Yahoo Finance Have Insiders Been Selling GVC Holdings PLC (LON:GVC) Shares?
We’ve lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. On the other hand, we’d be remiss not to mention that insider sales have been known to precede tough periods for a business. So shareholders might well want to know whether insiders have been buying or selling shares in GVC Holdings PLC (LON:GVC).
Do Insider Transactions Matter?
It’s quite normal to see company insiders, such as board members, trading in company stock, from time to time. However, rules govern insider transactions, and certain disclosures are required.
We would never suggest that investors should base their decisions solely on what the directors of a company have been doing. But it is perfectly logical to keep tabs on what insiders are doing. For example, a Harvard University study found that ‘insider purchases earn abnormal returns of more than 6% per year.’
View our latest analysis for GVC Holdings
The Last 12 Months Of Insider Transactions At GVC Holdings
In the last twelve months, the biggest single sale by an insider was when CEO & Executive Director Kenneth Alexander sold UK£6.4m worth of shares at a price of UK£9.10 per share. That is hardly a positive sign, even though it took place above the latest price (UK£7.17). So it may not shed much light on insider confidence at current levels.
In the last twelve months insiders purchased 493.40k shares for UK£4.3m. On the other hand they divested 1.09m shares, for UK£9.8m. All up, insiders sold more shares in GVC Holdings than they bought, over the last year. They sold for an average price of about UK£9.01. Insider selling doesn’t make us excited to buy. But we note that the selling, on average, was at well above the recently traded price of UK£7.17. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
GVC Holdings is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.
Insiders at GVC Holdings Have Bought Stock Recently
Over the last quarter, GVC Holdings insiders have spent a meaningful amount on shares. Specifically, J. Paul Bowtell bought UK£733k worth of shares in that time, and we didn’t record any sales whatsoever. This makes one think the business has some good points.
Insider Ownership
For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it’s a good sign if insiders own a significant number of shares in the company. It appears that GVC Holdings insiders own 0.9% of the company, worth about UK£36m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
So What Do The GVC Holdings Insider Transactions Indicate?
It’s certainly positive to see the recent insider purchase. But we can’t say the same for the transactions over the last 12 months. We don’t take much heart from transactions by GVC Holdings insiders over the last year. But they own a reasonable amount of the company, and there was some buying recently. In short they are likely aligned with shareholders. If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.
Of course GVC Holdings may not be the best stock to buy. So you may wish to see this free collection of high quality companies.
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