Stock Analysis

Have Insiders Sold Top Shelf International Holdings Ltd (ASX:TSI) Shares Recently?

Source: Shutterstock

Anyone interested in Top Shelf International Holdings Ltd (ASX:TSI) should probably be aware that the Co-Founder, Drew Fairchild, recently divested AU$350k worth of shares in the company, at an average price of AU$0.80 each. The eyebrow raising move amounted to a reduction of 15% in their holding.

View our latest analysis for Top Shelf International Holdings

Top Shelf International Holdings Insider Transactions Over The Last Year

In fact, the recent sale by Drew Fairchild was the biggest sale of Top Shelf International Holdings shares made by an insider individual in the last twelve months, according to our records. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The good news is that this large sale was at well above current price of AU$0.70. So it may not tell us anything about how insiders feel about the current share price.

Over the last year we saw more insider selling of Top Shelf International Holdings shares, than buying. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. By clicking on the graph below, you can see the precise details of each insider transaction!

ASX:TSI Insider Trading Volume March 25th 2023

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

Insider Ownership Of Top Shelf International Holdings

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. A high insider ownership often makes company leadership more mindful of shareholder interests. From our data, it seems that Top Shelf International Holdings insiders own 10% of the company, worth about AU$6.1m. But they may have an indirect interest through a corporate structure that we haven't picked up on. Whilst better than nothing, we're not overly impressed by these holdings.

So What Does This Data Suggest About Top Shelf International Holdings Insiders?

The insider sales have outweighed the insider buying, at Top Shelf International Holdings, in the last three months. Despite some insider buying, the longer term picture doesn't make us feel much more positive. When you consider that most companies have higher levels of insider ownership, we're a little wary. We'd certainly practice some caution before buying! 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. Every company has risks, and we've spotted 5 warning signs for Top Shelf International Holdings (of which 1 is a bit unpleasant!) you should know about.

Of course Top Shelf International Holdings 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, but not derivative transactions.

Valuation is complex, but we're helping make it simple.

Find out whether Top Shelf International Holdings is potentially over or undervalued by checking out our comprehensive analysis, which includes fair value estimates, risks and warnings, dividends, insider transactions and financial health.

View the Free Analysis