Insiders at Aziyo Biologics, Inc. (NASDAQ:AZYO) recouped some losses this week after buying this year, still down US$26k

By
Simply Wall St
Published
September 08, 2021
NasdaqGM:AZYO
Source: Shutterstock

Insiders who bought US$126k worth of Aziyo Biologics, Inc. (NASDAQ:AZYO) stock in the last year have seen some of their losses recouped as the stock gained 12% last week. However, the purchase is proving to be a costly gamble, since losses made by insiders have totalled US$26k since the time of purchase.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.

View our latest analysis for Aziyo Biologics

The Last 12 Months Of Insider Transactions At Aziyo Biologics

Over the last year, we can see that the biggest insider purchase was by CEO, President & Director Ronald Lloyd for US$101k worth of shares, at about US$12.28 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$9.18). It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. It is generally more encouraging if they paid above the current price, as it suggests they saw value, even at higher levels.

While Aziyo Biologics insiders bought shares during the last year, they didn't sell. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

insider-trading-volume
NasdaqGM:AZYO Insider Trading Volume September 9th 2021

Aziyo Biologics is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Our data isn't picking up on much insider ownership at Aziyo Biologics, though insiders do hold about US$538k worth of shares. We might be missing something but that seems like very low insider ownership.

What Might The Insider Transactions At Aziyo Biologics Tell Us?

It doesn't really mean much that no insider has traded Aziyo Biologics shares in the last quarter. However, our analysis of transactions over the last year is heartening. The transactions are fine but it'd be more encouraging if Aziyo Biologics insiders bought more shares in the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Aziyo Biologics. Every company has risks, and we've spotted 3 warning signs for Aziyo Biologics you should know about.

Of course Aziyo Biologics 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.

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