11% Of This Verbrec Insider's Holdings Were Sold

From what we can see, insiders were net sellers in Verbrec Limited's (ASX:VBC ) during the past 12 months. That is, insiders sold the stock in greater numbers than they purchased it.

Although we don't think shareholders should simply follow insider transactions, we do think it is perfectly logical to keep tabs on what insiders are doing.

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Verbrec Insider Transactions Over The Last Year

The Non-Executive Director, Brian O'Sullivan, made the biggest insider sale in the last 12 months. That single transaction was for AU$1.0m worth of shares at a price of AU$0.13 each. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. It's of some comfort that this sale was conducted at a price well above the current share price, which is AU$0.11. So it is hard to draw any strong conclusion from it. The only individual insider seller over the last year was Brian O'Sullivan. Notably Brian O'Sullivan was also the biggest buyer, having purchased AU$438k worth of shares.

Brian O'Sullivan ditched 13.69m shares over the year. The average price per share was AU$0.11. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

View our latest analysis for Verbrec

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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. Verbrec insiders own about AU$8.1m worth of shares. That equates to 25% of the company. 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 Verbrec Tell Us?

It doesn't really mean much that no insider has traded Verbrec shares in the last quarter. We don't take much encouragement from the transactions by Verbrec insiders. The modest level of insider ownership is, at least, some comfort. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. At Simply Wall St, we found 1 warning sign for Verbrec that deserve your attention before buying any shares.

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 of direct interests only, but not derivative transactions or indirect interests.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.