Ondo InsurTech Falls To UK£0.18, But Insiders Sold At Lower Price

Even though Ondo InsurTech Plc (LON:ONDO) has fallen by 10% over the past week , insiders who sold UK£180k worth of stock over the past year have had less luck. Given that the average selling price of UK£0.30 is still lower than the current share price, insiders would probably have been better off keeping their shares.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we would consider it foolish to ignore insider transactions altogether.

Check out our latest analysis for Ondo InsurTech

Ondo InsurTech Insider Transactions Over The Last Year

The Non-Executive Director, Andrew John Morrison, made the biggest insider sale in the last 12 months. That single transaction was for UK£180k worth of shares at a price of UK£0.30 each. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. The silver lining is that this sell-down took place above the latest price (UK£0.18). So it may not tell us anything about how insiders feel about the current share price. The only individual insider seller over the last year was Andrew John Morrison.

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!

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

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. Insiders own 19% of Ondo InsurTech shares, worth about UK£3.0m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Does This Data Suggest About Ondo InsurTech Insiders?

It doesn't really mean much that no insider has traded Ondo InsurTech shares in the last quarter. Our analysis of Ondo InsurTech insider transactions leaves us cautious. But it's good to see that insiders own shares in the company. While we like knowing 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. Case in point: We've spotted 4 warning signs for Ondo InsurTech you should be aware of, and 1 of them is a bit unpleasant.

Of course Ondo InsurTech 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.