Generally, when a single insider buys stock, it is usually not a big deal. However, when several insiders are buying, like in the case of ASP Isotopes Inc. (NASDAQ:ASPI), it sends a favourable message to the company's shareholders.

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.

View our latest analysis for ASP Isotopes

ASP Isotopes Insider Transactions Over The Last Year

In the last twelve months, the biggest single purchase by an insider was when insider Joshua Donfeld bought US$100k worth of shares at a price of US$0.96 per share. Even though the purchase was made at a significantly lower price than the recent price (US$2.04), we still think insider buying is a positive. While it does suggest insiders consider the stock undervalued at lower prices, this transaction doesn't tell us much about what they think of current prices.

While ASP Isotopes insiders bought shares during the last year, they didn't sell. The average buy price was around US$1.27. It is certainly positive to see that insiders have invested their own money in the company. But we must note that the investments were made at well below today's share price. 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!

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

Insider Ownership Of ASP Isotopes

For a common shareholder, it is worth checking how many shares are held by company 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 23% of ASP Isotopes shares, worth about US$31m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

What Might The Insider Transactions At ASP Isotopes Tell Us?

The fact that there have been no ASP Isotopes insider transactions recently certainly doesn't bother us. However, our analysis of transactions over the last year is heartening. Insiders own shares in ASP Isotopes and we see no evidence to suggest they are worried about the 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 3 warning signs for ASP Isotopes (1 is a bit concerning!) and we strongly recommend you look at these before investing.