This Insider Has Just Sold Shares In Matson

We wouldn't blame Matson, Inc. (NYSE:MATX) shareholders if they were a little worried about the fact that Matthew Cox, the Chairman & CEO recently netted about US$2.3m selling shares at an average price of US$228. However, that sale only accounted for 5.2% of their holding, so arguably it doesn't say much about their conviction.

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Matson Insider Transactions Over The Last Year

Notably, that recent sale by Matthew Cox is the biggest insider sale of Matson shares that we've seen in the last year. So what is clear is that an insider saw fit to sell at around the current price of US$222. 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.

In the last year Matson insiders didn't buy any company stock. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

View our latest analysis for Matson

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Does Matson 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. A high insider ownership often makes company leadership more mindful of shareholder interests. Matson insiders own 2.3% of the company, currently worth about US$152m based on the recent share price. 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 Matson Insider Transactions Indicate?

Insiders sold Matson shares recently, but they didn't buy any. And even if we look at the last year, we didn't see any purchases. But it is good to see that Matson 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 Matson. At Simply Wall St, we found 1 warning sign for Matson that deserve your attention before buying any shares.

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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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