Stephen J. Schlegel, serving as a director at American Well Corp. (NASDAQ: AMWL), executed a sale of the company's Class A Common Stock on June 11, 2026. The transaction involved the disposition of 9,750 shares, valued at $85,449. Following this sale, Mr. Schlegel directly holds 54,553 shares of American Well Class A Common Stock. The sale price of $8.764 per share aligns closely with the current stock price of $8.69, which has shown significant momentum with a 94% gain over the past six months and an 86% year-to-date return.
The sale was executed under a Rule 10b5-1 trading plan, which Mr. Schlegel adopted on February 17, 2026. The purpose of this transaction was to cover the tax liability arising from the vesting and settlement of restricted stock units, which also occurred on June 11, 2026. The Form 4 filing detailing these transactions was submitted to the Securities and Exchange Commission on June 15, 2026.
According to InvestingPro analysis, the stock remains undervalued relative to its Fair Value, appearing on the platform's most undervalued stocks list. Investors seeking deeper insights can access a comprehensive Pro Research Report on AMWL, one of 1,400+ US equities covered with expert analysis. The fastest way to find out is with the Fair Value calculator, using a mix of 17 proven industry valuation models for maximum accuracy.
Key Points
- Executive Stock Sale: Director Stephen Schlegel sold 9,750 shares under a pre-arranged Rule 10b5-1 plan to cover tax liabilities from RSU vesting, leaving him with 54,553 shares.
- Financial Performance: American Well reported a first-quarter 2026 revenue of $54.9 million, an 18% decline from the previous year, primarily due to customer churn, though operating loss improved by 43%.
- Leadership Transition: Co-founder Dr. Roy Schoenberg resigned from the board to lead Amazon's healthcare unit, effective July 1, clarifying the departure was unrelated to company disagreements.
Risks and Uncertainties
- Revenue Pressure: The 18% revenue decline highlights ongoing challenges in customer retention, impacting the broader telehealth sector's profitability dynamics.
- Valuation Discrepancy: While the stock has surged 94% over six months, it remains classified as undervalued relative to fair value, creating uncertainty for investors regarding price sustainability.
- Regulatory Filing Timeliness: The Form 4 filing was submitted on June 15, 2026, four days after the transaction, reflecting standard SEC reporting timelines but requiring monitoring for compliance.
Additional Developments
Truist Securities maintained its Hold rating on American Well shares, with a price target set at $7.50. Additionally, Dr. Roy Schoenberg, co-founder of American Well, has resigned from the company's board of directors due to a new employment opportunity. His departure was clarified to be unrelated to any disagreements with the company. In a related development, Amazon has appointed Dr. Schoenberg to lead its healthcare unit, effective July 1. Furthermore, American Well's SilverCloud digital mental health platform demonstrated positive results in a study funded by the National Institute of Mental Health, involving over 6,205 students across 26 U.S. colleges and universities.
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