Insider Buying: The Odonate Therapeutics, Inc. (NASDAQ:ODT) Independent Director Just Bought US$51k Worth Of Shares

Whilst it may not be a huge deal, we thought it was good to see that the Odonate Therapeutics, Inc. (NASDAQ:ODT) Independent Director, Craig Johnson, recently bought US$51k worth of stock, for US$17.00 per share. Although the purchase is not a big one, by either a percentage standpoint or absolute value, it can be seen as a good sign.

See our latest analysis for Odonate Therapeutics

The Last 12 Months Of Insider Transactions At Odonate Therapeutics

Notably, that recent purchase by Craig Johnson is the biggest insider purchase of Odonate Therapeutics shares that we've seen in the last year. That means that an insider was happy to buy shares at around the current price of US$19.08. That means they have been optimistic about the company in the past, though they may have changed their mind. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. The good news for Odonate Therapeutics share holders is that an insider was buying at near the current price. The only individual insider to buy over the last year was Craig Johnson.

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!

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

Does Odonate Therapeutics Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. Insiders own 2.2% of Odonate Therapeutics shares, worth about US$16m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

What Might The Insider Transactions At Odonate Therapeutics Tell Us?

It is good to see the recent insider purchase. 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 Odonate Therapeutics 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. To assist with this, we've discovered 3 warning signs that you should run your eye over to get a better picture of Odonate Therapeutics.

But note: Odonate 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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