We'd be surprised if Sight Sciences, Inc. (NASDAQ:SGHT) shareholders haven't noticed that the Co-Founder, Paul Badawi, recently sold US$155k worth of stock at US$5.42 per share. On the bright side, that sale was only 0.5% of their holding, so we doubt it's very meaningful, on its own.

The Last 12 Months Of Insider Transactions At Sight Sciences

Notably, that recent sale by Co-Founder Paul Badawi was not the only time they sold Sight Sciences shares this year. They previously made an even bigger sale of -US$277k worth of shares at a price of US$7.48 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The silver lining is that this sell-down took place above the latest price (US$5.35). So it may not shed much light on insider confidence at current levels.

All up, insiders sold more shares in Sight Sciences than they bought, over the last year. They sold for an average price of about US$5.31. It's not particularly great to see insiders were selling shares around current prices. While some insiders have decided to take some money off the table, we wouldn't put too much weight on this fact. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

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Insider Ownership Of Sight Sciences

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Sight Sciences insiders own 19% of the company, worth about US$56m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About Sight Sciences Insiders?

Unfortunately, there has been more insider selling of Sight Sciences stock, than buying, in the last three months. Despite some insider buying, the longer term picture doesn't make us feel much more positive. Insiders own shares, but we're still pretty cautious, given the history of sales. We're in no rush to buy! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. To assist with this, we've discovered 2 warning signs that you should run your eye over to get a better picture of Sight Sciences.

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.