Anyone interested in Red Robin Gourmet Burgers, Inc. (NASDAQ:RRGB) should probably be aware that the CEO, Director & President, Gerard Hart, recently divested US$104k worth of shares in the company, at an average price of US$4.43 each. However, the silver lining is that the sale only reduced their total holding by 8.6%, so we're hesitant to read anything much into it, on its own.

Red Robin Gourmet Burgers Insider Transactions Over The Last Year

Notably, that recent sale by Gerard Hart is the biggest insider sale of Red Robin Gourmet Burgers 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$4.33. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.

Happily, we note that in the last year insiders paid US$50k for 15.00k shares. But insiders sold 32.28k shares worth US$143k. Over the last year we saw more insider selling of Red Robin Gourmet Burgers shares, than buying. 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!

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).

Does Red Robin Gourmet Burgers 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. We usually like to see fairly high levels of insider ownership. Our data suggests Red Robin Gourmet Burgers insiders own 3.4% of the company, worth about US$2.5m. I generally like to see higher levels of ownership.

What Might The Insider Transactions At Red Robin Gourmet Burgers Tell Us?

Insiders sold stock recently, but they haven't been buying. Despite some insider buying, the longer term picture doesn't make us feel much more positive. When you combine this with the relatively low insider ownership, we are very cautious about the stock. So we'd only buy after very careful consideration. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Red Robin Gourmet Burgers. While conducting our analysis, we found that Red Robin Gourmet Burgers has 5 warning signs and it would be unwise to ignore them.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.