Don't Ignore The Insider Selling In SKS Technologies Group

Anyone interested in SKS Technologies Group Limited (ASX:SKS) should probably be aware that the Non-Executive Director, Terence Grigg, recently divested AU$584k worth of shares in the company, at an average price of AU$10.21 each. That sale was 19% of their holding, so it does make us raise an eyebrow.

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The Last 12 Months Of Insider Transactions At SKS Technologies Group

Notably, that recent sale by Terence Grigg is the biggest insider sale of SKS Technologies Group shares that we've seen in the last year. That means that an insider was selling shares at around the current price of AU$9.65. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign.

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!

See our latest analysis for SKS Technologies Group

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).

Does SKS Technologies Group Boast High 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. I reckon it's a good sign if insiders own a significant number of shares in the company. SKS Technologies Group insiders own about AU$215m worth of shares (which is 19% of the company). I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At SKS Technologies Group Tell Us?

An insider sold stock recently, but they haven't been buying. And there weren't any purchases to give us comfort, over the last year. But it is good to see that SKS Technologies Group is growing earnings. It is good to see high insider ownership, but the insider selling leaves us cautious. Of course, the future is what matters most. So if you are interested in SKS Technologies Group, you should check out this free report on analyst forecasts for the company.

Of course SKS Technologies Group 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.