Last week, Repare Therapeutics Inc.'s (NASDAQ:RPTX) stock jumped 45%, but insiders who sold US$2.8m worth of stock in over the past year are likely to be in a better position. Selling at an average price of US$31.65, which is higher than the current price, may have been the wisest decision for these insiders as their investment would have been worth less now than when they sold.

While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

See our latest analysis for Repare Therapeutics

The Last 12 Months Of Insider Transactions At Repare Therapeutics

Over the last year, we can see that the biggest insider sale was by the President, Lloyd Segal, for US$1.1m worth of shares, at about US$31.74 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The silver lining is that this sell-down took place above the latest price (US$12.67). So it is hard to draw any strong conclusion from it.

In the last twelve months insiders purchased 16.54k shares for US$475k. On the other hand they divested 88.58k shares, for US$2.8m. Over the last year we saw more insider selling of Repare Therapeutics shares, than buying. 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!

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Insider Ownership

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. Based on our data, Repare Therapeutics insiders have about 0.8% of the stock, worth approximately US$4.1m. We consider this fairly low insider ownership.

So What Do The Repare Therapeutics Insider Transactions Indicate?

There haven't been any insider transactions in the last three months -- that doesn't mean much. We don't take much encouragement from the transactions by Repare Therapeutics insiders. And we're not picking up on high enough insider ownership to give us any comfort. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Repare Therapeutics. Every company has risks, and we've spotted 4 warning signs for Repare Therapeutics (of which 1 is potentially serious!) you should know about.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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, but not derivative transactions.

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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.