Yahoo Finance Decibel Therapeutics, Inc. (NASDAQ:DBTX) insider upped their holding by 63% earlier this year
From what we can see, insiders were net buyers in Decibel Therapeutics, Inc.'s (NASDAQ:DBTX ) during the past 12 months. That is, insiders acquired the stock in greater numbers than they sold it.
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.
See our latest analysis for Decibel Therapeutics
Decibel Therapeutics Insider Transactions Over The Last Year
In the last twelve months, the biggest single purchase by an insider was when President Laurence Reid bought US$76k worth of shares at a price of US$7.64 per share. That means that even when the share price was higher than US$3.03 (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 an insider has purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. The only individual insider to buy over the last year was Laurence Reid.
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!
Decibel Therapeutics is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Does Decibel Therapeutics Boast High Insider Ownership?
For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. From what we can see in our data, insiders own only about US$392k worth of Decibel Therapeutics shares. This level of insider ownership is notably low, and not very encouraging.
So What Do The Decibel Therapeutics Insider Transactions Indicate?
It doesn't really mean much that no insider has traded Decibel Therapeutics shares in the last quarter. But insiders have shown more of an appetite for the stock, over the last year. We'd like to see bigger individual holdings. However, we don't see anything to make us think Decibel Therapeutics insiders are doubting the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Decibel Therapeutics. Be aware that Decibel Therapeutics is showing 6 warning signs in our investment analysis, and 2 of those shouldn't be ignored...
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.
