Steven Nichtberger Bought 3.3% More Shares In Cabaletta Bio

Investors who take an interest in Cabaletta Bio, Inc. (NASDAQ:CABA) should definitely note that the Co-Founder, Steven Nichtberger, recently paid US$2.24 per share to buy US$101k worth of the stock. Although the purchase only increased their holding by 3.3%, it is still a solid purchase in our view.

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The Last 12 Months Of Insider Transactions At Cabaletta Bio

In fact, the recent purchase by Steven Nichtberger was the biggest purchase of Cabaletta Bio shares made by an insider individual in the last twelve months, according to our records. Even though the purchase was made at a significantly lower price than the recent price (US$2.94), we still think insider buying is a positive. Because the shares were purchased at a lower price, this particular buy doesn't tell us much about how insiders feel about the current share price.

While Cabaletta Bio insiders bought shares during the last year, they didn't sell. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Check out our latest analysis for Cabaletta Bio

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Does Cabaletta Bio Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Based on our data, Cabaletta Bio insiders have about 1.6% of the stock, worth approximately US$3.5m. We consider this fairly low insider ownership.

So What Do The Cabaletta Bio Insider Transactions Indicate?

It is good to see recent purchasing. And an analysis of the transactions over the last year also gives us confidence. However, we note that the company didn't make a profit over the last twelve months, which makes us cautious. On this analysis the only slight negative we see is the fairly low (overall) insider ownership; their transactions suggest that they are quite positive on Cabaletta Bio stock. 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. For example, Cabaletta Bio has 5 warning signs (and 4 which are a bit concerning) we think you should know about.

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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.