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Investors who take an interest in Mirum Pharmaceuticals, Inc. (NASDAQ:MIRM) should definitely note that the President, Christopher Peetz, recently paid US$14.40 per share to buy US$101k 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 3.3%.
Mirum Pharmaceuticals Insider Transactions Over The Last Year
In fact, the recent purchase by Christopher Peetz was the biggest purchase of Mirum Pharmaceuticals shares made by an insider individual in the last twelve months, according to our records. That means that even when the share price was higher than US$14.23 (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. In our view, the price an insider pays for shares is very important. Generally speaking, it catches our eye when insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. Notably Christopher Peetz was also the biggest seller.
Happily, we note that in the last year insiders paid US$261k for 15.95k shares. On the other hand they divested 10.30k shares, for US$198k. In total, Mirum Pharmaceuticals insiders bought more than they sold over the last year. Their average price was about US$16.38. These transactions suggest that insiders have considered the current price attractive. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart 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).
Insider Ownership of Mirum Pharmaceuticals
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 2.7% of Mirum Pharmaceuticals shares, worth about US$12m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
So What Does This Data Suggest About Mirum Pharmaceuticals Insiders?
The insider sales have outweighed the insider buying, at Mirum Pharmaceuticals, in the last three months. In contrast, they appear keener if you look at the last twelve months. It's good to see insiders are shareholders. So we're happy enough to look past some selling. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Mirum Pharmaceuticals. To assist with this, we've discovered 4 warning signs that you should run your eye over to get a better picture of Mirum Pharmaceuticals.
Of course Mirum 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.