We'd be surprised if Greenlight Capital Re, Ltd. (NASDAQ:GLRE) shareholders haven't noticed that the Independent Director, Ian Isaacs, recently sold US$125k worth of stock at US$13.84 per share. However, the silver lining is that the sale only reduced their total holding by 6.2%, so we're hesitant to read anything much into it, on its own.
Greenlight Capital Re Insider Transactions Over The Last Year
Notably, that recent sale by Ian Isaacs is the biggest insider sale of Greenlight Capital Re shares that we've seen in the last year. So we know that an insider sold shares at around the present share price of US$13.57. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.
Ian Isaacs divested 18.02k shares over the last 12 months at an average price of US$12.92. 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 like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).
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. I reckon it's a good sign if insiders own a significant number of shares in the company. Greenlight Capital Re insiders own about US$68m worth of shares. That equates to 14% 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.
So What Do The Greenlight Capital Re Insider Transactions Indicate?
An insider hasn't bought Greenlight Capital Re stock in the last three months, but there was some selling. 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. We'd practice some caution before buying! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Greenlight Capital Re. At Simply Wall St, we found 1 warning sign for Greenlight Capital Re that deserve your attention before buying any shares.
Of course Greenlight Capital Re 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.