Some Spok Holdings, Inc. (NASDAQ:SPOK) shareholders may be a little concerned to see that the President, Vincent Kelly, recently sold a substantial US$667k worth of stock at a price of US$14.83 per share. That sale reduced their total holding by 18% which is hardly insignificant, but far from the worst we've seen.

Spok Holdings Insider Transactions Over The Last Year

Notably, that recent sale by President Vincent Kelly was not the only time they sold Spok Holdings shares this year. Earlier in the year, they fetched US$16.91 per share in a -US$1.2m sale. 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$14.78. So it may not tell us anything about how insiders feel about the current share price.

All up, insiders sold more shares in Spok Holdings than they bought, over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

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Does Spok Holdings Boast High 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. Our data indicates that Spok Holdings insiders own about US$7.4m worth of shares (which is 2.5% of the company). Whilst better than nothing, we're not overly impressed by these holdings.

So What Do The Spok Holdings Insider Transactions Indicate?

Insiders haven't bought Spok Holdings stock in the last three months, but there was some selling. And our longer term analysis of insider transactions didn't bring confidence, either. When you combine this with the relatively low insider ownership, we are very cautious about the stock. So we're not rushing to buy, to say the least. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Spok Holdings. When we did our research, we found 3 warning signs for Spok Holdings (1 is a bit concerning!) that we believe deserve your full attention.

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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.