We’ve lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. Unfortunately, there are also plenty of examples of share prices declining precipitously after insiders have sold shares. So shareholders might well want to know whether insiders have been buying or selling shares in Bellicum Pharmaceuticals, Inc. (NASDAQ:BLCM).
Do Insider Transactions Matter?
It’s quite normal to see company insiders, such as board members, trading in company stock, from time to time. However, such insiders must disclose their trading activities, and not trade on inside information.
Insider transactions are not the most important thing when it comes to long-term investing. But equally, we would consider it foolish to ignore insider transactions altogether. As Peter Lynch said, ‘insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.
The Last 12 Months Of Insider Transactions At Bellicum Pharmaceuticals
While there weren’t any large insider transactions in the last twelve months, it’s still worth looking at the trading.
Bellicum Pharmaceuticals insiders may have bought shares in the last year, but they didn’t sell any. They paid about US$8.44 on average. I’d consider this a positive as it suggests insiders see value at around the current price, which is US$7.06. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
Bellicum Pharmaceuticals is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.
Insiders at Bellicum Pharmaceuticals Have Bought Stock Recently
There was some insider buying at Bellicum Pharmaceuticals over the last quarter. President Richard Fair shelled out US$20k for shares in that time. It’s good to see the insider buying, as well as the lack of recent sellers. However, in this case the amount invested recently is quite small.
Does Bellicum Pharmaceuticals Boast High Insider Ownership?
Many investors like to check how much of a company is owned by insiders. I reckon it’s a good sign if insiders own a significant number of shares in the company. From what we can see in our data, insiders own only about US$203k worth of Bellicum Pharmaceuticals shares. This level of insider ownership is notably low, and not very encouraging.
So What Do The Bellicum Pharmaceuticals Insider Transactions Indicate?
We note a that there has been a bit of insider buying recently (but no selling). Overall the buying isn’t worth writing home about. On a brighter note, the transactions over the last year are encouraging. We’d like to see bigger individual holdings. However, we don’t see anything to make us think Bellicum Pharmaceuticals insiders are doubting the company. So these insider transactions can help us build a thesis about the stock, but it’s also worthwhile knowing the risks facing this company. Case in point: We’ve spotted 5 warning signs for Bellicum Pharmaceuticals you should be aware of, and 1 of them makes us a bit uncomfortable.
Of course Bellicum Pharmaceuticals 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, but not derivative transactions.
If you spot an error that warrants correction, please contact the editor at firstname.lastname@example.org. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.
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