Some Tri Pointe Homes, Inc. (NYSE:TPH) shareholders may be a little concerned to see that the CFO, Chief Accounting Officer & Treasurer, Glenn Keeler, recently sold a substantial US$1.1m worth of stock at a price of US$46.16 per share. That sale reduced their total holding by 28% which is hardly insignificant, but far from the worst we've seen.
The Last 12 Months Of Insider Transactions At Tri Pointe Homes
In the last twelve months, the biggest single sale by an insider was when the CEO & Non-Independent Director, Douglas Bauer, sold US$2.7m worth of shares at a price of US$39.78 per share. That means that an insider was selling shares at slightly below the current price (US$45.25). 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. This single sale was just 8.4% of Douglas Bauer's stake.
Insiders in Tri Pointe Homes didn't buy any shares in the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
I will like Tri Pointe Homes 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
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. Tri Pointe Homes insiders own about US$103m worth of shares (which is 2.4% 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 Tri Pointe Homes Tell Us?
Insiders sold stock recently, but they haven't been buying. And there weren't any purchases to give us comfort, over the last year. It is good to see high insider ownership, but the insider selling leaves us cautious. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Tri Pointe Homes. For example - Tri Pointe Homes has 1 warning sign we think you should be aware of.
Of course Tri Pointe Homes 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.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com