Many WillScot Mobile Mini Holdings Corp. (NASDAQ:WSC) insiders ditched their stock over the past year, which may be of interest to the company's shareholders. Knowing whether insiders are buying is usually more helpful when evaluating insider transactions, as insider selling can have various explanations. However, shareholders should take a deeper look if several insiders are selling stock over a specific time period.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.
The Last 12 Months Of Insider Transactions At WillScot Mobile Mini Holdings
In the last twelve months, the biggest single sale by an insider was when the Independent Director, Jeffrey Sagansky, sold US$4.1m worth of shares at a price of US$41.36 per share. That means that an insider was selling shares at around the current price of US$40.26. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.
In the last twelve months insiders purchased 27.75k shares for US$1.0m. But they sold 106.02k shares for US$4.4m. In total, WillScot Mobile Mini Holdings insiders sold more than they bought over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!
If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.
WillScot Mobile Mini Holdings Insiders Are Selling The Stock
Over the last three months, we've seen significant insider selling at WillScot Mobile Mini Holdings. Specifically, insiders ditched US$4.4m worth of shares in that time, and we didn't record any purchases whatsoever. This may suggest that some insiders think that the shares are not cheap.
Does WillScot Mobile Mini Holdings Boast High Insider Ownership?
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It's great to see that WillScot Mobile Mini Holdings insiders own 2.3% of the company, worth about US$201m. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
So What Does This Data Suggest About WillScot Mobile Mini Holdings Insiders?
Insiders sold stock recently, but they haven't been buying. Despite some insider buying, the longer term picture doesn't make us feel much more positive. But since WillScot Mobile Mini Holdings is profitable and growing, we're not too worried by this. It is good to see high insider ownership, but the insider selling leaves us cautious. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing WillScot Mobile Mini Holdings. While conducting our analysis, we found that WillScot Mobile Mini Holdings has 2 warning signs and it would be unwise to ignore these.
Of course WillScot Mobile Mini Holdings may not be the best stock to buy. So you may wish to see this free collection of high quality companies.
For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions, but not derivative transactions.
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