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Chief People Officer Of PVH Sold 100% Of Their Shares

Simply Wall St ·  Dec 15, 2023 05:26

We wouldn't blame PVH Corp. (NYSE:PVH) shareholders if they were a little worried about the fact that Julie Fuller, the Chief People Officer recently netted about US$1.6m selling shares at an average price of US$109. Probably the most concerning element of the whole transaction is that the disposal amounted to 100% of their entire holding.

Check out our latest analysis for PVH

PVH Insider Transactions Over The Last Year

Notably, that recent sale by Julie Fuller is the biggest insider sale of PVH shares that we've seen in the last year. That means that an insider was selling shares at slightly below the current price (US$117). 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. It is worth noting that this sale was 100% of Julie Fuller's holding.

Insiders in PVH didn't buy any shares in the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

insider-trading-volume
NYSE:PVH Insider Trading Volume December 15th 2023

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Insider Ownership Of PVH

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. PVH insiders own about US$30m worth of shares. That equates to 0.4% of the company. 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 PVH Insider Transactions Indicate?

Insiders haven't bought PVH stock in the last three months, but there was some selling. Looking to the last twelve months, our data doesn't show any insider buying. But it is good to see that PVH is growing earnings. While insiders do own shares, they don't own a heap, and they have been selling. So we'd only buy after careful consideration. 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. For example - PVH has 1 warning sign we think you should be aware of.

But note: PVH 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.

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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.

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