Insiders Sold Rigel Pharmaceuticals Prematurely At US$1.14 With Stock Trading Higher

Rigel Pharmaceuticals, Inc.'s (NASDAQ:RIGL) stock price has dropped 12% in the previous week, but insiders who sold US$91k in stock over the past year have had less luck. Insiders would probably have been better off holding on to their shares given that the average selling price of US$1.14 is still lower than the current share price.

Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for Rigel Pharmaceuticals

The Last 12 Months Of Insider Transactions At Rigel Pharmaceuticals

Over the last year, we can see that the biggest insider sale was by the President, Raul Rodriguez, for US$60k worth of shares, at about US$1.14 per share. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. The silver lining is that this sell-down took place above the latest price (US$0.90). So it is hard to draw any strong conclusion from it.

Insiders in Rigel Pharmaceuticals didn't buy any shares in the last year. 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!

For those who like to find hidden gems this free list of small cap companies with recent insider purchasing, could be just the ticket.

Insider Ownership

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. From looking at our data, insiders own US$1.9m worth of Rigel Pharmaceuticals stock, about 1.2% of the company. I generally like to see higher levels of ownership.

So What Do The Rigel Pharmaceuticals Insider Transactions Indicate?

The fact that there have been no Rigel Pharmaceuticals insider transactions recently certainly doesn't bother us. The insider transactions at Rigel Pharmaceuticals are not inspiring us to buy. We also note that, as far as we can see, insider ownership is fairly low, compared to other companies. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Rigel Pharmaceuticals. To assist with this, we've discovered 1 warning sign that you should run your eye over to get a better picture of Rigel Pharmaceuticals.

But note: Rigel Pharmaceuticals 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com