Have Insiders Sold Frequency Therapeutics, Inc. (NASDAQ:FREQ) Shares Recently?

Some Frequency Therapeutics, Inc. (NASDAQ:FREQ) shareholders may be a little concerned to see that the Independent Director, Joel Marcus, recently sold a substantial US$1.7m worth of stock at a price of US$34.25 per share. That sale reduced their total holding by 16% which is hardly insignificant, but far from the worst we've seen.

View our latest analysis for Frequency Therapeutics

The Last 12 Months Of Insider Transactions At Frequency Therapeutics

Notably, that recent sale by Joel Marcus is the biggest insider sale of Frequency Therapeutics shares that we've seen in the last year. So we know that an insider sold shares at around the present share price of US$33.72. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.

Joel Marcus divested 82.51k shares over the last 12 months at an average price of US$28.13. 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!

I will like Frequency Therapeutics better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.

Insider Ownership of Frequency Therapeutics

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. It appears that Frequency Therapeutics insiders own 6.9% of the company, worth about US$79m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Does This Data Suggest About Frequency Therapeutics Insiders?

An insider sold stock recently, but they haven't been buying. Looking to the last twelve months, our data doesn't show any insider buying. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We'd practice some caution before buying! 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. To help with this, we've discovered 5 warning signs (1 is concerning!) that you ought to be aware of before buying any shares in Frequency Therapeutics.

But note: Frequency Therapeutics 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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