We wouldn't blame Matson, Inc. (NYSE:MATX) shareholders if they were a little worried about the fact that Vicente Angoco, the Senior Vice President of Alaska recently netted about US$1.0m selling shares at an average price of US$114. That sale reduced their total holding by 30% which is hardly insignificant, but far from the worst we've seen.
Matson Insider Transactions Over The Last Year
In fact, the recent sale by Senior Vice President of Alaska Vicente Angoco was not their only sale of Matson shares this year. They previously made an even bigger sale of -US$1.0m worth of shares at a price of US$90.52 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of US$113. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. This single sale was just 33% of Vicente Angoco's stake.
In total, Matson insiders sold more than they bought over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!
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Insider Ownership
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Matson insiders own 2.5% of the company, worth about US$97m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.
So What Do The Matson Insider Transactions Indicate?
Insiders sold Matson shares recently, but they didn't buy any. Despite some insider buying, the longer term picture doesn't make us feel much more positive. While insiders do own shares, they don't own a heap, and they have been selling. We'd practice some caution before buying! 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. For instance, we've identified 2 warning signs for Matson (1 is a bit concerning) you should be aware of.
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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.