Senior Vice President of Sales & Marketing Dean Erstad Sold A Bunch Of Shares In Seneca Foods
Anyone interested in Seneca Foods Corporation (NASDAQ:SENE.A) should probably be aware that the Senior Vice President of Sales & Marketing, Dean Erstad, recently divested US$327k worth of shares in the company, at an average price of US$206 each. In particular, we note that the sale equated to a 72% reduction in their position size, which doesn't exactly instill confidence.
The Last 12 Months Of Insider Transactions At Seneca Foods
In fact, the recent sale by Dean Erstad was the biggest sale of Seneca Foods shares made by an insider individual in the last twelve months, according to our records. So we know that an insider sold shares at around the present share price of US$192. While insider selling is a negative, to us, it is more negative if the shares are sold 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.
You can see the insider transactions (by companies and individuals) over the last year depicted in the chart 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 Seneca Foods
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Insider Ownership Of Seneca Foods
For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. It's great to see that Seneca Foods insiders own 16% of the company, worth about US$206m. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.
So What Do The Seneca Foods Insider Transactions Indicate?
An insider sold stock recently, but they haven't been buying. And even if we look at the last year, we didn't see any purchases. But it is good to see that Seneca Foods is growing earnings. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. 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 example, Seneca Foods has 2 warning signs (and 1 which is significant) we think you should know about.
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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.