Some The Brink's Company (NYSE:BCO) shareholders may be a little concerned to see that the Executive VP and President of Latin America & Global Services, Dominik Bossart, recently sold a substantial US$850k worth of stock at a price of US$84.96 per share. That's a big disposal, and it decreased their holding size by 30%, which is notable but not too bad.
The Last 12 Months Of Insider Transactions At Brink's
In fact, the recent sale by Executive VP and President of Latin America & Global Services Dominik Bossart was not their only sale of Brink's shares this year. They previously made an even bigger sale of -US$1.0m worth of shares at a price of US$70.00 per share. That means that even when the share price was below the current price of US$84.50, an insider wanted to cash in some shares. 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. 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 only 33% of Dominik Bossart's holding.
Brink's insiders didn't buy any shares over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.
Insider Ownership
For a common shareholder, it is worth checking how many shares are held by company 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. It appears that Brink's insiders own 2.5% of the company, worth about US$95m. 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 Brink's Insider Transactions Indicate?
Insiders sold Brink's shares recently, but they didn't buy any. And even if we look at the last year, we didn't see any purchases. While insiders do own shares, they don't own a heap, and they have been selling. So we'd only buy after careful consideration. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Brink's. When we did our research, we found 4 warning signs for Brink's (1 is potentially serious!) that we believe deserve your full attention.
But note: Brink's 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.
