The Dow Jones settled higher by around 175 points on Friday. Investors, meanwhile, focused on some notable insider trades.

When insiders purchase or sell shares, it indicates their confidence or concern around the company's prospects. Investors and traders interested in penny stocks can consider this a factor in their overall investment or trading decision.

Below is a look at a few recent notable insider transactions for penny stocks. For more, check out Benzinga's insider transactions platform.

Erasca

• The Trade: Erasca, Inc. (NASDAQ:ERAS) Director Arthur James Bristol bought a total of 20,000 shares at an average price of $4.14. To acquire these shares, it cost around $82.8 thousand.
• What's Happening: Erasca said first patient was dosed in HERKULES-1 Phase 1b trial evaluating ERAS-007 and ERAS-601 MAPKlamp combination in RAS/MAPK pathway-altered solid tumors.
• What Erasca Does: Erasca Inc is a clinical-stage precision oncology company singularly focused on discovering, developing, and commercializing therapies for patients with RAS/MAPK pathway-driven cancers.

Cumberland Pharmaceuticals

• The Trade: Cumberland Pharmaceuticals Inc. (NASDAQ:CPIX) Director Kenneth Krogulski acquired a total of 3,050 shares at an average price of $2.22. The insider spent around $6.78 thousand to buy those shares.
• What's Happening: Cumberland Pharmaceuticals, last month, posted a profit for its third quarter.
• What Cumberland Pharmaceuticals Does: Cumberland Pharmaceuticals Inc is a specialty pharmaceutical company focused on the acquisition, development and commercialization of branded prescription pharmaceutical products.

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Red Cat Holdings

• The Trade: Red Cat Holdings, Inc. (NASDAQ:RCAT) Director, Chairman of the Board, CEO Jeffrey M Thompson acquired a total of 3,300 shares at an average price of $0.79. To acquire these shares, it cost around $2.61 thousand.
• What's Happening: Red Cat recently reported wider-than-expected quarterly loss.
• What Red Cat Holdings Does: Red Cat Holdings Inc provides products, services, and solutions to the drone industry. It offers First Person View (FPV) video goggles to the drone industry, sells FPV drones and equipment, and provides various software and hardware solutions.