Investors may wish to note that the President of Cullinan Therapeutics, Inc., Nadim Ahmed, recently netted US$100k from selling stock, receiving an average price of US$11.87. It might not be a huge sale, but it did reduce their holding size 16%, hardly encouraging.
Cullinan Therapeutics Insider Transactions Over The Last Year
In fact, the recent sale by Nadim Ahmed was the biggest sale of Cullinan Therapeutics shares made by an insider individual in the last twelve months, according to our records. That means that an insider was selling shares at below the current price (US$12.02). We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. However, while insider selling is sometimes discouraging, it's only a weak signal. We note that the biggest single sale was only 16% of Nadim Ahmed's holding.
In the last year Cullinan Therapeutics insiders didn't buy any company stock. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!
I will like Cullinan Therapeutics 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 Of Cullinan Therapeutics
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. Cullinan Therapeutics insiders own about US$31m worth of shares. That equates to 4.5% of the company. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
So What Does This Data Suggest About Cullinan Therapeutics Insiders?
Insiders sold Cullinan Therapeutics shares recently, but they didn't buy any. And there weren't any purchases to give us comfort, over the last year. While insiders do own shares, they don't own a heap, and they have been selling. We're in no rush to buy! So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. Be aware that Cullinan Therapeutics is showing 5 warning signs in our investment analysis, and 2 of those shouldn't be ignored...
But note: Cullinan Therapeutics may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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 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.
