We'd be surprised if Vishay Intertechnology, Inc. (NYSE:VSH) shareholders haven't noticed that the Independent Director, Raanan Zilberman, recently sold US$388k worth of stock at US$23.58 per share. In particular, we note that the sale equated to a 100% reduction in their position size, which doesn't exactly instill confidence.
Vishay Intertechnology Insider Transactions Over The Last Year
In the last twelve months, the biggest single sale by an insider was when the Independent Director, Abraham Ludomirski, sold US$1.8m worth of shares at a price of US$23.84 per share. So we know that an insider sold shares at around the present share price of US$22.29. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. 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.
In total, Vishay Intertechnology insiders sold more 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!
I will like Vishay Intertechnology 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
I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with 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. Vishay Intertechnology insiders own about US$85m worth of shares. That equates to 2.8% of the company. 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 Vishay Intertechnology Insiders?
Unfortunately, there has been more insider selling of Vishay Intertechnology stock, than buying, in the last three months. 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're in no rush to buy! 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. Be aware that Vishay Intertechnology is showing 4 warning signs in our investment analysis, and 1 of those is significant...
But note: Vishay Intertechnology 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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