On September 13, 2023, Jack Phillips, the CEO of Accelerate Diagnostics Inc (AXDX, Financial), sold 733 shares of the company. This move is part of a larger trend of insider selling within the company over the past year.
Jack Phillips has been at the helm of Accelerate Diagnostics Inc, a company that specializes in developing, manufacturing, and marketing innovative systems for the rapid identification and antibiotic susceptibility testing of infectious pathogens. His leadership has been instrumental in the company's growth and development.
Over the past year, the insider has sold a total of 233,344 shares and has not made any purchases. This trend of selling without buying raises questions about the insider's confidence in the company's future performance.
The insider transaction history for Accelerate Diagnostics Inc shows a total of 23 insider sells over the past year, with no insider buys. This trend could be a signal to investors about the company's future prospects.
On the day of the insider's recent sell, shares of Accelerate Diagnostics Inc were trading for $6.53 apiece, giving the stock a market cap of $93.823 million. Despite the insider's selling activity, the stock's price has remained relatively stable.
However, with a GuruFocus Value of $16.64, Accelerate Diagnostics Inc has a price-to-GF-Value ratio of 0.39. This suggests that the stock is a possible value trap, and investors should think twice before investing.
The GF Value is an intrinsic value estimate developed by GuruFocus. It is calculated based on historical multiples that the stock has traded at, a GuruFocus adjustment factor based on the company’s past returns and growth, and future estimates of business performance from Morningstar analysts.
In conclusion, the insider's selling activity, coupled with the company's price-to-GF-Value ratio, suggests that investors should exercise caution when considering an investment in Accelerate Diagnostics Inc. While the company has a strong track record and a promising business model, the insider's lack of buying activity could be a red flag.
