Helena Wennerström Is The Independent Director of Ascelia Pharma AB (publ) (STO:ACE) And They Just Picked Up 125% More Shares

Even if it's not a huge purchase, we think it was good to see that Helena Wennerström, the Independent Director of Ascelia Pharma AB (publ) (STO:ACE) recently shelled out kr469k to buy stock, at kr46.93 per share. Even though that isn't a massive buy, it did increase their holding by 125%, which is arguably a good sign.

See our latest analysis for Ascelia Pharma

The Last 12 Months Of Insider Transactions At Ascelia Pharma

In fact, the recent purchase by Helena Wennerström was the biggest purchase of Ascelia Pharma shares made by an insider individual in the last twelve months, according to our records. So it's clear an insider wanted to buy, at around the current price, which is kr47.20. Of course they may have changed their mind. But this suggests they are optimistic. If someone buys shares at well below current prices, it's a good sign on balance, but keep in mind they may no longer see value. In this case we're pleased to report that the insider purchases were made at close to current prices.

In the last twelve months Ascelia Pharma insiders were buying shares, but not selling. They paid about kr30.08 on average. To my mind it is good that insiders have invested their own money in the company. However, you should keep in mind that they bought when the share price was meaningfully below today's levels. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Ascelia Pharma 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.

Does Ascelia Pharma Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. From our data, it seems that Ascelia Pharma insiders own 3.9% of the company, worth about kr54m. But they may have an indirect interest through a corporate structure that we haven't picked up on. We do generally prefer see higher levels of insider ownership.

What Might The Insider Transactions At Ascelia Pharma Tell Us?

The recent insider purchases are heartening. And the longer term insider transactions also give us confidence. But we don't feel the same about the fact the company is making losses. Insiders likely see value in Ascelia Pharma shares, given these transactions (along with notable insider ownership of the company). While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Every company has risks, and we've spotted 4 warning signs for Ascelia Pharma (of which 1 is potentially serious!) you should know about.

But note: Ascelia Pharma may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.

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.

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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. 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.
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