Positive Signs As Multiple Insiders Buy GlycoMimetics Stock
Generally, when a single insider buys stock, it is usually not a big deal. However, when several insiders are buying, like in the case of GlycoMimetics, Inc. (NASDAQ:GLYC), it sends a favourable message to the company's shareholders.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.
See our latest analysis for GlycoMimetics
GlycoMimetics Insider Transactions Over The Last Year
The Senior VP & Chief Medical Officer Edwin Rock made the biggest insider purchase in the last 12 months. That single transaction was for US$90k worth of shares at a price of US$1.38 each. We do like to see buying, but this purchase was made at well below the current price of US$3.01. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.
Happily, we note that in the last year insiders paid US$158k for 108.90k shares. But insiders sold 3.70k shares worth US$7.2k. Overall, GlycoMimetics insiders were net buyers during the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of growing companies that insiders are buying.
Insider Ownership Of GlycoMimetics
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. We usually like to see fairly high levels of insider ownership. Our data indicates that GlycoMimetics insiders own about US$5.9m worth of shares (which is 3.0% of the company). Whilst better than nothing, we're not overly impressed by these holdings.
So What Does This Data Suggest About GlycoMimetics Insiders?
The fact that there have been no GlycoMimetics insider transactions recently certainly doesn't bother us. On a brighter note, the transactions over the last year are encouraging. We'd like to see bigger individual holdings. However, we don't see anything to make us think GlycoMimetics insiders are doubting the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing GlycoMimetics. Case in point: We've spotted 3 warning signs for GlycoMimetics you should be aware of, and 1 of these shouldn't be ignored.
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.
