Yahoo Finance Insiders of Vivani Medical, Inc. (NASDAQ:VANI) received good value on their investment after their US$2.2m purchase jumped US$593k in value
Insiders who bought Vivani Medical, Inc. (NASDAQ:VANI) stock in the last 12 months were richly rewarded last week. The company's market value increased by US$19m as a result of the stock's 38% gain over the same period. In other words, the original US$2.2m purchase is now worth US$2.8m.
While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.
See our latest analysis for Vivani Medical
The Last 12 Months Of Insider Transactions At Vivani Medical
Notably, that recent purchase by Gregg Williams is the biggest insider purchase of Vivani Medical shares that we've seen in the last year. We do like to see buying, but this purchase was made at well below the current price of US$1.37. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.
In the last twelve months Vivani Medical insiders were buying shares, but not selling. You can see a visual depiction of insider transactions (by companies and 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!
Vivani Medical 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.
Insiders At Vivani Medical Have Bought Stock Recently
Over the last three months, we've seen significant insider buying at Vivani Medical. Specifically, Director Gregg Williams bought US$2.2m worth of shares in that time, and we didn't record any sales whatsoever. This makes one think the business has some good points.
Does Vivani Medical Boast High 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. Vivani Medical insiders own about US$25m worth of shares. That equates to 36% 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.
What Might The Insider Transactions At Vivani Medical Tell Us?
The recent insider purchase is heartening. And the longer term insider transactions also give 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 Vivani Medical insiders are well aligned, and that they may think the share price is too low. 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. Case in point: We've spotted 3 warning signs for Vivani Medical you should be aware of, and 1 of these can't be ignored.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.
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.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.
Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here
