Top Shelf International Holdings' Stock Sinks To AU$0.08, But Insiders Sold Even Lower

Top Shelf International Holdings Ltd's (ASX:TSI) value has fallen 11% in the last week, but insiders who sold AU$436k worth of stock over the last year have had less success. Insiders would probably have been better off holding on to their shares given that the average selling price of AU$0.20 is still lower than the current share price.

Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.

See our latest analysis for Top Shelf International Holdings

The Last 12 Months Of Insider Transactions At Top Shelf International Holdings

The Non-Executive Director, Adem Karafili, made the biggest insider sale in the last 12 months. That single transaction was for AU$390k worth of shares at a price of AU$0.20 each. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The silver lining is that this sell-down took place above the latest price (AU$0.08). So it is hard to draw any strong conclusion from it. Adem Karafili was the only individual insider to sell shares in the last twelve months.

Adem Karafili sold a total of 2.18m shares over the year at an average price of AU$0.20. 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 like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).

Insider Ownership

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. From looking at our data, insiders own AU$1.0m worth of Top Shelf International Holdings stock, about 3.9% of the company. We do note, however, it is possible insiders have an indirect interest through a private company or other corporate structure. I generally like to see higher levels of ownership.

So What Do The Top Shelf International Holdings Insider Transactions Indicate?

It doesn't really mean much that no insider has traded Top Shelf International Holdings shares in the last quarter. We don't take much encouragement from the transactions by Top Shelf International Holdings insiders. And usually insiders own more stock in the company, according to our data. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Top Shelf International Holdings. For instance, we've identified 3 warning signs for Top Shelf International Holdings (2 make us uncomfortable) you should be aware of.

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.