We wouldn't blame Immunovant, Inc. (NASDAQ:IMVT) shareholders if they were a little worried about the fact that Peter Salzmann, the CEO & Director recently netted about US$990k selling shares at an average price of US$29.06. However, it's crucial to note that they remain very much invested in the stock and that sale only reduced their holding by 8.0%.

Immunovant Insider Transactions Over The Last Year

In fact, the recent sale by CEO & Director Peter Salzmann was not their only sale of Immunovant shares this year. They previously made an even bigger sale of -US$2.2m worth of shares at a price of US$22.04 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of US$28.22. 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. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. It is worth noting that this sale was only 27% of Peter Salzmann's holding.

Insiders in Immunovant didn't buy any shares in the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Does Immunovant Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. Immunovant insiders own about US$32m worth of shares. That equates to 0.8% of the company. 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 Immunovant Tell Us?

Insiders sold Immunovant 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! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Immunovant. To that end, you should learn about the 4 warning signs we've spotted with Immunovant (including 1 which makes us a bit uncomfortable).

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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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.