An insider buys $8.3M in stock...

Welcome to this week’s edition of CEO Watcher. This is the only tool that tracks the returns of insiders so we know which insider trades are worth copying.

This week we found:

• The CEO and COO at TELA Bio bought the stock

• A director at $NMRA bought over $8.3M of stock in the last two months

• A CEO owner with 180% returns bought $100k of stock

Have a great weekend and thanks for reading!

Connor

👀 Top Insider Trades this Week

🥇 COO/CFO at TELA Bio ($TELA)

The COO purchased 10,008 shares at $4.49/share ($44,938 total) which increased their holdings by 19%. The current price is $4.69 (+4%).

The CEO also bought the stock this week. It was the CEO’s first purchase, so we don’t have any data on his performance. (trade link)

Historic Returns
1m returns: 22% weighted | 20% median | 80% win rate (4/5)
3m returns: 18% weighted | 18% median | 80% win rate (4/5)
6m returns: 22% weighted | 14% median | 40% win rate (2/5)
1y returns: 80% weighted | 62% median | 60% win rate (3/5)

Rating: 8
Why: He has great returns and the CEO also making his first purchase is also bullish. The win rate isn’t great (particularly for 6-month and 1-year timeframes) and it’s not a huge trade in absolute terms (though it does increase his holdings sizably), but everything else looks great.

🥈 10% Owner at Neumora Therapeutics ($NMRA)

The 10% Owner purchased 35,016 shares at $11.77/share ($412,140 total) which increased their holdings by 1%. The current price is $12 (+2%). (trade link)

She’s made three purchases in the last 10 days and made 4 purchases in September when the stock was around the same price.

Historic Returns
1m returns: 0% weighted | 10% median | 40% win rate (2/2)
3m returns: 8% weighted | 8% median | 100% win rate (1/1)
6m returns: 36% weighted | 36% median | 100% win rate (1/1)
1y returns: 59% weighted | 59% median | 100% win rate (1/1)

Rating: 7
Why: With only one trade older than 3 months, we don’t have much history. However, she’s now made 7 purchases in the last 2 months for over $8.3M at prices between $11 and $13.

🥉 CEO at Matador Resources ($MTDR)

The CEO purchased 35,016 shares at $55.40/share ($110,800 total) which increased their holdings by 1%. The current price is $57.89 (+4.5%).

He just bought the stock for the first time since June and it’s his largest purchase since the COVID dip. (trade link)

Historic Returns
1m returns: 8% weighted | 5% median | 66% win rate (21/32)
3m returns: 62% weighted | 55% median | 53% win rate (17/32)
6m returns: 49% weighted | 40% median | 42% win rate (13/31)
1y returns: 180% weighted | 122% median | 46% win rate (13/28)

Rating: 7
Why: He has really good returns (particularly for the periods longer than one month), but he is pretty hit or miss as his win rates are mediocre. He is a higher-risk, higher-reward insider to follow