We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. The flip side of that is that there are more than a few examples of insiders dumping stock prior to a period of weak performance. So before you buy or sellDiscover Financial Services(NYSE:DFS), you may well want to know whether insiders have been buying or selling.
What Is Insider Selling?
Most investors know that it is quite permissible for company leaders, such as directors of the board, to buy and sell stock in the company. However, such insiders must disclose their trading activities, and not trade on inside information.
We would never suggest that investors should base their decisions solely on what the directors of a company have been doing. But equally, we would consider it foolish to ignore insider transactions altogether. For example, a Harvard University study found that 'insider purchases earn abnormal returns of more than 6% per year'.
Check out our latest analysis for Discover Financial Services
Discover Financial Services Insider Transactions Over The Last Year
Over the last year, we can see that the biggest insider sale was by the insider, Glenn Schneider, for US$1.1m worth of shares, at about US$74.21 per share. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The silver lining is that this sell-down took place above the latest price (US$54.25). So it may not tell us anything about how insiders feel about the current share price.
In the last twelve months insiders purchased 37.43k shares for US$2.3m. But they sold 16.92k shares for US$1.2m. In the last twelve months there was more buying than selling by Discover Financial Services insiders. Their average price was about US$62.35. These transactions suggest that insiders have considered the current price attractive. 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!
Discover Financial Services is not the only stock insiders are buying. So take a peek at thisfreelist of growing companies with insider buying.
Discover Financial Services Insiders Are Selling The Stock
The last quarter saw substantial insider selling of Discover Financial Services shares. Specifically, Independent Director Mary Bush ditched US$95k worth of shares in that time, and we didn't record any purchases whatsoever. This may suggest that some insiders think that the shares are not cheap.
Insider Ownership
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. A high insider ownership often makes company leadership more mindful of shareholder interests. It's great to see that Discover Financial Services insiders own 0.6% of the company, worth about US$107m. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.
So What Do The Discover Financial Services Insider Transactions Indicate?
An insider hasn't bought Discover Financial Services stock in the last three months, but there was some selling. But we take heart from prior transactions. On top of that, insiders own a significant portion of the company. So we're not too bothered by recent selling. While we like knowing 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. While conducting our analysis, we found that Discover Financial Services has3 warning signsand it would be unwise to ignore these.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss thisfreelist of interesting companies, that have HIGH return on equity and low debt.
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, but not derivative transactions.
This article by Simply Wall St is general in nature. 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.
Have feedback on this article? Concerned about the content?Get in touchwith us directly.Alternatively, email editorial-team@simplywallst.com.
我們已經數不清內部人士在一家持續顯著改善的公司中積累了多少股票。另一方面,在業績疲軟時期之前,內部人士拋售股票的例子比比皆是。因此,在你買入或賣出Discover Financial Services(紐約證券交易所代碼:DFS)之前,你很可能想知道內部人士一直在買入還是賣出。
“內幕”賣的是什麼?
大多數投資者都知道,公司領導人,如董事會董事,買賣公司股票是完全允許的。然而,這些內部人士必須披露他們的交易活動,而不是利用內幕消息進行交易。
我們絕不會建議投資者只根據公司董事的所作所為來作出決定。但同樣,我們也會認為完全忽視內幕交易是愚蠢的。例如,哈佛大學(Harvard University)的一項研究發現,“內幕購買每年獲得超過6%的異常回報”。
查看我們對Discover Financial Services的最新分析
發現過去一年的金融服務內幕交易
過去一年,我們可以看到,最大的內幕出售是由內部人士格倫·施耐德(Glenn Schneider)以每股74.21美元的價格購買了價值110萬美元的股票。雖然內幕出售是負面的,但對我們來説,如果股票以較低的價格出售,負面影響就更大。一線希望是,這次拋售發生在最新價格(54.25美元)之上。因此,它可能不會告訴我們任何關於內部人士對當前股價的感受。
在過去的12個月裏,內部人士以230萬美元的價格購買了374.3萬股股票。但他們以120萬美元的價格出售了1692萬股。在過去的12個月裏,Discover金融服務內部人士的買入多於賣出。它們的平均價格約為62.35美元。這些交易表明,內部人士認為目前的價格很有吸引力。您可以在下面看到過去12個月(按公司和個人)進行的內幕交易的直觀描述。如果您想確切知道誰賣了,賣了多少,賣了多少,什麼時候賣,只需點擊下面的圖表即可!
發現金融服務並不是內部人士唯一買入的股票。因此,讓我們來看看這份內幕收購的成長型公司的免費名單。
發現金融服務內部人士正在拋售股票
上個季度,發現金融服務公司(Discover Financial Services)的股票出現了大量內幕拋售。具體地説,獨立董事瑪麗·布什(Mary Bush)在那段時間拋售了價值95K美元的股票,我們沒有記錄任何買入。這可能暗示一些內部人士認為該股並不便宜。
內部人所有權
我喜歡看看內部人士在一家公司擁有多少股份,以幫助我瞭解他們與內部人士的關係。內部人持股比例高往往會讓公司領導層更加關注股東利益。很高興看到Discover Financial Services內部人士擁有該公司0.6%的股份,價值約1.07億美元。大多數股東會樂於看到這種內部人持股,因為這表明管理層的激勵與其他股東很好地結合在一起。
那麼,發現金融服務內幕交易表明了什麼呢?
一位內部人士在過去三個月裏沒有買入Discover Financial Services的股票,但出現了一些拋售。但我們從之前的交易中振作起來。最重要的是,內部人士擁有公司很大一部分股份。所以我們對最近的拋售並不太在意。雖然我們喜歡知道內部人的所有權和交易情況,但在做出任何投資決定之前,我們也要確保考慮到股票面臨的風險。在進行分析時,我們發現Discover Financial Services有3個警告標誌,忽視它們是不明智的。
如果你更願意看看另一家公司--一家財務狀況可能更好的公司--那麼不要錯過這份有趣的公司名單,這些公司的股本回報率很高,債務卻很低。
就本文而言,內部人是指向相關監管機構報告其交易的個人。我們目前負責公開市場交易和私人處置,但不包括衍生品交易。
簡而言之,這篇由華爾街撰寫的文章本質上是概括性的。它不構成買賣任何股票的建議,也沒有考慮你的目標或你的財務狀況。我們的目標是為您帶來由基本面數據驅動的長期重點分析。請注意,我們的分析可能不會將最新的對價格敏感的公司公告或定性材料考慮在內。簡單地説,華爾街在提到的任何股票中都沒有頭寸。
對這篇文章有什麼反饋嗎?對內容感興趣?請直接與我們聯繫。或者,發送電子郵件至edit-team@simplywallst.com。