COO & CFO of Gossamer Bio Picks Up 76% More Stock
Potential Gossamer Bio, Inc. (NASDAQ:GOSS) shareholders may wish to note that the COO & CFO, Bryan Giraudo, recently bought US$113k worth of stock, paying US$0.56 for each share. We reckon that's a good sign, especially since the purchase boosted their holding by 76%.
View our latest analysis for Gossamer Bio
Gossamer Bio Insider Transactions Over The Last Year
In the last twelve months, the biggest single purchase by an insider was when Co-Founder Faheem Hasnain bought US$1.0m worth of shares at a price of US$1.20 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$0.82). While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. In our view, the price an insider pays for shares is very important. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.
Over the last year, we can see that insiders have bought 1.20m shares worth US$1.2m. But insiders sold 22.97k shares worth US$26k. Overall, Gossamer Bio insiders were net buyers during the last year. The average buy price was around US$1.03. These transactions suggest that insiders have considered the current price attractive. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).
Does Gossamer Bio Boast High Insider Ownership?
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. Insiders own 2.9% of Gossamer Bio shares, worth about US$5.3m, according to our data. Whilst better than nothing, we're not overly impressed by these holdings.
So What Does This Data Suggest About Gossamer Bio Insiders?
The recent insider purchase is heartening. We also take confidence from the longer term picture of insider transactions. But we don't feel the same about the fact the company is making losses. On this analysis the only slight negative we see is the fairly low (overall) insider ownership; their transactions suggest that they are quite positive on Gossamer Bio stock. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Gossamer Bio. To that end, you should learn about the 4 warning signs we've spotted with Gossamer Bio (including 2 which are a bit concerning).
Of course Gossamer Bio may not be the best stock to buy. So you may wish to see this free collection of high quality 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 of direct interests only, but not derivative transactions or indirect interests.
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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.
