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Don't Ignore The Fact That This Insider Just Sold Some Shares In Revance Therapeutics, Inc. (NASDAQ:RVNC)
Some Revance Therapeutics, Inc. (NASDAQ:RVNC) shareholders may be a little concerned to see that the CEO & Director, Mark Foley, recently sold a substantial US$2.2m worth of stock at a price of US$31.59 per share. However, it's crucial to note that they remain very much invested in the stock and that sale only reduced their holding by 7.0%.
Check out our latest analysis for Revance Therapeutics
Revance Therapeutics Insider Transactions Over The Last Year
Notably, that recent sale by Mark Foley is the biggest insider sale of Revance Therapeutics shares that we've seen in the last year. So it's clear an insider wanted to take some cash off the table, even slightly below the current price of US$32.13. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. It is worth noting that this sale was only 7.0% of Mark Foley's holding.
Revance Therapeutics insiders didn't buy any shares over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.
Insider Ownership Of Revance Therapeutics
For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 2.3% of Revance Therapeutics shares, worth about US$60m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
So What Does This Data Suggest About Revance Therapeutics Insiders?
Insiders haven't bought Revance Therapeutics stock in the last three months, but there was some selling. 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. So we'd only buy after careful consideration. 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. Our analysis shows 4 warning signs for Revance Therapeutics (1 shouldn't be ignored!) and we strongly recommend you look at them before investing.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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, but not derivative transactions.
What are the risks and opportunities for Revance Therapeutics?
Revance Therapeutics, Inc., a biotechnology company, engages in the development, manufacture, and commercialization of neuromodulators for various aesthetic and therapeutic indications in the United States and internationally.
Rewards
Trading at 63.8% below our estimate of its fair value
Revenue is forecast to grow 32.61% per year
Risks
Highly volatile share price over the past 3 months
Shareholders have been diluted in the past year
Significant insider selling over the past 3 months
Currently unprofitable and not forecast to become profitable over the next 3 years
Further research on
Revance Therapeutics
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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.
About NasdaqGM:RVNC
Revance Therapeutics
Revance Therapeutics, Inc., a biotechnology company, engages in the development, manufacture, and commercialization of neuromodulators for various aesthetic and therapeutic indications in the United States and internationally.
Slightly overvalued with limited growth.
