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Keurig Dr Pepper's Karin Rotem-Wildeman Acquires 187% More Stock

Those following along with Keurig Dr Pepper Inc. (NASDAQ:KDP) will no doubt be intrigued by the recent purchase of shares by insider Karin Rotem-Wildeman, who spent a stonking US$1.8m on stock at an average price of US$34.30. That increased their holding by a full 187%, which arguably implies the sort of confidence required for a shy sweet-natured nerd to ask the most popular kid in the school to go out on a date.

Check out our latest analysis for Keurig Dr Pepper

The Last 12 Months Of Insider Transactions At Keurig Dr Pepper

In the last twelve months, the biggest single sale by an insider was when the Independent Director, Larry Young, sold US$6.0m worth of shares at a price of US$38.67 per share. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. The silver lining is that this sell-down took place above the latest price (US$33.60). So it may not tell us anything about how insiders feel about the current share price.

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Happily, we note that in the last year insiders paid US$10m for 295.09k shares. But they sold 191.43k shares for US$7.2m. Overall, Keurig Dr Pepper insiders were net buyers during the last year. You can see a visual depiction of insider transactions (by companies and 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!

insider-trading-volume
insider-trading-volume

Keurig Dr Pepper is not the only stock that insiders are buying. For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Insider Ownership Of Keurig Dr Pepper

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. Keurig Dr Pepper insiders own about US$514m worth of shares (which is 1.1% of the company). Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Does This Data Suggest About Keurig Dr Pepper Insiders?

It is good to see recent purchasing. And an analysis of the transactions over the last year also gives us confidence. When combined with notable insider ownership, these factors suggest Keurig Dr Pepper insiders are well aligned, and quite possibly think the share price is too low. Nice! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. For example, Keurig Dr Pepper has 4 warning signs (and 1 which is concerning) we think you should know about.

Of course Keurig Dr Pepper 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.