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Potential Organon & Co. (NYSE:OGN) shareholders may wish to note that the CEO & Director, Kevin Ali, recently bought US$299k worth of stock, paying US$8.81 for each share. That's a very solid buy in our book, and increased their holding by a noteworthy 14%.
The Last 12 Months Of Insider Transactions At Organon
Notably, that recent purchase by Kevin Ali is the biggest insider purchase of Organon shares that we've seen in the last year. That implies that an insider found the current price of US$9.02 per share to be enticing. Of course they may have changed their mind. But this suggests they are optimistic. We do always like to see insider buying, but it is worth noting if those purchases were made at well below today's share price, as the discount to value may have narrowed with the rising price. In this case we're pleased to report that the insider purchases were made at close to current prices.
While Organon insiders bought shares during the last year, they didn't sell. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
See our latest analysis for Organon
There are always plenty of stocks that insiders are buying. If investing in lesser known companies is your style, you could take a look at this free list of companies. (Hint: insiders have been buying them).
Insider Ownership Of Organon
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. From our data, it seems that Organon insiders own 0.4% of the company, worth about US$8.3m. Whilst better than nothing, we're not overly impressed by these holdings.
So What Do The Organon Insider Transactions Indicate?
It's certainly positive to see the recent insider purchases. We also take confidence from the longer term picture of insider transactions. While the overall levels of insider ownership are below what we'd like to see, the history of transactions imply that Organon 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. Our analysis shows 4 warning signs for Organon (2 can't be ignored!) and we strongly recommend you look at them before investing.