Have Insiders Sold Foresta Group Holding Shares Recently?

Anyone interested in Foresta Group Holding Limited (ASX:FGH) should probably be aware that a company insider, Ramon Mountfort, recently divested AU$704k worth of shares in the company, at an average price of AU$0.0045 each. That sale was 27% of their holding, so it does make us raise an eyebrow.

See our latest analysis for Foresta Group Holding

Foresta Group Holding Insider Transactions Over The Last Year

In fact, the recent sale by Ramon Mountfort was the biggest sale of Foresta Group Holding shares made by an insider individual in the last twelve months, according to our records. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. The good news is that this large sale was at well above current price of AU$0.004. So it is hard to draw any strong conclusion from it.

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!

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 Of Foresta Group Holding

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 Foresta Group Holding insiders own 41% of the company, worth about AU$3.9m. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At Foresta Group Holding Tell Us?

An insider hasn't bought Foresta Group Holding stock in the last three months, but there was some selling. Zooming out, the longer term picture doesn't give us much comfort. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Foresta Group Holding. Case in point: We've spotted 6 warning signs for Foresta Group Holding you should be aware of, and 4 of these can't be ignored.

But note: Foresta Group Holding may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.

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.