Some Modine Manufacturing Company (NYSE:MOD) shareholders may be a little concerned to see that the President of Climate Solutions, Eric McGinnis, recently sold a substantial US$5.6m worth of stock at a price of US$127 per share. That diminished their holding by a very significant 64%, which arguably implies a strong desire to reallocate capital.
Modine Manufacturing Insider Transactions Over The Last Year
Notably, that recent sale by Eric McGinnis is the biggest insider sale of Modine Manufacturing shares that we've seen in the last year. So what is clear is that an insider saw fit to sell at around the current price of US$120. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive).
Modine Manufacturing insiders didn't buy any shares over the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!
For those who like to find hidden gems this free list of small cap companies with recent insider purchasing, could be just the ticket.
Insider Ownership Of Modine Manufacturing
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Modine Manufacturing insiders own about US$137m worth of shares (which is 2.0% of the company). Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.
So What Do The Modine Manufacturing Insider Transactions Indicate?
An insider sold Modine Manufacturing shares recently, but they didn't buy any. 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 Modine Manufacturing. For example - Modine Manufacturing has 1 warning sign we think you should be aware of.
But note: Modine Manufacturing 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.
