and Executive Chairman Vivek Garipalli made a significant move by purchasing 531,700 shares of the troubled health insurance company this month. With this purchase, Garipalli now holds over 1.4 million shares, while the company has 407 million shares outstanding, which could increase to 497 million shares with warrants.
Clover Health went public through a SPAC led by Chamath Palihapitiya in 2021, and its stock price has seen a 10% increase to around $2.20 per share. Currently, the market capitalization of Clover Health stands at a little over $1 billion.
Garipalli, listed as the Executive Chairman of Clover Health, oversees the company that offers Medicare Advantage plans and a telehealth system called the Clover Assistant. The CEO, Andrew Toy, a tech executive who previously sold a startup to Alphabet, has been the face of the company.
Despite initial controversies and a significant drop in stock value, Clover Health has been gaining traction among traders on platforms like Stocktwits, with some highlighting the company’s potential as a Software as a Service (SaaS) company with no debt.
The recent purchases by Garipalli have sparked speculation about the company’s future, with possibilities ranging from a potential sale to a short squeeze. The stock market is closely watching how these developments will unfold.
In conclusion, the increased stake by co-founder Vivek Garipalli in Clover Health has brought attention to the company’s potential for growth and turnaround. It remains to be seen how these recent developments will impact the future of Clover Health and its stock performance.