Some The Duckhorn Portfolio, Inc. (NYSE:NAPA) shareholders may be a little concerned to see that the Executive VP & Chief Sales Officer, Pete Przybylinski, recently sold a substantial US$1.0m worth of stock at a price of US$10.00 per share. That sale reduced their total holding by 20% which is hardly insignificant, but far from the worst we've seen.
View our latest analysis for Duckhorn Portfolio
Duckhorn Portfolio Insider Transactions Over The Last Year
In fact, the recent sale by Pete Przybylinski was the biggest sale of Duckhorn Portfolio shares made by an insider individual in the last twelve months, according to our records. So what is clear is that an insider saw fit to sell at around the current price of US$9.61. While insider selling is a negative, to us, it is more negative if the shares are sold 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.
All up, insiders sold more shares in Duckhorn Portfolio 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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Insider Ownership Of Duckhorn Portfolio
For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that Duckhorn Portfolio insiders own 3.3% of the company, worth about US$38m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
So What Does This Data Suggest About Duckhorn Portfolio Insiders?
The stark truth for Duckhorn Portfolio is that there has been more insider selling than insider buying in the last three months. And our longer term analysis of insider transactions didn't bring confidence, either. But since Duckhorn Portfolio is profitable and growing, we're not too worried by this. While insiders do own shares, they don't own a heap, and they have been selling. So we'd only buy after careful consideration. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Case in point: We've spotted 1 warning sign for Duckhorn Portfolio you should be aware of.
Of course Duckhorn Portfolio 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.
