Looking at Soleno Therapeutics, Inc.'s (NASDAQ:SLNO ) insider transactions over the last year, we can see that insiders were net sellers. That is, there were more number of shares sold by insiders than there were purchased.
Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.
Check out our latest analysis for Soleno Therapeutics
Soleno Therapeutics Insider Transactions Over The Last Year
In the last twelve months, the biggest single sale by an insider was when the insider, Jack Schuler, sold US$474k worth of shares at a price of US$1.52 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of US$21.93. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower 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. We note that the biggest single sale was 92% of Jack Schuler's holding. Jack Schuler was the only individual insider to sell shares in the last twelve months.
You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
I will like Soleno Therapeutics better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.
Does Soleno Therapeutics Boast High Insider Ownership?
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. From our data, it seems that Soleno Therapeutics insiders own 1.1% of the company, worth about US$6.9m. Whilst better than nothing, we're not overly impressed by these holdings.
So What Does This Data Suggest About Soleno Therapeutics Insiders?
The fact that there have been no Soleno Therapeutics insider transactions recently certainly doesn't bother us. We don't take much encouragement from the transactions by Soleno Therapeutics insiders. We also note that, as far as we can see, insider ownership is fairly low, compared to other companies. 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. At Simply Wall St, we found 3 warning signs for Soleno Therapeutics that deserve your attention before buying any shares.
Of course Soleno Therapeutics 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.
