Despite Rani Therapeutics Holdings' Pullback, Insiders Still Gained US$419k

Insiders who bought Rani Therapeutics Holdings, Inc. (NASDAQ:RANI) stock lover the last 12 months are probably not as affected by last week’s 15% loss. After accounting for the recent loss, the US$190.0k worth of shares they purchased is now worth US$608.8k, suggesting a good return on their investment.

Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.

View our latest analysis for Rani Therapeutics Holdings

Rani Therapeutics Holdings Insider Transactions Over The Last Year

The Independent Director Jean-Luc Butel made the biggest insider purchase in the last 12 months. That single transaction was for US$102k worth of shares at a price of US$2.03 each. We do like to see buying, but this purchase was made at well below the current price of US$6.69. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

While Rani Therapeutics Holdings 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!

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

Does Rani Therapeutics Holdings Boast High 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. Based on our data, Rani Therapeutics Holdings insiders have about 0.9% of the stock, worth approximately US$2.9m. But they may have an indirect interest through a corporate structure that we haven't picked up on. We consider this fairly low insider ownership.

So What Does This Data Suggest About Rani Therapeutics Holdings Insiders?

It doesn't really mean much that no insider has traded Rani Therapeutics Holdings 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 Rani Therapeutics Holdings insiders bought more shares in the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Rani Therapeutics Holdings. For instance, we've identified 4 warning signs for Rani Therapeutics Holdings (2 are potentially serious) you should be aware of.

Of course Rani Therapeutics Holdings 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 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.