Trade Alert: The Independent Trustee Of SIR Royalty Income Fund (TSE:SRV.UN), Michael Fisher, Has Sold Some Shares Recently

Investors may wish to note that the Independent Trustee of SIR Royalty Income Fund, Michael Fisher, recently netted CA$85k from selling stock, receiving an average price of CA$17.07. That might not be a huge sum but it was 100% of their personal holding, so we find it a little discouraging.

Check out our latest analysis for SIR Royalty Income Fund

The Last 12 Months Of Insider Transactions At SIR Royalty Income Fund

Over the last year, we can see that the biggest insider sale was by the insider, Atul Sharma, for CA$104k worth of shares, at about CA$12.67 per share. That means that an insider was selling shares at slightly below the current price (CA$17.20). We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. This single sale was just 37% of Atul Sharma's stake.

Insiders in SIR Royalty Income Fund didn't buy any shares in the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

I will like SIR Royalty Income Fund better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.

Insider Ownership

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. I reckon it's a good sign if insiders own a significant number of shares in the company. It appears that SIR Royalty Income Fund insiders own 13% of the company, worth about CA$22m. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Does This Data Suggest About SIR Royalty Income Fund Insiders?

An insider sold stock recently, but they haven't been buying. And even if we look at the last year, we didn't see any purchases. On the plus side, SIR Royalty Income Fund makes money, and is growing profits. Insiders own shares, but we're still pretty cautious, given the history of sales. So we'd only buy after careful consideration. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing SIR Royalty Income Fund. When we did our research, we found 4 warning signs for SIR Royalty Income Fund (2 are concerning!) that we believe deserve your full attention.

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, but not derivative transactions.

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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.