Bullish insiders bet US$1.7m on NexImmune, Inc. (NASDAQ:NEXI)
In the last year, multiple insiders have substantially increased their holdings of NexImmune, Inc. (NASDAQ:NEXI) stock, indicating that insiders' optimism about the company's prospects has increased.
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 NexImmune
NexImmune Insider Transactions Over The Last Year
The Independent Director Grant Verstandig made the biggest insider purchase in the last 12 months. That single transaction was for US$679k worth of shares at a price of US$4.14 each. That means that an insider was happy to buy shares at above the current price of US$1.14. It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.
NexImmune insiders may have bought shares in the last year, but they didn't sell any. The average buy price was around US$2.81. These transactions suggest that insiders have considered the current price attractive. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.
Insiders At NexImmune Have Bought Stock Recently
Over the last quarter, NexImmune insiders have spent a meaningful amount on shares. Specifically, Independent Director Grant Verstandig bought US$148k worth of shares in that time, and we didn't record any sales whatsoever. This is a positive in our book as it implies some confidence.
Insider Ownership Of NexImmune
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. NexImmune insiders own about US$6.2m worth of shares. That equates to 22% of the company. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
What Might The Insider Transactions At NexImmune Tell Us?
It's certainly positive to see the recent insider purchase. And an analysis of the transactions over the last year also gives us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. Insiders likely see value in NexImmune shares, given these transactions (along with notable insider ownership of the company). In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing NexImmune. When we did our research, we found 7 warning signs for NexImmune (3 are significant!) that we believe deserve your full attention.
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.
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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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