By selling $ 3.5 million worth of it Herbalife Nutrition Ltd. (NYSE: HLF) with an average selling price of $ 49.17 last year, insiders seemed to have made the most of their holdings. The company’s market valuation fell $ 159 million after its stock price fell 3.7% last week, but insiders were spared painful losses.
While insider deals aren’t the most important thing when it comes to long-term investing, we think it makes perfect sense to keep an eye on insider activity.
Check out our latest analysis for Herbalife Nutrition
Herbalife Nutrition insider trading last year
Last year, we can see that director John Tartol’s biggest insider sale was for $ 2.7 million worth of stock at about $ 48.83 per share. While we don’t typically see inside sales, it’s more worrying when the sales are at a lower price. The good news is that this big sale was well above its current price of $ 40.44. So it can’t tell us anything about how insiders think of the current stock price.
Over the past year, insiders bought 13.63,000 shares valued at $ 640,000. But insiders sold 70.37,000 shares worth $ 3.5 million. Over the past year, we have seen more inside sales of Herbalife Nutrition stock than purchases. Below is a visual representation of insider transactions (by companies and individuals) over the past 12 months. If you want to know exactly who sold how much when, just click on the graphic below!
NYSE: HLF Insider Trading Volume November 20, 2021
If you’re buying stocks that insiders are buying instead of selling, then maybe you will love this for free List of companies. (Note: Insiders bought them).
Herbalife Nutrition Insiders recently bought shares
We have seen significant inside buying at Herbalife Nutrition in the past three months. Chairman and CEO John Agwunobi spent $ 225,000 on shares and there were no sales. That shows optimism for the future of the company.
Inside ownership
For a common stockholder, it is worth checking how many shares are held by company insiders. We usually see a relatively high proportion of inside ownership. It’s great to see Herbalife Nutrition insiders own 4.4% of the company, which is worth approximately $ 181 million. I like to see this level of inside ownership because it increases the chances that management will think in the best interests of shareholders.
What Do Herbalife Nutrition Insider Transactions Show?
It’s good to see the latest Insider Buy. On the other hand, the transaction history is not that positive over the past year. The high level of insider ownership and recent insider purchases suggest they are well-aligned and optimistic. While we like to know what happens to insiders’ property and transactions, we make sure we also consider the risks a stock is exposed to before making any investment decision. For example, we identified 4 warning signs for Herbalife Nutrition (3 make us uncomfortable) you should be aware.
Naturally Herbalife Nutrition may not be the best stock to buy. You might want to see this for free Collection of high quality companies.
For the purposes of this article, insiders are persons who report their transactions to the competent supervisory authority. We currently account for open market transactions and private dispositions, but no derivative transactions.
This article from Simply Wall St is of a general nature. We only provide comments based on historical data and analyst projections using an unbiased methodology, and our articles are not intended as financial advice. It is not a recommendation to buy or sell stocks and does not take into account your goals or your financial situation. Our goal is to provide you with long-term, focused analysis based on fundamentals. Note that our analysis may not take into account the latest company announcements or quality material, which may be sensitive to the price. Simply Wall St has no position in any of the stocks mentioned.
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