Morris Goldfarb Buys Handful Of Shares In G-III Apparel Group
G-III Apparel Group, Ltd. (NASDAQ:GIII) shareholders (or potential shareholders) will be happy to see that the CEO & Chairman, Morris Goldfarb, recently bought a whopping US$1.1m worth of stock, at a price of US$27.94. While that only increased their holding size by 0.9%, it is still a big swing by our standards.
The Last 12 Months Of Insider Transactions At G-III Apparel Group
The Vice Chairman & President, Sammy Aaron, made the biggest insider sale in the last 12 months. That single transaction was for US$2.9m worth of shares at a price of US$30.77 each. That means that an insider was selling shares at around the current price of US$28.22. 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. Sammy Aaron was the only individual insider to sell over the last year.
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!
See our latest analysis for G-III Apparel Group
If you are like me, then you will not want to miss this free list of small cap stocks that are not only being bought by insiders but also have attractive valuations.
Does G-III Apparel Group Boast High Insider Ownership?
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. G-III Apparel Group insiders own about US$163m worth of shares (which is 14% of the company). This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.
So What Does This Data Suggest About G-III Apparel Group Insiders?
It's certainly positive to see the recent insider purchase. However, the longer term transactions are not so encouraging. The high levels of insider ownership, and the recent buying by an insider suggests they are well aligned and optimistic. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Case in point: We've spotted 1 warning sign for G-III Apparel Group you should be aware of.
Of course G-III Apparel 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.