Viewing insider transactions for JetBlue Airways Corporation's (NASDAQ:JBLU ) over the last year, we see that insiders were net sellers. This means that a larger number of shares were sold by insiders in relation to shares purchased.
Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether.
The Last 12 Months Of Insider Transactions At JetBlue Airways
In the last twelve months, the biggest single sale by an insider was when the insider, Vladimir Galkin, sold US$7.4m worth of shares at a price of US$7.25 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The silver lining is that this sell-down took place above the latest price (US$6.32). So it is hard to draw any strong conclusion from it. Vladimir Galkin was the only individual insider to sell shares in the last twelve months. Notably Vladimir Galkin was also the biggest buyer, having purchased US$4.5m worth of shares.
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!
If you are like me, then you will not want to miss this free list of small cap stocks that are not only being bought by insiders but also have attractive valuations.
JetBlue Airways Insiders Are Selling The Stock
We've seen more insider selling than insider buying at JetBlue Airways recently. We note insider Vladimir Galkin cashed in US$7.4m worth of shares. On the other hand we note insider Vladimir Galkin bought US$4.5m worth of shares , as previously mentioned . Because the selling vastly outweighs the buying, we'd say this is a somewhat bearish sign.
Insider Ownership
For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. JetBlue Airways insiders own about US$28m worth of shares. That equates to 1.3% 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.
What Might The Insider Transactions At JetBlue Airways Tell Us?
Unfortunately, there has been more insider selling of JetBlue Airways stock, than buying, in the last three months. Zooming out, the longer term picture doesn't give us much comfort. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We're in no rush to buy! So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. At Simply Wall St, we've found that JetBlue Airways has 3 warning signs (1 is a bit concerning!) that deserve your attention before going any further with your analysis.
But note: JetBlue Airways 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.
