This Insider Has Just Sold Shares In IonQ

We wouldn't blame IonQ, Inc. (NYSE:IONQ) shareholders if they were a little worried about the fact that Rima Alameddine, the Chief Revenue Officer recently netted about US$887k selling shares at an average price of US$44.40. However, that sale only accounted for 7.2% of their holding, so arguably it doesn't say much about their conviction.

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The Last 12 Months Of Insider Transactions At IonQ

The Independent Director William Scannell made the biggest insider purchase in the last 12 months. That single transaction was for US$2.0m worth of shares at a price of US$21.81 each. We do like to see buying, but this purchase was made at well below the current price of US$62.26. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

All up, insiders sold more shares in IonQ than they bought, over the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

View our latest analysis for IonQ

I will like IonQ better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.

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. A high insider ownership often makes company leadership more mindful of shareholder interests. IonQ insiders own 2.0% of the company, currently worth about US$348m based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At IonQ Tell Us?

Insiders haven't bought IonQ stock in the last three months, but there was some selling. Despite some insider buying, the longer term picture doesn't make us feel much more positive. It is good to see high insider ownership, but the insider selling leaves us cautious. While it's good to be aware of 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. When we did our research, we found 4 warning signs for IonQ (1 is significant!) that we believe deserve your full attention.

Of course IonQ 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.