We wouldn't blame World Kinect Corporation (NYSE:WKC) shareholders if they were a little worried about the fact that Michael Kasbar, the Chairman recently netted about US$1.6m selling shares at an average price of US$27.92. However, that sale only accounted for 6.4% of their holding, so arguably it doesn't say much about their conviction.

World Kinect Insider Transactions Over The Last Year

In fact, the recent sale by Michael Kasbar was the biggest sale of World Kinect shares made by an insider individual in the last twelve months, according to our records. That means that even when the share price was slightly below the current price of US$28.37, an insider wanted to cash in some shares. 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. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. This single sale was just 6.4% of Michael Kasbar's stake.

In the last year World Kinect insiders didn't buy any company stock. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

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Insider Ownership

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. Insiders own 2.9% of World Kinect shares, worth about US$47m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Do The World Kinect Insider Transactions Indicate?

Insiders sold World Kinect shares recently, but they didn't buy any. Looking to the last twelve months, our data doesn't show any insider buying. But since World Kinect is profitable and growing, we're not too worried by this. Insiders own shares, but we're still pretty cautious, given the history of sales. So we'd only buy after careful consideration. 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. To assist with this, we've discovered 2 warning signs that you should run your eye over to get a better picture of World Kinect.

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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.