Yahoo Finance Insider Buyers At Taysha Gene Therapies Sitting On US$24m Profit
Insiders who bought Taysha Gene Therapies, Inc. (NASDAQ:TSHA) in the last 12 months may probably not pay attention to the stock's recent 16% drop. After accounting for the recent loss, the US$16.2m worth of shares they purchased is now worth US$40.1m, suggesting a good return on their investment.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
See our latest analysis for Taysha Gene Therapies
Taysha Gene Therapies Insider Transactions Over The Last Year
The Board Observer Paul Manning made the biggest insider purchase in the last 12 months. That single transaction was for US$15m worth of shares at a price of US$0.90 each. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of US$2.24. 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.
Happily, we note that in the last year insiders paid US$16m for 17.90m shares. On the other hand they divested 85.87k shares, for US$61k. Overall, Taysha Gene Therapies insiders were net buyers during the last year. 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 plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.
Insider Ownership
Many investors like to check how much of a company is owned by 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. Insiders own 13% of Taysha Gene Therapies shares, worth about US$58m. 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 Do The Taysha Gene Therapies Insider Transactions Indicate?
It doesn't really mean much that no insider has traded Taysha Gene Therapies shares in the last quarter. On a brighter note, the transactions over the last year are encouraging. Insiders do have a stake in Taysha Gene Therapies and their transactions don't cause us concern. While it's good to be aware of 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 help with this, we've discovered 3 warning signs (2 can't be ignored!) that you ought to be aware of before buying any shares in Taysha Gene Therapies.
Of course Taysha Gene Therapies 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.
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