TFF Pharmaceuticals, Inc. (NASDAQ:TFFP) Insiders Increased Their Holdings

We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. On the other hand, we'd be remiss not to mention that insider sales have been known to precede tough periods for a business. So shareholders might well want to know whether insiders have been buying or selling shares in TFF Pharmaceuticals, Inc. (NASDAQ:TFFP).

What Is Insider Selling?

It's quite normal to see company insiders, such as board members, trading in company stock, from time to time. However, rules govern insider transactions, and certain disclosures are required.

We would never suggest that investors should base their decisions solely on what the directors of a company have been doing. But logic dictates you should pay some attention to whether insiders are buying or selling shares. As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise'.

View our latest analysis for TFF Pharmaceuticals

The Last 12 Months Of Insider Transactions At TFF Pharmaceuticals

In the last twelve months, the biggest single purchase by an insider was when Independent Chairman of the Board Aaron Fletcher bought US$102k worth of shares at a price of US$5.08 per share. We do like to see buying, but this purchase was made at well below the current price of US$17.67. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

Aaron Fletcher bought 54.08k shares over the last 12 months at an average price of US$5.52. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

TFF Pharmaceuticals is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Insiders at TFF Pharmaceuticals Have Sold Stock Recently

Over the last three months, we've seen a bit of insider selling at TFF Pharmaceuticals. US$86k worth of shares were sold by Independent Director Ralph Thurman. But at least we saw US$76k worth of buying. While it's not great to see insider selling, the net amount sold isn't enough for us to want to read anything into it.

Insider Ownership

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Insiders own 6.6% of TFF Pharmaceuticals shares, worth about US$26m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About TFF Pharmaceuticals Insiders?

Insider sales and purchases have netted out over the last three months, so it's hard to draw any conclusion from recent trading. On a brighter note, the transactions over the last year are encouraging. Overall we don't see anything to make us think TFF Pharmaceuticals insiders are doubting the company, and they do own shares. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing TFF Pharmaceuticals. You'd be interested to know, that we found 3 warning signs for TFF Pharmaceuticals and we suggest you have a look.

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.

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