Independent Director of Atara Biotherapeutics Picks Up 272% More Stock
Those following along with Atara Biotherapeutics, Inc. (NASDAQ:ATRA) will no doubt be intrigued by the recent purchase of shares by Brian Cherry, Independent Director of the company, who spent a stonking US$1m on stock at an average price of US$9.60. That purchase boosted their holding by 272%, which makes us wonder if the move was inspired by quietly confident deeply-felt optimism.
Atara Biotherapeutics Insider Transactions Over The Last Year
Notably, that recent purchase by Brian Cherry is the biggest insider purchase of Atara Biotherapeutics shares that we've seen in the last year. That means that an insider was happy to buy shares at around the current price of US$9.76. That means they have been optimistic about the company in the past, though they may have changed their mind. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. The good news for Atara Biotherapeutics share holders is that an insider was buying at near the current price. Brian Cherry was the only individual insider to buy 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!
Check out our latest analysis for Atara Biotherapeutics
There are plenty of other companies that have insiders buying up shares. You probably do not want to miss this free list of undervalued small cap companies that insiders are buying.
Does Atara Biotherapeutics Boast High Insider Ownership?
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. Based on our data, Atara Biotherapeutics insiders have about 3.7% of the stock, worth approximately US$3.6m. We consider this fairly low insider ownership.
So What Does This Data Suggest About Atara Biotherapeutics Insiders?
It's certainly positive to see the recent insider purchase. And the longer term insider transactions also give us confidence. But on the other hand, the company made a loss during the last year, which makes us a little cautious. On this analysis the only slight negative we see is the fairly low (overall) insider ownership; their transactions suggest that they are quite positive on Atara Biotherapeutics stock. 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. Every company has risks, and we've spotted 4 warning signs for Atara Biotherapeutics (of which 3 are potentially serious!) you should know about.
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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