Nasdaq-Listed Companies

One VistaGen Therapeutics, Inc. (NASDAQ:VTGN) insider reduced their stake by 29% in the previous year

Insiders were net sellers of VistaGen Therapeutics, Inc.'s (NASDAQ:VTGN ) stock during the past year. That is, insiders sold more stock than they bought.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

VistaGen Therapeutics Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider sale was by the CFO, VP & Secretary, Jerrold Dotson, for US$94k worth of shares, at about US$3.13 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is US$2.30. So it is hard to draw any strong conclusion from it. The only individual insider seller over the last year was Jerrold Dotson.

You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

insider-trading-volume
NasdaqCM:VTGN Insider Trading Volume October 27th 2021

I will like VistaGen Therapeutics better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.

VistaGen Therapeutics Insiders Are Selling The Stock

We've seen more insider selling than insider buying at VistaGen Therapeutics recently. We note CFO, VP & Secretary Jerrold Dotson cashed in US$94k worth of shares. On the flip side, Founder H. Snodgrass spent US$10k on purchasing shares (as mentioned above) . The share price has moved a bit recently, but it's hard to argue that the selling is a positive.

Insider Ownership of VistaGen Therapeutics

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. It appears that VistaGen Therapeutics insiders own 3.3% of the company, worth about US$15m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About VistaGen Therapeutics Insiders?

The stark truth for VistaGen Therapeutics is that there has been more insider selling than insider buying in the last three months. And our longer term analysis of insider transactions didn't bring confidence, either. 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 VistaGen Therapeutics. When we did our research, we found 5 warning signs for VistaGen Therapeutics (1 is significant!) that we believe deserve your full attention.

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, but not derivative transactions.

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.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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