We'd be surprised if First Business Financial Services, Inc. (NASDAQ:FBIZ) shareholders haven't noticed that the President, James Hartlieb, recently sold US$274k worth of stock at US$43.15 per share. That sale was 18% of their holding, so it does make us raise an eyebrow.

The Last 12 Months Of Insider Transactions At First Business Financial Services

Notably, that recent sale by James Hartlieb is the biggest insider sale of First Business Financial Services shares that we've seen in the last year. That means that an insider was selling shares at below the current price (US$43.18). 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 18% of James Hartlieb's stake.

Over the last year, we can see that insiders have bought 748.00 shares worth US$29k. But they sold 15.05k shares for US$620k. In total, First Business Financial Services insiders sold more than they bought over the last year. They sold for an average price of about US$41.22. We don't gain confidence from insider selling below the recent share price. Of course, the sales could be motivated for a multitude of reasons, so we shouldn't jump to conclusions. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

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Does First Business Financial Services Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. First Business Financial Services insiders own about US$25m worth of shares. That equates to 7.0% 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.

What Might The Insider Transactions At First Business Financial Services Tell Us?

The insider sales have outweighed the insider buying, at First Business Financial Services, in the last three months. And our longer term analysis of insider transactions didn't bring confidence, either. On the plus side, First Business Financial Services makes money, and is growing profits. While insiders do own shares, they don't own a heap, and they have been selling. We'd practice some caution before buying! While it's good to be aware of 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. At Simply Wall St, we found 1 warning sign for First Business Financial Services that deserve your attention before buying any shares.

Of course First Business Financial Services 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.