We wouldn't blame Intuit Inc. (NASDAQ:INTU) shareholders if they were a little worried about the fact that Eve Burton, the Independent Director recently netted about US$1.0m selling shares at an average price of US$600. Probably the most concerning element of the whole transaction is that the disposal amounted to 100% of their entire holding.

The Last 12 Months Of Insider Transactions At Intuit

Over the last year, we can see that the biggest insider sale was by the Executive VP and Chief People & Places Officer, Laura Fennell, for US$5.1m worth of shares, at about US$659 per share. That means that an insider was selling shares at around the current price of US$604. While we don't usually like to see insider selling, it's more concerning if the sales take place 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).

Intuit insiders didn't buy any shares over the last year. 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!

I will like Intuit 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

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. Intuit insiders own 2.3% of the company, currently worth about US$3.9b based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Does This Data Suggest About Intuit Insiders?

Insiders sold Intuit shares recently, but they didn't buy any. And there weren't any purchases to give us comfort, over the last year. But since Intuit is profitable and growing, we're not too worried by this. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. For example - Intuit has 1 warning sign we think you should be aware of.

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.