Nasdaq
华尔街日报Trade Alert: Vice Chairman of Wealth Management Group Of First Hawaiian Alan Arizumi Has Sold Stock
We wouldn't blame First Hawaiian, Inc. (NASDAQ:FHB) shareholders if they were a little worried about the fact that Alan Arizumi, the Vice Chairman of Wealth Management Group recently netted about US$1.1m selling shares at an average price of US$25.35. That diminished their holding by a very significant 63%, which arguably implies a strong desire to reallocate capital.
First Hawaiian Insider Transactions Over The Last Year
In fact, the recent sale by Alan Arizumi was the biggest sale of First Hawaiian shares made by an insider individual in the last twelve months, according to our records. That means that an insider was selling shares at slightly below the current price (US$26.06). We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. However, while insider selling is sometimes discouraging, it's only a weak signal. This single sale was 63% of Alan Arizumi's stake.
You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. 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 First Hawaiian
I will like First Hawaiian better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.
Insider Ownership Of First Hawaiian
Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that First Hawaiian insiders own 0.6% of the company, worth about US$17m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.
What Might The Insider Transactions At First Hawaiian Tell Us?
An insider hasn't bought First Hawaiian stock in the last three months, but there was some selling. And even if we look at the last year, we didn't see any purchases. But since First Hawaiian is profitable and growing, we're not too worried by this. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We're in no rush to buy! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing First Hawaiian. For example - First Hawaiian has 1 warning sign we think you should be aware of.
Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.