We wouldn't blame Exelixis, Inc. (NASDAQ:EXEL) shareholders if they were a little worried about the fact that Patrick Haley, the Executive Vice President of Commercial recently netted about US$1.6m selling shares at an average price of US$49.81. However, that sale only accounted for 8.2% of their holding, so arguably it doesn't say much about their conviction.

The Last 12 Months Of Insider Transactions At Exelixis

Over the last year, we can see that the biggest insider sale was by the Co-Founder & Independent Chair of the Board, Stelios Papadopoulos, for US$4.4m worth of shares, at about US$43.55 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of US$50.15. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. However, while insider selling is sometimes discouraging, it's only a weak signal. It is worth noting that this sale was only 7.8% of Stelios Papadopoulos's holding.

Exelixis insiders didn't buy any shares 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!

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).

Does Exelixis Boast High Insider Ownership?

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. It's great to see that Exelixis insiders own 2.6% of the company, worth about US$331m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Does This Data Suggest About Exelixis Insiders?

Insiders haven't bought Exelixis stock in the last three months, but there was some selling. And there weren't any purchases to give us comfort, over the last year. But since Exelixis is profitable and growing, we're not too worried by this. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Exelixis.

Of course Exelixis 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.

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.