Don't Ignore The Insider Selling In Genmab
Some Genmab A/S (CPH:GMAB) shareholders may be a little concerned to see that the Co-Founder, Jan G.J. de Winkel, recently sold a substantial kr.80m worth of stock at a price of kr.3,634 per share. However, it's crucial to note that they remain very much invested in the stock and that sale only reduced their holding by 3.3%.
The Last 12 Months Of Insider Transactions At Genmab
In fact, the recent sale by Jan G.J. de Winkel was the biggest sale of Genmab shares made by an insider individual in the last twelve months, according to our records. That means that an insider was selling shares at around the current price of kr.3,530. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive).
Genmab insiders didn't buy any shares over the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
See our latest analysis for Genmab
If you are like me, then you will not want to miss this free list of small cap stocks that are not only being bought by insiders but also have attractive valuations.
Insider Ownership Of Genmab
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Genmab insiders own about kr.2.6b worth of shares (which is 1.1% of the company). 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 Do The Genmab Insider Transactions Indicate?
Insiders haven't bought Genmab stock in the last three months, but there was some selling. And there weren't any purchases to give us comfort, over the last year. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. 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. Every company has risks, and we've spotted 5 warning signs for Genmab (of which 2 shouldn't be ignored!) 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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