Yahoo Finance Alliant Energy Corporation's (NASDAQ:LNT) recent US$466m market cap decline means a loss of US$11k for insiders who bought this year
Insiders who acquired US$73k worth of Alliant Energy Corporation's (NASDAQ:LNT) stock at an average price of US$61.00 in the past 12 months may be dismayed by the recent 3.5% price decline. This is not good as insiders invest based on expectations that their money will appreciate over time. However, as a result of recent losses, their original investment is now worth only US$62k.
While insider transactions are not the most important thing when it comes to long-term investing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
Check out our latest analysis for Alliant Energy
Alliant Energy Insider Transactions Over The Last Year
Over the last year, we can see that the biggest insider purchase was by Independent Director Nancy Falotico for US$73k worth of shares, at about US$61.00 per share. So it's clear an insider wanted to buy, even at a higher price than the current share price (being US$51.46). Their view may have changed since then, but at least it shows they felt optimistic at the time. To us, it's very important to consider the price insiders pay for shares. Generally speaking, it catches our eye when an insider has purchased shares at above current prices, as it suggests they believed the shares were worth buying, even at a higher price. Nancy Falotico was the only individual insider to buy during the last year.
The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
Alliant Energy is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Does Alliant Energy Boast High Insider Ownership?
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Alliant Energy insiders own about US$19m worth of shares. That equates to 0.1% of the company. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
So What Does This Data Suggest About Alliant Energy Insiders?
It doesn't really mean much that no insider has traded Alliant Energy shares in the last quarter. On a brighter note, the transactions over the last year are encouraging. Insiders own shares in Alliant Energy and we see no evidence to suggest they are worried about the future. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Alliant Energy. Case in point: We've spotted 2 warning signs for Alliant Energy you should be aware of, and 1 of them is a bit concerning.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.
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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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts 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 does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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