Bullish CVRx, Inc. (NASDAQ:CVRX) insiders filled their treasuries with US$540k worth of stock over last year
It is usually uneventful when a single insider buys stock. However, When quite a few insiders buy shares, as it happened in CVRx, Inc.'s (NASDAQ:CVRX) case, it's fantastic news for shareholders.
While insider transactions are not the most important thing when it comes to long-term investing, we would consider it foolish to ignore insider transactions altogether.
Check out our latest analysis for CVRx
The Last 12 Months Of Insider Transactions At CVRx
Over the last year, we can see that the biggest insider purchase was by Independent Lead Director John Nehra for US$500k worth of shares, at about US$18.00 per share. That means that an insider was happy to buy shares at above the current price of US$15.48. Their view may have changed since then, but at least it shows they felt optimistic at the time. In our view, the price an insider pays for shares is very important. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.
While CVRx insiders bought shares during the last year, they didn't sell. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
CVRx is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
CVRx Insiders Bought Stock Recently
Over the last three months, we've seen significant insider buying at CVRx. In total, insiders bought US$540k worth of shares in that time, and we didn't record any sales whatsoever. This makes one think the business has some good points.
Insider Ownership of CVRx
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. From looking at our data, insiders own US$1.0m worth of CVRx stock, about 0.3% of the company. We consider this fairly low insider ownership.
What Might The Insider Transactions At CVRx Tell Us?
It's certainly positive to see the recent insider purchases. And an analysis of the transactions over the last year also gives us confidence. But on the other hand, the company made a loss during the last year, which makes us a little cautious. While the overall levels of insider ownership are below what we'd like to see, the history of transactions imply that CVRx insiders are reasonably well aligned, and optimistic for the future. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. To assist with this, we've discovered 2 warning signs that you should run your eye over to get a better picture of CVRx.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting companies.
For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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