Anyone interested in Sotherly Hotels Inc. (NASDAQ:SOHO) should probably be aware that the Chairman & CEO, Andrew Sims, recently divested US$130k worth of shares in the company, at an average price of US$6.80 each. However, the silver lining is that the sale only reduced their total holding by-1.4%, so we’re hesitant to read anything much into it, on its own.
The Last 12 Months Of Insider Transactions At Sotherly Hotels
In fact, the recent sale by Andrew Sims was the biggest sale of Sotherly Hotels shares made by an insider individual in the last twelve months, according to our records. So we know that an insider sold shares at around the present share price of US$6.64. While we don’t usually like to see insider selling, it’s more concerning if the sales take place at a lower price. In this case, the big sale took place at around the current price, so it’s not too bad (but it’s still not a positive).
Over the last year, we note insiders sold 38643 shares worth US$276k. In the last year Sotherly Hotels insiders didn’t buy any company stock. You can see the insider transactions (by 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!
Insider Ownership of Sotherly Hotels
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. Insiders own 12% of Sotherly Hotels shares, worth about US$12m. 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 Sotherly Hotels Insiders?
Insiders haven’t bought Sotherly Hotels stock in the last three months, but there was some selling. And even if we look to the last year, we didn’t see any purchases. While insiders do own shares, they don’t own a heap, and they have been selling. We’re in no rush to buy! If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.
If you would prefer to check out another company — one with potentially superior financials — then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.
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.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.
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. Thank you for reading.