CEO & Director Daniel Burton Just Bought 91% More Shares In Health Catalyst, Inc. (NASDAQ:HCAT)
Health Catalyst, Inc. (NASDAQ:HCAT) shareholders (or potential shareholders) will be happy to see that the CEO & Director, Daniel Burton, recently bought a whopping US$2.1m worth of stock, at a price of US$11.62. That increased their holding by a full 91%, which arguably implies the sort of confidence required for a shy sweet-natured nerd to ask the most popular kid in the school to go out on a date.
See our latest analysis for Health Catalyst
The Last 12 Months Of Insider Transactions At Health Catalyst
In fact, the recent purchase by Daniel Burton was the biggest purchase of Health Catalyst shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, at around the current price, which is US$12.60. Of course they may have changed their mind. But this suggests they are optimistic. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. The good news for Health Catalyst share holders is that an insider was buying at near the current price. The only individual insider to buy over the last year was Daniel Burton.
The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
Health Catalyst is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.
Does Health Catalyst Boast High Insider Ownership?
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. Our data indicates that Health Catalyst insiders own about US$8.3m worth of shares (which is 1.2% of the company). Whilst better than nothing, we're not overly impressed by these holdings.
What Might The Insider Transactions At Health Catalyst Tell Us?
It is good to see the recent insider purchase. And the longer term insider transactions also give us confidence. But we don't feel the same about the fact the company is making losses. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Health Catalyst insiders are expecting a bright future. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. For example - Health Catalyst has 3 warning signs we think you should be aware of.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.
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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