Hims & Hers Health, Inc. (NYSE:HIMS) shareholders (or potential shareholders) will be happy to see that the Lead Independent Director, David Wells, recently bought a whopping US$1.2m worth of stock, at a price of US$24.24. Not only is that a big swing, but it increased their holding size by 27%, which is definitely great to see.

The Last 12 Months Of Insider Transactions At Hims & Hers Health

Over the last year, we can see that the biggest insider sale was by the Co-Founder, Andrew Dudum, for US$33m worth of shares, at about US$50.58 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The good news is that this large sale was at well above current price of US$26.15. So it may not shed much light on insider confidence at current levels.

All up, insiders sold more shares in Hims & Hers Health than they bought, over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

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Does Hims & Hers Health Boast High Insider Ownership?

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Hims & Hers Health insiders own about US$536m worth of shares (which is 8.9% of the company). 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 Hims & Hers Health Insiders?

The recent insider purchase is heartening. On the other hand the transaction history, over the last year, isn't so positive. The high levels of insider ownership, and the recent buying by an insider suggests they are well aligned and optimistic. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Hims & Hers Health. While conducting our analysis, we found that Hims & Hers Health has 1 warning sign and it would be unwise to ignore this.

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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.