Some Thermo Fisher Scientific Inc. (NYSE:TMO) shareholders may be a little concerned to see that the Chief Human Resources Officer & Senior VP, Lisa Britt, recently sold a substantial US$2.2m worth of stock at a price of US$613 per share. That sale reduced their total holding by 21% which is hardly insignificant, but far from the worst we've seen.

The Last 12 Months Of Insider Transactions At Thermo Fisher Scientific

In fact, the recent sale by Lisa Britt was the biggest sale of Thermo Fisher Scientific shares made by an insider individual in the last twelve months, according to our records. That means that an insider was selling shares at below the current price (US$615). As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. It is worth noting that this sale was only 21% of Lisa Britt's holding.

Thermo Fisher Scientific insiders didn't buy any shares over the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).

Insider Ownership Of Thermo Fisher Scientific

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. Thermo Fisher Scientific insiders own 0.1% of the company, currently worth about US$275m based on the recent share price. 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 Thermo Fisher Scientific Insiders?

An insider hasn't bought Thermo Fisher Scientific stock in the last three months, but there was some selling. And there weren't any purchases to give us comfort, over the last year. But it is good to see that Thermo Fisher Scientific is growing earnings. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. You'd be interested to know, that we found 2 warning signs for Thermo Fisher Scientific 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 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.

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