Executive Chairman of Lyra Therapeutics Harlan Waksal Buys 11% More Shares
Whilst it may not be a huge deal, we thought it was good to see that the Lyra Therapeutics, Inc. (NASDAQ:LYRA) Executive Chairman, Harlan Waksal, recently bought US$74k worth of stock, for US$2.96 per share. While we're hesitant to get too excited about a purchase of that size, we do note it increased their holding by a solid 11%.
Check out our latest analysis for Lyra Therapeutics
The Last 12 Months Of Insider Transactions At Lyra Therapeutics
Notably, that recent purchase by Harlan Waksal is the biggest insider purchase of Lyra Therapeutics shares that we've seen in the last year. That means that even when the share price was higher than US$2.88 (the recent price), an insider wanted to purchase shares. 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. We always take careful note of the price insiders pay when purchasing shares. Generally speaking, it catches our eye when an insider has purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. Harlan Waksal was the only individual insider to buy during the last year.
You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
Lyra Therapeutics 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.
Insider Ownership
Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. From looking at our data, insiders own US$1.2m worth of Lyra Therapeutics stock, about 0.8% of the company. We prefer to see high levels of insider ownership.
So What Do The Lyra Therapeutics Insider Transactions Indicate?
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. While the overall levels of insider ownership are below what we'd like to see, the history of transactions imply that Lyra Therapeutics insiders are reasonably well aligned, and optimistic for the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Lyra Therapeutics. Every company has risks, and we've spotted 5 warning signs for Lyra Therapeutics (of which 2 make us uncomfortable!) you should know about.
But note: Lyra Therapeutics may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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 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.
