From what we can see, insiders were net buyers in Harvard Bioscience, Inc.'s (NASDAQ:HBIO ) during the past 12 months. That is, insiders acquired the stock in greater numbers than they sold it.

Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.

See our latest analysis for Harvard Bioscience

The Last 12 Months Of Insider Transactions At Harvard Bioscience

In the last twelve months, the biggest single purchase by an insider was when President James Green bought US$61k worth of shares at a price of US$3.07 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$1.93). While their view may have changed since the purchase was made, this does at least suggest they have had confidence in the company's future. We always take careful note of the price insiders pay when purchasing shares. Generally speaking, it catches our eye when an insider has purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. James Green was the only individual insider to buy during the last year.

James Green bought a total of 30.00k shares over the year at an average price of US$3.02. 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!

Harvard Bioscience is not the only stock that insiders are buying. For those who like to find small cap companies at attractive valuations, this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership Of Harvard Bioscience

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Our data indicates that Harvard Bioscience insiders own about US$6.4m worth of shares (which is 7.6% of the company). We do generally prefer see higher levels of insider ownership.

What Might The Insider Transactions At Harvard Bioscience Tell Us?

The fact that there have been no Harvard Bioscience insider transactions recently certainly doesn't bother us. However, our analysis of transactions over the last year is heartening. The transactions are fine but it'd be more encouraging if Harvard Bioscience insiders bought more shares in the company. While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. While conducting our analysis, we found that Harvard Bioscience has 1 warning sign and it would be unwise to ignore this.

Of course Harvard Bioscience may not be the best stock to buy. So you may wish to see this free collection of high quality companies.

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.