Anyone interested in Ooma, Inc. (NYSE:OOMA) should probably be aware that the President, Eric Stang, recently divested US$266k worth of shares in the company, at an average price of US$12.52 each. On the bright side, that sale was only-2.4% of their holding, so we doubt it’s very meaningful, on its own.
The Last 12 Months Of Insider Transactions At Ooma
In fact, the recent sale by President Eric Stang was not their only sale of Ooma shares this year. They previously made an even bigger sale of -US$265.9k worth of shares at a price of US$12.53 per share. So we know that an insider sold shares at around the present share price of US$12.11. We generally don’t like to see insider selling, but the lower the sale price, the more it concerns us. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.
In the last twelve months insiders netted US$499k for 41594 shares sold. Insiders in Ooma didn’t buy any shares in the last year. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
Does Ooma Boast High Insider Ownership?
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 appears that Ooma insiders own 7.6% of the company, worth about US$19m. While this is a strong but not outstanding level of insider ownership, it’s enough to indicate some alignment between management and smaller shareholders.
So What Does This Data Suggest About Ooma Insiders?
Insiders haven’t bought Ooma stock in the last three months, but there was some selling. And there weren’t any purchases to give us comfort, over the last year. While insiders do own shares, they don’t own a heap, and they have been selling. We’d think twice before buying! Therefore, you should should definitely take a look at this FREE report showing analyst forecasts for Ooma.
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, but not derivative transactions.
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