Anyone interested in Verint Systems Inc. (NASDAQ:VRNT) should probably be aware that the Chief Financial Officer, Grant Highlander, recently divested US$377k worth of shares in the company, at an average price of US$29.25 each. The eyebrow raising move amounted to a reduction of 15% in their holding.
The Last 12 Months Of Insider Transactions At Verint Systems
The CEO & Chairman of the Board, Dan Bodner, made the biggest insider sale in the last 12 months. That single transaction was for US$13m worth of shares at a price of US$33.76 each. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. It's of some comfort that this sale was conducted at a price well above the current share price, which is US$26.87. So it may not tell us anything about how insiders feel about the current share price.
Insiders in Verint Systems didn't buy any shares in the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
I will like Verint Systems better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.
Insider Ownership Of Verint Systems
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. Insiders own 1.2% of Verint Systems shares, worth about US$20m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
What Might The Insider Transactions At Verint Systems Tell Us?
An insider hasn't bought Verint Systems 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. On the plus side, Verint Systems makes money, and is growing profits. Insiders own shares, but we're still pretty cautious, given the history of sales. We're in no rush to buy! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Verint Systems. At Simply Wall St, we found 1 warning sign for Verint Systems that deserve your attention before buying any shares.
But note: Verint Systems may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.
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.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.
