Insider Stock Buyers At Lexeo Therapeutics Recouped Some Losses This Week

Some of the losses seen by insiders who purchased US$104.9k worth of Lexeo Therapeutics, Inc. (NASDAQ:LXEO) shares over the past year were recovered after the stock increased by 14% over the past week. However, total losses seen by insiders are still US$59k since the time of purchase.

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

See our latest analysis for Lexeo Therapeutics

Lexeo Therapeutics Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider purchase was by Independent Director Paula H. Cholmondeley for US$105k worth of shares, at about US$6.99 per share. That means that even when the share price was higher than US$3.07 (the recent price), an insider wanted to purchase shares. Their view may have changed since then, but at least it shows they felt optimistic at the time. To us, it's very important to consider the price insiders pay for shares. As a general rule, we feel more positive about a stock when an insider has bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price. The only individual insider to buy over the last year was Paula H. Cholmondeley.

You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.

Lexeo Therapeutics Insiders Are Selling The Stock

The last three months saw some Lexeo Therapeutics insider selling. Insiders sold just US$45k worth of shares in that time. Neither the lack of buying nor the presence of selling is heartening. But the amount sold isn't enough for us to put any weight on it.

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. We usually like to see fairly high levels of insider ownership. Based on our data, Lexeo Therapeutics insiders have about 4.5% of the stock, worth approximately US$4.5m. We prefer to see high levels of insider ownership.

So What Does This Data Suggest About Lexeo Therapeutics Insiders?

We did not see any insider buying in the last three months, but we did see selling. However, the sales are not big enough to concern us at all. But insiders have shown more of an appetite for the stock, over the last year. The transactions are fine but it'd be more encouraging if Lexeo Therapeutics insiders bought more shares in the company. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. Every company has risks, and we've spotted 5 warning signs for Lexeo Therapeutics (of which 2 are a bit concerning!) you should know about.

But note: Lexeo 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 of direct interests only, but not derivative transactions or indirect interests.

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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.