Potential Beacon Roofing Supply, Inc. (NASDAQ:BECN) shareholders may wish to note that the Executive VP & CFO, Prithvi Gandhi, recently bought US$411k worth of stock, paying US$82.29 for each share. Although the purchase is not a big one, by either a percentage standpoint or absolute value, it can be seen as a good sign.
Beacon Roofing Supply Insider Transactions Over The Last Year
In the last twelve months, the biggest single sale by an insider was when the President, Julian Francis, sold US$964k worth of shares at a price of US$97.91 per share. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. It's of some comfort that this sale was conducted at a price well above the current share price, which is US$85.93. So it may not tell us anything about how insiders feel about the current share price.
In the last twelve months insiders purchased 6.73k shares for US$537k. But they sold 26.75k shares for US$2.4m. In total, Beacon Roofing Supply insiders sold more than they bought 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!
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Insider Ownership Of Beacon Roofing Supply
Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. Insiders own 0.7% of Beacon Roofing Supply shares, worth about US$37m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
So What Does This Data Suggest About Beacon Roofing Supply Insiders?
The insider sales have outweighed the insider buying, at Beacon Roofing Supply, in the last three months. Zooming out, the longer term picture doesn't give us much comfort. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We'd practice some caution before buying! While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. For instance, we've identified 2 warning signs for Beacon Roofing Supply (1 is concerning) you should be aware of.
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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.