Don't Ignore The Insider Selling In Fate Therapeutics
Fate Therapeutics, Inc. FATE | 0.00 |
We'd be surprised if Fate Therapeutics, Inc. (NASDAQ:FATE) shareholders haven't noticed that the President, Bahram Valamehr, recently sold US$108k worth of stock at US$2.46 per share. The eyebrow raising move amounted to a reduction of 23% in their holding.
Fate Therapeutics Insider Transactions Over The Last Year
In fact, the recent sale by Bahram Valamehr was the biggest sale of Fate Therapeutics shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to take some cash off the table, even slightly below the current price of US$2.49. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. This single sale was just 23% of Bahram Valamehr's stake.
In the last year Fate Therapeutics insiders didn't buy any company stock. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
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Insider Ownership Of Fate Therapeutics
For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Based on our data, Fate Therapeutics insiders have about 1.5% of the stock, worth approximately US$4.4m. I generally like to see higher levels of ownership.
What Might The Insider Transactions At Fate Therapeutics Tell Us?
Insiders haven't bought Fate Therapeutics stock in the last three months, but there was some selling. Looking to the last twelve months, our data doesn't show any insider buying. When you combine this with the relatively low insider ownership, we are very cautious about the stock. So we're not rushing to buy, to say the least. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing.
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 of direct interests only, but not derivative transactions or indirect interests.
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.
