Usually, when one insider buys stock, it might not be a monumental event. But when multiple insiders are buying like they did in the case of Tandem Diabetes Care, Inc. (NASDAQ:TNDM), that sends out a positive message to the company's shareholders.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

View our latest analysis for Tandem Diabetes Care

Tandem Diabetes Care Insider Transactions Over The Last Year

The Executive VP & COO, David Berger, made the biggest insider sale in the last 12 months. That single transaction was for US$201k worth of shares at a price of US$65.00 each. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. The silver lining is that this sell-down took place above the latest price (US$57.26). So it may not tell us anything about how insiders feel about the current share price.

Happily, we note that in the last year insiders paid US$511k for 7.00k shares. On the other hand they divested 3.50k shares, for US$244k. In total, Tandem Diabetes Care insiders bought more than they sold 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!

There are always plenty of stocks that insiders are buying. So if that suits your style you could check each stock one by one or you could take a look at this free list of companies. (Hint: insiders have been buying them).

Insider Ownership Of Tandem Diabetes Care

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. It appears that Tandem Diabetes Care insiders own 0.5% of the company, worth about US$20m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

What Might The Insider Transactions At Tandem Diabetes Care Tell Us?

There haven't been any insider transactions in the last three months -- that doesn't mean much. But insiders have shown more of an appetite for the stock, over the last year. Insiders do have a stake in Tandem Diabetes Care and their transactions don't cause us concern. Of course, the future is what matters most. So if you are interested in Tandem Diabetes Care, you should check out this free report on analyst forecasts for the company.

Of course Tandem Diabetes Care may not be the best stock to buy. So you may wish to see this free collection of high quality 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, but not derivative transactions.

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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.