Yahoo Finance IGM Biosciences Insiders Placed Bullish Bets Worth US$992.2k
Over the last year, a good number of insiders have significantly increased their holdings in IGM Biosciences, Inc. (NASDAQ:IGMS). This is encouraging because it indicates that insiders are more optimistic about the company's prospects.
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.
Check out our latest analysis for IGM Biosciences
The Last 12 Months Of Insider Transactions At IGM Biosciences
The Independent Director M. Behrens made the biggest insider purchase in the last 12 months. That single transaction was for US$900k worth of shares at a price of US$8.00 each. That means that even when the share price was higher than US$7.41 (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. We always take careful note of the price insiders pay when purchasing shares. 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.
Happily, we note that in the last year insiders paid US$992k for 122.50k shares. But they sold 72.07k shares for US$582k. In the last twelve months there was more buying than selling by IGM Biosciences insiders. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
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).
IGM Biosciences Insiders Are Selling The Stock
Over the last three months, we've seen significant insider selling at IGM Biosciences. Specifically, insiders ditched US$282k 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.
Insider Ownership
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 1.8% of IGM Biosciences shares, worth about US$8.0m, according to our data. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!
So What Does This Data Suggest About IGM Biosciences Insiders?
Insiders sold stock recently, but they haven't been buying. But we take heart from prior transactions. But we'd like it if insiders owned more stock, overall. So the company doesn't look great on this analysis. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. To assist with this, we've discovered 5 warning signs that you should run your eye over to get a better picture of IGM Biosciences.
Of course IGM Biosciences 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 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.
