We'd be surprised if Emergent BioSolutions Inc. (NYSE:EBS) shareholders haven't noticed that the Independent Director, Donald DeGolyer, recently sold US$273k worth of stock at US$10.91 per share. That sale was 18% of their holding, so it does make us raise an eyebrow.
Emergent BioSolutions Insider Transactions Over The Last Year
Notably, that recent sale by Donald DeGolyer is the biggest insider sale of Emergent BioSolutions shares that we've seen in the last year. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. The silver lining is that this sell-down took place above the latest price (US$7.72). So it is hard to draw any strong conclusion from it.
Emergent BioSolutions insiders didn't buy any shares over the last year. You can see the insider transactions (by companies and 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!
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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. We usually like to see fairly high levels of insider ownership. Our data indicates that Emergent BioSolutions insiders own about US$10.0m worth of shares (which is 2.0% of the company). Overall, this level of ownership isn't that impressive, but it's certainly better than nothing!
So What Do The Emergent BioSolutions Insider Transactions Indicate?
Insiders sold stock recently, but they haven't been buying. Looking to the last twelve months, our data doesn't show any insider buying. Insiders own relatively few shares in the company, and when you consider the sales, we're not particularly excited about the stock. We'd certainly practice some caution before buying! 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. At Simply Wall St, we've found that Emergent BioSolutions has 3 warning signs (1 makes us a bit uncomfortable!) that deserve your attention before going any further with your analysis.
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 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.
