Yahoo Finance As The PNC Financial Services Group, Inc.'s (NYSE:PNC)) market cap dropped by US$2.7b, insiders who sold US$3.4m worth of stock were able to offset their losses
By selling US$3.4m worth of The PNC Financial Services Group, Inc. (NYSE:PNC) stock at an average sell price of US$187 over the last year, insiders seemed to have made the most of their holdings. The company's market valuation decreased by US$2.7b after the stock price dropped 3.9% over the past week, but insiders were spared from painful losses.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.
See our latest analysis for PNC Financial Services Group
PNC Financial Services Group Insider Transactions Over The Last Year
Over the last year, we can see that the biggest insider sale was by the Executive VP and Head of Corporate & Institutional Banking, Michael Lyons, for US$1.0m worth of shares, at about US$183 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The silver lining is that this sell-down took place above the latest price (US$157). So it is hard to draw any strong conclusion from it.
Over the last year we saw more insider selling of PNC Financial Services Group shares, than buying. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. 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.
Insiders At PNC Financial Services Group Have Sold Stock Recently
Over the last three months, we've seen significant insider selling at PNC Financial Services Group. In total, Executive VP and Head of Corporate & Institutional Banking Michael Lyons sold US$584k worth of shares in that time, and we didn't record any purchases whatsoever. In light of this it's hard to argue that all the insiders think that the shares are a bargain.
Insider Ownership Of PNC Financial Services Group
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that PNC Financial Services Group insiders own 0.3% of the company, worth about US$220m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
So What Does This Data Suggest About PNC Financial Services Group Insiders?
An insider 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 PNC Financial Services Group is profitable and growing, we're not too worried by this. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. You'd be interested to know, that we found 1 warning sign for PNC Financial Services Group and we suggest you have a look.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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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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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