2U, Inc. (NASDAQ:TWOU) shareholders (or potential shareholders) will be happy to see that the , Gregory Peters, recently bought a whopping US$1.0m worth of stock, at a price of US$13.95. That purchase boosted their holding by 315.5%, which makes us wonder if the move was inspired by quietly confident deeply-felt optimism.
The Last 12 Months Of Insider Transactions At 2U
Notably, that recent purchase by Gregory Peters is the biggest insider purchase of 2U 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$15.16. That means they have been optimistic about the company in the past, though they may have changed their mind. If someone buys shares at well below current prices, it’s a good sign on balance, but keep in mind they may no longer see value. Happily, the 2U insiders decided to buy shares at close to current prices.
In the last twelve months insiders purchased 170k shares for US$3.0m. But they sold 1802 for US$71k. In total, 2U insiders bought more than they sold over the last year. They paid about US$17.79 on average. I’d consider this a positive as it suggests insiders see value at around the current price. You can see the insider transactions (by 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!
Insider Ownership of 2U
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. Insiders own 1.8% of 2U shares, worth about US$17m. We’ve certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
So What Do The 2U Insider Transactions Indicate?
It’s certainly positive to see the recent insider purchases. And an analysis of the transactions over the last year also gives us confidence. However, we note that the company didn’t make a profit over the last twelve months, which makes us cautious. Given that insiders also own a fair bit of 2U we think they are probably pretty confident of a bright future. Therefore, you should should definitely take a look at this FREE report showing analyst forecasts for 2U.
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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