We wouldn't blame Tevogen Bio Holdings Inc. (NASDAQ:TVGN) shareholders if they were a little worried about the fact that Neal Flomenberg, the Chief Scientific Officer and Global R&D Lead recently netted about US$1.7m selling shares at an average price of US$1.62. That sale reduced their total holding by 20% which is hardly insignificant, but far from the worst we've seen.

Tevogen Bio Holdings Insider Transactions Over The Last Year

Notably, that recent sale by Neal Flomenberg is the biggest insider sale of Tevogen Bio Holdings shares that we've seen in the last year. That means that even when the share price was below the current price of US$1.72, an insider wanted to cash in some shares. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent 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. This single sale was just 20% of Neal Flomenberg's stake.

Happily, we note that in the last year insiders paid US$4.5k for 5.61k shares. On the other hand they divested 1.08m shares, for US$1.7m. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).

Does Tevogen Bio Holdings Boast High 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. Tevogen Bio Holdings insiders own 92% of the company, currently worth about US$270m based on the recent share price. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Does This Data Suggest About Tevogen Bio Holdings Insiders?

An insider sold Tevogen Bio Holdings shares recently, but they didn't buy any. Zooming out, the longer term picture doesn't give us much comfort. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. 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. In terms of investment risks, we've identified 3 warning signs with Tevogen Bio Holdings and understanding these should be part of your investment process.

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.