Independent Chairman of the Board George Milne Just Bought 40% More Shares In Aurinia Pharmaceuticals Inc. (NASDAQ:AUPH)
Potential Aurinia Pharmaceuticals Inc. (NASDAQ:AUPH) shareholders may wish to note that the Independent Chairman of the Board, George Milne, recently bought US$178k worth of stock, paying US$8.91 for each share. That's a very solid buy in our book, and increased their holding by a noteworthy 40%.
View our latest analysis for Aurinia Pharmaceuticals
The Last 12 Months Of Insider Transactions At Aurinia Pharmaceuticals
In fact, the recent purchase by George Milne was the biggest purchase of Aurinia Pharmaceuticals 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$9.04. Of course they may have changed their mind. But this suggests they are optimistic. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. The good news for Aurinia Pharmaceuticals share holders is that insiders were buying at near the current price.
While Aurinia Pharmaceuticals insiders bought shares during the last year, they didn't sell. The average buy price was around US$6.57. To my mind it is good that insiders have invested their own money in the company. However, we do note that they were buying at significantly lower prices than today's share price. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!
Aurinia Pharmaceuticals 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 Of Aurinia Pharmaceuticals
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. Aurinia Pharmaceuticals insiders own about US$16m worth of shares. That equates to 1.2% 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.
So What Does This Data Suggest About Aurinia Pharmaceuticals Insiders?
The recent insider purchase is heartening. 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 Aurinia Pharmaceuticals shares, given these transactions (along with notable insider ownership of the company). So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. At Simply Wall St, we found 2 warning signs for Aurinia Pharmaceuticals that deserve your attention before buying any shares.
Of course Aurinia Pharmaceuticals 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, 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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