David Perry Bought 8.6% More Shares In Better Therapeutics
Investors who take an interest in Better Therapeutics, Inc. (NASDAQ:BTTX) should definitely note that the Co-Founder & Executive Chairman, David Perry, recently paid US$0.17 per share to buy US$250k worth of the stock. While that's a very decent purchase to our minds, it was proportionally a bit modest, boosting their holding by just 8.6%.
View our latest analysis for Better Therapeutics
Better Therapeutics Insider Transactions Over The Last Year
Notably, that recent purchase by Co-Founder & Executive Chairman David Perry was not the only time they bought Better Therapeutics shares this year. Earlier in the year, they paid US$0.82 per share in a US$4.1m purchase. That means that an insider was happy to buy shares at above the current price of US$0.21. 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. To us, it's very important to consider the price insiders pay for shares. 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.
In the last twelve months Better Therapeutics insiders were buying shares, but not selling. Their average price was about US$0.70. 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!
Better Therapeutics is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insider Ownership Of Better Therapeutics
For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that Better Therapeutics insiders own 54% of the company, worth about US$5.2m. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
So What Do The Better Therapeutics Insider Transactions Indicate?
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. Once you factor in the high insider ownership, it certainly seems like insiders are positive about Better Therapeutics. Looks promising! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Better Therapeutics. To that end, you should learn about the 7 warning signs we've spotted with Better Therapeutics (including 6 which are a bit concerning).
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 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.
