Yahoo Finance Bristol-Myers Squibb Insiders Sell US$1.1m Of Stock, Possibly Signalling Caution
Many Bristol-Myers Squibb Company (NYSE:BMY) 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, when multiple insiders sell stock over a specific duration, shareholders should take notice as that could possibly be a red flag.
While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.
Check out our latest analysis for Bristol-Myers Squibb
Bristol-Myers Squibb Insider Transactions Over The Last Year
Over the last year, we can see that the biggest insider sale was by the insider, Ann M. Judge, for US$1.1m worth of shares, at about US$61.25 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is US$44.04. So it may not tell us anything about how insiders feel about the current share price.
Over the last year, we can see that insiders have bought 13.57k shares worth US$673k. But insiders sold 18.72k shares worth US$1.1m. All up, insiders sold more shares in Bristol-Myers Squibb than they bought, over 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!
If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.
Does Bristol-Myers Squibb 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. We usually like to see fairly high levels of insider ownership. It appears that Bristol-Myers Squibb insiders own 0.07% of the company, worth about US$65m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
What Might The Insider Transactions At Bristol-Myers Squibb Tell Us?
It doesn't really mean much that no insider has traded Bristol-Myers Squibb shares in the last quarter. We don't take much encouragement from the transactions by Bristol-Myers Squibb insiders. But we do like the fact that insiders own a fair chunk of the company. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. At Simply Wall St, we found 2 warning signs for Bristol-Myers Squibb that deserve your attention before buying any shares.
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 of direct interests only, but not derivative transactions or indirect interests.
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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.
