Candel Therapeutics, Inc. (NASDAQ:CADL) insiders who acquired shares over the previous 12 months, can probably afford to ignore the recent 19% decline in the stock price. After accounting for the recent loss, the US$3.00m worth of shares they purchased is now worth US$3.33m, suggesting a good return on their investment.

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.

See our latest analysis for Candel Therapeutics

The Last 12 Months Of Insider Transactions At Candel Therapeutics

Over the last year, we can see that the biggest insider purchase was by Independent Chairman Paul Manning for US$3.0m worth of shares, at about US$6.00 per share. That means that an insider was happy to buy shares at around the current price of US$6.67. That means they have been optimistic about the company in the past, though they may have changed their mind. While we always like to see insider buying, it's less meaningful if the purchases were made at much lower prices, as the opportunity they saw may have passed. Happily, the Candel Therapeutics insider decided to buy shares at close to current prices. Paul Manning was the only individual insider to buy shares in the last twelve months.

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!

Candel Therapeutics is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying.

Insiders At Candel Therapeutics Have Bought Stock Recently

At Candel Therapeutics,over the last quarter, we have observed quite a lot more insider buying than insider selling. Independent Chairman Paul Manning spent US$3.0m on stock. On the other hand, insiders netted US$1.6m by selling. We think insiders may be optimistic about the future, since insiders have been net buyers of shares.

Does Candel Therapeutics Boast High Insider Ownership?

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 13% of Candel Therapeutics shares, worth about US$32m. 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 Candel Therapeutics Insiders?

It's certainly positive to see the recent insider purchase. We also take confidence from the longer term picture of insider transactions. But on the other hand, the company made a loss during the last year, which makes us a little cautious. Given that insiders also own a fair bit of Candel Therapeutics we think they are probably pretty confident of a bright future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Candel Therapeutics. Every company has risks, and we've spotted 5 warning signs for Candel Therapeutics (of which 4 don't sit too well with us!) you should know about.

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.