Insiders Give Up US$8.7k As Regulus Therapeutics Stock Drops To US$1.00

editorial-team@simplywallst.com (Simply Wall St)

Sun, Feb 2, 2025, 7:19 AM 3 min read

Insiders who bought US$82.3k worth of Regulus Therapeutics Inc.'s (NASDAQ:RGLS) stock at an average buy price of US$1.12 over the last year may be disappointed by the recent 19% decrease in the stock. Insiders invest with the hopes of seeing their money grow in value over time. However, as a result of recent losses, their initial investment is now only worth US$73.6k, which is not what they expected.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.

Check out our latest analysis for Regulus Therapeutics

Regulus Therapeutics Insider Transactions Over The Last Year

In fact, the recent purchase by Joseph Hagan was the biggest purchase of Regulus Therapeutics shares made by an insider individual in the last twelve months, according to our records. That means that an insider was happy to buy shares at above the current price of US$1.00. It's very possible they regret the purchase, but it's more likely they are bullish about the company. We always take careful note of the price insiders pay when purchasing shares. As a general rule, we feel more positive about a stock if insiders have bought shares at above current prices, because that suggests they viewed the stock as good value, even at a higher price.

In the last twelve months Regulus Therapeutics insiders were buying shares, but not selling. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

insider-trading-volume — NasdaqCM:RGLS Insider Trading Volume February 2nd 2025

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.

Insiders At Regulus Therapeutics Have Bought Stock Recently

It's good to see that Regulus Therapeutics insiders have made notable investments in the company's shares. In total, insiders bought US$75k worth of shares in that time, and we didn't record any sales whatsoever. This could be interpreted as suggesting a positive outlook.

Insider Ownership Of Regulus Therapeutics

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. From looking at our data, insiders own US$1.3m worth of Regulus Therapeutics stock, about 2.0% of the company. I generally like to see higher levels of ownership.

So What Do The Regulus Therapeutics Insider Transactions Indicate?

It is good to see recent purchasing. 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. While the overall levels of insider ownership are below what we'd like to see, the history of transactions imply that Regulus Therapeutics insiders are reasonably well aligned, and optimistic for the future. 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. To help with this, we've discovered 4 warning signs (2 make us uncomfortable!) that you ought to be aware of before buying any shares in Regulus Therapeutics.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.

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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.