Some Howmet Aerospace Inc. (NYSE:HWM) shareholders may be a little concerned to see that the Executive VP & CFO, Kenneth Giacobbe, recently sold a substantial US$15m worth of stock at a price of US$96.58 per share. That sale reduced their total holding by 50% which is hardly insignificant, but far from the worst we've seen.

The Last 12 Months Of Insider Transactions At Howmet Aerospace

In fact, the recent sale by Kenneth Giacobbe was the biggest sale of Howmet Aerospace shares made by an insider individual in the last twelve months, according to our records. That means that even when the share price was slightly below the current price of US$97.08, an insider wanted to cash in some shares. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. We note that the biggest single sale was only 50% of Kenneth Giacobbe's holding.

Howmet Aerospace 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 click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

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 Of Howmet Aerospace

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that Howmet Aerospace insiders own 1.1% of the company, worth about US$440m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Does This Data Suggest About Howmet Aerospace Insiders?

Insiders sold stock recently, but they haven't been buying. And even if we look at the last year, we didn't see any purchases. But it is good to see that Howmet Aerospace is growing earnings. 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 Howmet Aerospace. You'd be interested to know, that we found 2 warning signs for Howmet Aerospace and we suggest you have a look.

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.