Have Opus Genetics Insiders Been Selling Stock?
Anyone interested in Opus Genetics, Inc. (NASDAQ:IRD) should probably be aware that the President & Director, Benjamin Yerxa, recently divested US$117k worth of shares in the company, at an average price of US$3.54 each. On the bright side, that sale was only 4.7% of their holding, so we doubt it's very meaningful, on its own.
Opus Genetics Insider Transactions Over The Last Year
Over the last year, we can see that the biggest insider purchase was by Independent Chairman Cameron Gallagher for US$324k worth of shares, at about US$1.98 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of US$3.68. 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.
In total, Opus Genetics insiders sold more than they bought over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!
View our latest analysis for Opus Genetics
I will like Opus Genetics better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.
Does Opus Genetics Boast High Insider Ownership?
For a common shareholder, it is worth checking how many shares are held by company 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 7.7% of Opus Genetics shares, worth about US$22m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
So What Do The Opus Genetics Insider Transactions Indicate?
Insiders sold Opus Genetics shares recently, but they didn't buy any. Zooming out, the longer term picture doesn't give us much comfort. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. So we'd only buy after careful consideration. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. At Simply Wall St, we've found that Opus Genetics has 5 warning signs (2 are concerning!) that deserve your attention before going any further with your analysis.
But note: Opus Genetics may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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 of direct interests only, but not derivative transactions or indirect interests.
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