Some Darden Restaurants, Inc. (NYSE:DRI) shareholders may be a little concerned to see that the Senior VP & Chief Supply Chain Officer, Douglas Milanes, recently sold a substantial US$981k worth of stock at a price of US$172 per share. Probably the most concerning element of the whole transaction is that the disposal amounted to 60% of their entire holding.

Darden Restaurants Insider Transactions Over The Last Year

In fact, the recent sale by Douglas Milanes was the biggest sale of Darden Restaurants shares made by an insider individual in the last twelve months, according to our records. So we know that an insider sold shares at around the present share price of US$164. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.

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

For those who like to find hidden gems this free list of small cap companies with recent insider purchasing, could be just the ticket.

Does Darden Restaurants Boast High Insider Ownership?

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. Darden Restaurants insiders own about US$91m worth of shares. That equates to 0.5% of the company. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

What Might The Insider Transactions At Darden Restaurants Tell Us?

Insiders sold Darden Restaurants shares recently, but they didn't buy any. And there weren't any purchases to give us comfort, over the last year. On the plus side, Darden Restaurants makes money, and is growing profits. Insiders own shares, but we're still pretty cautious, given the history of sales. So we'd only buy after careful consideration. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. In terms of investment risks, we've identified 3 warning signs with Darden Restaurants and understanding them should be part of your investment process.

Of course Darden Restaurants may not be the best stock to buy. So you may wish to see this free collection of high quality 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.