We note that the ICICI Bank Limited (NSE:ICICIBANK) Senior GM & Head-Group Internal Audit, Sanjay Chougule, recently sold ₹1.5m worth of stock for ₹508 per share. On the bright side, that’s just a small sale and only reduced their holding by 7.8%.
The Last 12 Months Of Insider Transactions At ICICI Bank
In the last twelve months, the biggest single sale by an insider was when the insider, Vsaudeva Konda, sold ₹161m worth of shares at a price of ₹4,225 per share. 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 (₹513). So it may not tell us anything about how insiders feel about the current share price.
Over the last year, we can see that insiders have bought 36650 shares worth ₹12m. On the other hand they divested 5823122 shares, for ₹2.8b. All up, insiders sold more shares in ICICI Bank than they bought, over the last year. The chart below shows insider transactions (by 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!
I will like ICICI Bank better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.
Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that ICICI Bank insiders own 0.2% of the company, worth about ₹6.7b. We’ve certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.
What Might The Insider Transactions At ICICI Bank Tell Us?
The stark truth for ICICI Bank is that there has been more insider selling than insider buying in the last three months. Zooming out, the longer term picture doesn’t give us much comfort. On the plus side, ICICI Bank makes money, and is growing profits. The company boasts high insider ownership, but we’re a little hesitant, given the history of share sales. Therefore, you should should definitely take a look at this FREE report showing analyst forecasts for ICICI Bank.
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.
If you spot an error that warrants correction, please contact the editor at email@example.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.
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