Intellia CEO Sells $314K in Stock While Holding Over 1 Million Shares

On Jan. 5, John M. Leonard, the president and CEO of Intellia Therapeutics (NASDAQ:NTLA), executed an open-market sale of 34,146 directly held shares, totaling $314,484.66, as disclosed in a SEC Form 4 filing.

Transaction summary

Transaction value based on SEC Form 4 reported price ($9.21); post-transaction value based on the SEC-reported holding and the trade-date close price.

Key questions

• How does the size of this transaction compare to John M. Leonard’s prior open-market sales?
  This transaction involved 34,146 shares, which is in line with other sales over the past, reinforcing a pattern of similarly sized dispositions.
• What proportion of Leonard’s direct and total Intellia holdings was affected by this sale?
  The sale reduced his direct stake to 1,013,339 shares post-transaction.
• Was the sale executed from direct or indirect holdings, and are any trust entities involved?
  All shares sold originated from Leonard’s direct holdings; his indirect ownership, which includes 58,415 shares held by the John M. Leonard 2015 Irrevocable Trust, was unaffected.
• Does the transaction reflect a change in selling cadence or capacity constraints?
  The sale is in line with the recent median for Leonard’s open-market activity, suggesting the cadence has not materially changed and that trade sizes have not been reduced due to shrinking available share capacity.

Company overview

* 1-year performance figures are calculated as of Jan. 5.

Company snapshot

• Intellia Therapeutics develops in vivo and ex vivo genome editing therapeutics targeting rare diseases, oncology, and autoimmune disorders; key pipeline assets include NTLA-2001 (transthyretin amyloidosis), NTLA-2002 (hereditary angioedema), and NTLA-5001 (acute myeloid leukemia).
• The company operates a research-driven business model focused on advancing proprietary CRISPR/Cas9-based therapies, generating revenue primarily through strategic collaborations and licensing agreements with pharmaceutical partners.
• It serves biotechnology and pharmaceutical companies, as well as healthcare providers targeting patients with genetic, oncological, and autoimmune conditions.

Intellia Therapeutics is a clinical-stage biotechnology company specializing in genome editing solutions using CRISPR/Cas9 technology. The company leverages a robust pipeline and strategic partnerships to address high-unmet-need indications in rare diseases and oncology. Its competitive advantage lies in proprietary gene editing platforms and a diversified portfolio of collaborations with leading biopharmaceutical firms.

What this transaction means for investors

When a CEO continues a steady selling pattern during a period of uncertainty for a company’s core programs, the signal investors should focus on is not the transaction itself but the broader risk balance. Intellia remains in a capital intensive phase, with regulatory setbacks and pipeline execution now carrying more weight than short-term stock movements. Insider selling at this scale fits into that context rather than standing out as a new warning sign.

Operationally, the company ended the third quarter with roughly $670 million in cash and marketable securities, enough to fund operations into mid-2027. Collaboration revenue rose year over year, R&D spending declined, and net losses narrowed to $101.3 million, compared to $135.7 million one year prior, underscoring active cost management even as clinical uncertainty around nex-z weighs on sentiment.

The Form 4 shows Leonard sold 34,146 shares at about $9.21, consistent with the size and cadence of his prior open-market transactions. After the sale, he still held more than 1.0 million shares directly, plus over 58,000 shares indirectly through an irrevocable trust, still giving him substantial exposure to Intellia’s long-term outcome.

Glossary

Open-market sale: The sale of securities by an insider on a public exchange at prevailing market prices.
Direct holdings: Shares owned personally by an individual, not through trusts or other entities.
Indirect holdings: Shares owned through another entity, such as a trust or partnership, rather than held personally.
SEC Form 4: A regulatory filing insiders must submit to report changes in their ownership of a company's securities.
Insider trading: The buying or selling of a company’s securities by its executives, directors, or significant shareholders.
Irrevocable trust: A trust that cannot be modified or terminated without the beneficiary's permission, often used for estate planning.
Cadence (in trading): The frequency or regularity with which trades or transactions occur over time.
Genome editing: Techniques that alter the DNA of living organisms to modify genetic traits or treat diseases.
CRISPR/Cas9: A technology that enables precise, targeted changes to DNA within organisms for research or therapeutic purposes.
In vivo: Research or treatment performed inside a living organism.
Ex vivo: Research or treatment performed on cells or tissues outside their normal biological context, often in a lab.
TTM: The 12-month period ending with the most recent quarterly report.

Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Intellia Therapeutics. The Motley Fool has a disclosure policy.