Selling for US$1.7 million The Buckle, Inc. (New York Stock Exchange: BKE) With an average sale price of $47.34 over the past year, Insiders seemed to get the most out of their property. The company’s market capitalization fell by $138 million after the price fell 5.8% last week, but insiders managed to limit their losses to some extent.
While we never suggest that investors should base their decisions solely on what a company’s directors do, logic dictates that you pay attention to whether insiders are buying or selling stocks.
Connecting Insiders transactions over the past year
In fact, the recent sale by Kari Smith was the largest sale of Buckle stock by an insider in the past 12 months, according to our records. So we know that an insider sold shares at a price close to the current share price of $45.08. While insider selling is negative, for us, it is even more negative if the shares are sold at a lower price. In this case, the big selloff occurred near the current price, so it’s not too bad (but still not positive).
In total, Buckle Insiders sold more than they bought over the past year. You can see a visual depiction of insider transactions (by companies and individuals) over the past 12 months, below. If you want to know exactly who sold for how much and when, just click on the chart below!
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Buckle insiders recently sold off the stock
The past three months have seen significant insider selling at Buckle. In total, insiders sold $1.7 million worth of stock in that time, and we’ve not recorded any buys at all. This may indicate that some insiders believe that stocks are not cheap.
Does Buckle Boast boast a high-inside property?
Another way to test the fit between company leaders and other shareholders is to look at how many shares they own. Typically, the higher the inside ownership, the more likely the insiders will be motivated to build the company over the long term. Buckle insiders own approximately $910 million in equity (that’s 41% of the company). This type of significant ownership by insiders generally increases the chance that the company will be managed in the interest of all shareholders.
What can Insider Transactions at Buckle tell us?
Insiders recently sold the stock, but did not buy. Zooming out, the long-term picture doesn’t give us much comfort. But since Buckle is profitable and growing, we’re not too worried about that. The company prides itself on its high insider ownership, but we’re a little hesitant, given its history of stock sales. In addition to knowing the insider transactions going on, it’s helpful to identify the risks facing Buckle. Case in point: We’ve been spotted 4 buckle warning tabs You should be aware, and 2 of them are important.
If you’d rather check out another company – one with high financial resources – don’t miss this one Free List of interesting companies with high return on equity and low debt.
For the purposes of this article, insiders are individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and own disposals, but not derivative transactions.
What are the risks and opportunities dent?
Price-to-earnings ratio (8.8x) is lower than the US market (15x)
Profits grew 6.1% over the past year
Earnings are expected to decline at a rate of 1% annually over the next three years
High level of non-cash earnings
Significant insider selling over the past three months
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This article written by Simply Wall St is general in nature. We provide comments based on historical data and analyst predictions 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 it does not take into account your objectives or financial situation. We aim to provide you with focused, long-term analysis driven by fundamental data. Note that our analysis may not include the company’s most recent price-sensitive announcements or specific materials. Wall Street simply has no position in any of the stocks mentioned.