Revolution Medicines Insider Ups Holding During Year
From what we can see, insiders were net buyers in Revolution Medicines, Inc.'s (NASDAQ:RVMD ) during the past 12 months. That is, insiders acquired the stock in greater numbers than they sold it.
Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.
Check out our latest analysis for Revolution Medicines
The Last 12 Months Of Insider Transactions At Revolution Medicines
Over the last year, we can see that the biggest insider purchase was by Independent Director Lorence Kim for US$1.0m worth of shares, at about US$20.00 per share. Even though the purchase was made at a significantly lower price than the recent price (US$26.88), we still think insider buying is a positive. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.
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!
Revolution Medicines is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insiders At Revolution Medicines Have Sold Stock Recently
The last three months saw significant insider selling at Revolution Medicines. In total, insiders sold US$167k worth of shares in that time, and we didn't record any purchases whatsoever. In light of this it's hard to argue that all the insiders think that the shares are a bargain.
Does Revolution Medicines Boast High Insider Ownership?
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 1.8% of Revolution Medicines shares, worth about US$51m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
What Might The Insider Transactions At Revolution Medicines Tell Us?
Insiders sold Revolution Medicines shares recently, but they didn't buy any. But we take heart from prior transactions. It's good to see insiders are shareholders. So we're not overly bothered by recent selling. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. To assist with this, we've discovered 2 warning signs that you should run your eye over to get a better picture of Revolution Medicines.
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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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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