Many Dun & Bradstreet Holdings, Inc. (NYSE:DNB) insiders ditched their stock over the past year, which may be of interest to the company's shareholders. When evaluating insider transactions, knowing whether insiders are buying versus if they selling is usually more beneficial, as the latter can be open to many interpretations. However, shareholders should take a deeper look if several insiders are selling stock over a specific time period.
While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.
Check out our latest analysis for Dun & Bradstreet Holdings
The Last 12 Months Of Insider Transactions At Dun & Bradstreet Holdings
In the last twelve months, the biggest single sale by an insider was when the Executive Chairman, William Foley, sold US$14m worth of shares at a price of US$10.72 per share. So we know that an insider sold shares at around the present share price of US$10.18. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.
Happily, we note that in the last year insiders paid US$1.3m for 120.25k shares. But they sold 1.50m shares for US$17m. Over the last year we saw more insider selling of Dun & Bradstreet Holdings shares, than buying. 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).
Insiders At Dun & Bradstreet Holdings Have Sold Stock Recently
The last quarter saw substantial insider selling of Dun & Bradstreet Holdings shares. In total, Chief Accounting Officer & Corporate Controller Anthony Pietrontone sold US$312k worth of shares in that time, and we didn't record any purchases whatsoever. Overall this makes us a bit cautious, but it's not the be all and end all.
Does Dun & Bradstreet Holdings Boast High Insider Ownership?
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. It's great to see that Dun & Bradstreet Holdings insiders own 8.8% of the company, worth about US$383m. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
So What Does This Data Suggest About Dun & Bradstreet Holdings Insiders?
An insider hasn't bought Dun & Bradstreet Holdings stock in the last three months, but there was some selling. Despite some insider buying, the longer term picture doesn't make us feel much more positive. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. 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. Be aware that Dun & Bradstreet Holdings is showing 3 warning signs in our investment analysis, and 1 of those shouldn't be ignored...
Of course Dun & Bradstreet Holdings 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 of direct interests only, but not derivative transactions or indirect interests.
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