We wouldn't blame Home Bancshares, Inc. (Conway, AR) (NYSE:HOMB) shareholders if they were a little worried about the fact that Jack Engelkes, the Independent Vice Chairman of the Board recently netted about US$753k selling shares at an average price of US$30.12. However, it's crucial to note that they remain very much invested in the stock and that sale only reduced their holding by 5.7%.

Home Bancshares (Conway AR) Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider sale was by the insider, James Hickman, for US$2.5m worth of shares, at about US$25.43 per share. That means that an insider was selling shares at slightly below the current price (US$29.84). 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. It is worth noting that this sale was only 20% of James Hickman's holding.

All up, insiders sold more shares in Home Bancshares (Conway AR) than they bought, over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

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Does Home Bancshares (Conway AR) Boast High 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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Home Bancshares (Conway AR) insiders own about US$418m worth of shares (which is 7.0% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

What Might The Insider Transactions At Home Bancshares (Conway AR) Tell Us?

An insider hasn't bought Home Bancshares (Conway AR) stock in the last three months, but there was some selling. And our longer term analysis of insider transactions didn't bring confidence, either. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. 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. Every company has risks, and we've spotted 1 warning sign for Home Bancshares (Conway AR) you should know about.

Of course Home Bancshares (Conway AR) 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.