Some Piper Sandler Companies (NYSE:PIPR) shareholders may be a little concerned to see that the Senior Managing Principal, Jonathan Doyle, recently sold a substantial US$3.0m worth of stock at a price of US$237 per share. However, that sale only accounted for 7.3% of their holding, so arguably it doesn't say much about their conviction.

The Last 12 Months Of Insider Transactions At Piper Sandler Companies

In fact, the recent sale by Senior Managing Principal Jonathan Doyle was not their only sale of Piper Sandler Companies shares this year. They previously made an even bigger sale of -US$5.5m worth of shares at a price of US$185 per share. That means that an insider was selling shares at slightly below the current price (US$242). We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. However, while insider selling is sometimes discouraging, it's only a weak signal. It is worth noting that this sale was only 15% of Jonathan Doyle's holding.

In the last year Piper Sandler Companies insiders didn't buy any company stock. 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 are like me, then you will not want to miss this free list of small cap stocks that are not only being bought by insiders but also have attractive valuations.

Insider Ownership Of Piper Sandler Companies

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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Piper Sandler Companies insiders own about US$129m worth of shares (which is 3.3% of the company). 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 Piper Sandler Companies Insiders?

An insider hasn't bought Piper Sandler Companies stock in the last three months, but there was some selling. And even if we look at the last year, we didn't see any purchases. But since Piper Sandler Companies is profitable and growing, we're not too worried by this. 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. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Piper Sandler Companies. For example - Piper Sandler Companies has 2 warning signs we think you should be aware of.

Of course Piper Sandler Companies 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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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.