The Chairman Emeritus of Amber Enterprises India Limited (NSE:AMBER), Kartar Singh, Just Sold 39% Of Their Holding

We wouldn't blame Amber Enterprises India Limited (NSE:AMBER) shareholders if they were a little worried about the fact that Kartar Singh, the Chairman Emeritus recently netted about ₹505m selling shares at an average price of ₹1,835. That's a big disposal, and it decreased their holding size by 39%, which is notable but not too bad.

Check out our latest analysis for Amber Enterprises India

Amber Enterprises India Insider Transactions Over The Last Year

Notably, that recent sale by Kartar Singh is the biggest insider sale of Amber Enterprises India shares that we've seen in the last year. That means that even when the share price was below the current price of ₹1,953, an insider wanted to cash in some shares. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. This single sale was just 39% of Kartar Singh's stake.

You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Does Amber Enterprises India Boast High Insider Ownership?

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. Amber Enterprises India insiders own 42% of the company, currently worth about ₹28b based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Does This Data Suggest About Amber Enterprises India Insiders?

An insider hasn't bought Amber Enterprises India stock in the last three months, but there was some selling. Looking to the last twelve months, our data doesn't show any insider buying. It is good to see high insider ownership, but the insider selling leaves us cautious. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Amber Enterprises India. You'd be interested to know, that we found 4 warning signs for Amber Enterprises India and we suggest you have a look.

But note: Amber Enterprises India may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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.

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