Viewing insider transactions for Travel + Leisure Co.’s (NYSE:TNL ) over the last year, we see that insiders were net sellers. This means that a larger number of shares were sold by insiders in relation to shares purchased.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.
Travel + Leisure Insider Transactions Over The Last Year
Over the last year, we can see that the biggest insider sale was by the Independent Director, George Herrera, for US$128k worth of shares, at about US$58.50 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. It’s of some comfort that this sale was conducted at a price well above the current share price, which is US$44.00. So it may not tell us anything about how insiders feel about the current share price. George Herrera was the only individual insider to sell over the last year.
Happily, we note that in the last year insiders paid US$66k for 1.28k shares. But they sold 4.11k shares for US$228k. George Herrera sold a total of 4.11k shares over the year at an average price of US$55.43. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).
Does Travel + Leisure Boast High Insider Ownership?
For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Travel + Leisure insiders own about US$42m worth of shares. That equates to 1.1% of the company. While this is a strong but not outstanding level of insider ownership, it is enough to indicate some alignment between management and smaller shareholders.
What Might The Insider Transactions At Travel + Leisure Tell Us?
The fact that there have been no Travel + Leisure insider transactions recently certainly doesn’t bother us. Our analysis of Travel + Leisure insider transactions leaves us cautious. But it’s good to see that insiders own shares in 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. Our analysis shows 2 warning signs for Travel + Leisure (1 shouldn’t be ignored!) and we strongly recommend you look at them before investing.
of course Travel + Leisure 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.
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