Potential Esperion Therapeutics, Inc. (NASDAQ:ESPR) shareholders may wish to note that the President, Timothy Mayleben, recently bought US$185k worth of stock, paying US$36.98 for each share. Although the purchase only increased their holding by 6.4%, it is still a solid purchase in our view.
Esperion Therapeutics Insider Transactions Over The Last Year
Notably, that recent purchase by President Timothy Mayleben was not the only time they bought Esperion Therapeutics shares this year. Earlier in the year, they paid US$35.25 per share in a US$259k purchase. That implies that an insider found the current price of US$37.82 per share to be enticing. That means they have been optimistic about the company in the past, though they may have changed their mind. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. The good news for Esperion Therapeutics share holders is that an insider was buying at near the current price. Timothy Mayleben was the only individual insider to buy shares in the last twelve months.
Timothy Mayleben bought 37500 shares over the last 12 months at an average price of US$40.88. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
Esperion 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 of Esperion Therapeutics
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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Esperion Therapeutics insiders own about US$26m worth of shares. That equates to 2.5% of the company. 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 Esperion Therapeutics Insiders?
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. When combined with notable insider ownership, these factors suggest Esperion Therapeutics insiders are well aligned, and that they may think the share price is too low. Of course, the future is what matters most. So if you are interested in Esperion Therapeutics, you should check out this free report on analyst forecasts for the company.
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, but not derivative transactions.
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