This Lottery Insider Reduced Their Stake By 31%

Viewing insider transactions for The Lottery Corporation Limited's (ASX:TLC ) over the last year, we see that insiders were net sellers. This means that a larger number of shares were sold by insiders in relation to shares purchased.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

View our latest analysis for Lottery

Lottery Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the MD, CEO & Director, Sue van der Merwe, sold AU$909k worth of shares at a price of AU$5.05 per share. So what is clear is that an insider saw fit to sell at around the current price of AU$5.02. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. We note that this sale took place at around the current price, so it isn't a major concern, though it's hardly a good sign. The only individual insider seller over the last year was Sue van der Merwe. Notably Sue van der Merwe was also the biggest buyer, having purchased AU$892k worth of shares.

In the last twelve months insiders purchased 175.63k shares for AU$892k. On the other hand they divested 180.00k shares, for AU$909k. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

For those who like to find winning investments this free list of growing companies with recent insider purchasing, could be just the ticket.

Does Lottery Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Based on our data, Lottery insiders have about 0.06% of the stock, worth approximately AU$7.0m. I generally like to see higher levels of ownership.

So What Does This Data Suggest About Lottery Insiders?

It doesn't really mean much that no insider has traded Lottery shares in the last quarter. The insider transactions at Lottery are not inspiring us to buy. We also note that, as far as we can see, insider ownership is fairly low, compared to other companies. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. To assist with this, we've discovered 2 warning signs that you should run your eye over to get a better picture of Lottery.

Of course Lottery may not be the best stock to buy. So you may wish to see this free collection of high quality 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.