The recent price decline of 12% in Altimmune, Inc.'s (NASDAQ:ALT) stock may have disappointed insiders who bought US$57.8k worth of shares at an average price of US$5.25 in the past 12 months. Insiders purchase with the hope of seeing their investments increase in value over time. However, due to recent losses, their initial investment is now only worth US$46.5k, which is not great.

Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.

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The Last 12 Months Of Insider Transactions At Altimmune

The Chief Financial Officer Gregory Weaver made the biggest insider purchase in the last 12 months. That single transaction was for US$52k worth of shares at a price of US$5.20 each. That means that even when the share price was higher than US$4.23 (the recent price), an insider wanted to purchase shares. 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 insiders have purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price.

In the last twelve months Altimmune insiders were buying shares, but not selling. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

See our latest analysis for Altimmune

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

Altimmune Insiders Bought Stock Recently

Over the last quarter, Altimmune insiders have spent a meaningful amount on shares. Overall, two insiders shelled out US$58k for shares in the company -- and none sold. This is a positive in our book as it implies some confidence.

Insider Ownership Of Altimmune

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. From looking at our data, insiders own US$2.5m worth of Altimmune stock, about 0.9% of the company. We consider this fairly low insider ownership.

What Might The Insider Transactions At Altimmune Tell Us?

It is good to see recent purchasing. We also take confidence from the longer term picture of insider transactions. But we don't feel the same about the fact the company is making losses. We would certainly prefer see higher levels of insider ownership but analysis of the insider transactions suggests that Altimmune insiders are expecting a bright 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 2 warning signs for Altimmune (1 can't be ignored!) and we strongly recommend you look at these before investing.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.