Amit Kumar Is The Head of Market Operations & NPI of Indian Energy Exchange Limited (NSE:IEX) And They Just Sold 67% Of Their Shares

Investors may wish to note that the Head of Market Operations & NPI of Indian Energy Exchange Limited, Amit Kumar, recently netted ₹4.0m from selling stock, receiving an average price of ₹201. That might not be a huge sum but it was 67% of their personal holding, so we find it a little discouraging.

See our latest analysis for Indian Energy Exchange

Indian Energy Exchange Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider sale was by the CFO, Compliance Officer & Company Secretary, Vineet Harlalka, for ₹8.2m worth of shares, at about ₹199 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of ₹204. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. We note that the biggest single sale was only 21% of Vineet Harlalka's holding.

In the last twelve months insiders purchased 41.05k shares for ₹3.1m. But insiders sold 280.24k shares worth ₹51m. In total, Indian Energy Exchange insiders sold more than they bought over the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: insiders have been buying them).

Insider Ownership of Indian Energy Exchange

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Our data suggests Indian Energy Exchange insiders own 0.3% of the company, worth about ₹160m. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. We consider this fairly low insider ownership.

So What Does This Data Suggest About Indian Energy Exchange Insiders?

Insiders sold stock recently, but they haven't been buying. And our longer term analysis of insider transactions didn't bring confidence, either. But it is good to see that Indian Energy Exchange is growing earnings. It is good to see high insider ownership, but the insider selling leaves us cautious. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. Every company has risks, and we've spotted 2 warning signs for Indian Energy Exchange you should know about.

Of course Indian Energy Exchange 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, but not derivative transactions.

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