Anyone interested in Integra LifeSciences Holdings Corporation (NASDAQ:IART) should probably be aware that the Director, Raymond Murphy, recently divested US$252k worth of shares in the company, at an average price of US$60.99 each. However, the silver lining is that the sale only reduced their total holding by-5.6%, so we’re hesitant to read anything much into it, on its own.
The Last 12 Months Of Insider Transactions At Integra LifeSciences Holdings
In fact, the recent sale by Raymond Murphy was the biggest sale of Integra LifeSciences Holdings shares made by an insider individual in the last twelve months, according to our records. That means that an insider was selling shares at below the current price (US$61.77). 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. We note that the biggest single sale was only 5.6% of Raymond Murphy’s holding.
Happily, we note that in the last year insiders paid US$308k for 5638 shares. But they sold 8986 for US$549k. All up, insiders sold more shares in Integra LifeSciences Holdings 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!
For a common shareholder, it is worth checking how many shares are held by company insiders. I reckon it’s a good sign if insiders own a significant number of shares in the company. It’s great to see that Integra LifeSciences Holdings insiders own 3.4% of the company, worth about US$182m. 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 Do The Integra LifeSciences Holdings Insider Transactions Indicate?
Insiders sold Integra LifeSciences Holdings shares recently, but they didn’t buy any. Zooming out, the longer term picture doesn’t give us much comfort. On the plus side, Integra LifeSciences Holdings 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 Integra LifeSciences Holdings.
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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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