Some Parkland Fuel Corporation (TSE:PKI) shareholders may be a little concerned to see that insider Colin Kilty recently sold a whopping CA$744k worth of stock at a price of CA$42.76 per share. That sale reduced their total holding by 22.4% which is hardly insignificant, but far from the worst we’ve seen.
The Last 12 Months Of Insider Transactions At Parkland Fuel
Notably, that recent sale by insider Colin Kilty was not the only time they sold Parkland Fuel shares this year. Earlier in the year, they fetched CA$42.76 per share in a -CA$743.8k sale. So what is clear is that an insider saw fit to sell at around the current price of CA$41.11. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. Given that the sale took place at around current prices, it makes us a little cautious but is hardly a major concern.
In the last twelve months insiders purchased 4414 shares for CA$133k. But they sold 51428 for CA$2.2m. All up, insiders sold more shares in Parkland Fuel than they bought, over the last year. They sold for an average price of about CA$42.26. It’s not particularly great to see insiders were selling shares at below recent prices. Of course, the sales could be motivated for a multitude of reasons, so we shouldn’t jump to conclusions. You can see a visual depiction of insider transactions (by individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!
Insider Ownership of Parkland Fuel
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. Parkland Fuel insiders own about CA$53m worth of shares. That equates to 0.9% of the company. 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 Parkland Fuel Insiders?
Insiders sold stock recently, but they haven’t been buying. And our longer term analysis of insider transactions didn’t bring confidence, either. On the plus side, Parkland Fuel makes money, and is growing profits. Insider ownership isn’t particularly high, so this analysis makes us cautious about the company. So we’d only buy after careful consideration. Therefore, you should should definitely take a look at this FREE report showing analyst forecasts for Parkland Fuel.
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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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