Stock Analysis

An Insider At Redcare Pharmacy Lowered Their Holding Recently

XTRA:RDC
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Insiders were net sellers of Redcare Pharmacy NV's (ETR:RDC ) stock during the past year. That is, insiders sold more stock than they bought.

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.

View our latest analysis for Redcare Pharmacy

Redcare Pharmacy Insider Transactions Over The Last Year

The COO & Member of the Managing Board, Theresa Holler, made the biggest insider sale in the last 12 months. That single transaction was for €220k worth of shares at a price of €138 each. 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 €119. So it is hard to draw any strong conclusion from it. Theresa Holler was the only individual insider to sell shares in the last twelve months.

Theresa Holler ditched 4.00k shares over the year. The average price per share was €135. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. By clicking on the graph below, you can see the precise details of each insider transaction!

insider-trading-volume
XTRA:RDC Insider Trading Volume August 30th 2024

I will like Redcare Pharmacy better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.

Redcare Pharmacy Insiders Are Selling The Stock

Over the last three months, we've seen significant insider selling at Redcare Pharmacy. Specifically, COO & Member of the Managing Board Theresa Holler ditched €540k worth of shares in that time, and we didn't record any purchases whatsoever. This may suggest that some insiders think that the shares are not cheap.

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. It's great to see that Redcare Pharmacy insiders own 18% of the company, worth about €428m. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

What Might The Insider Transactions At Redcare Pharmacy Tell Us?

An insider sold Redcare Pharmacy shares recently, but they didn't buy any. And even if we look at the last year, we didn't see any purchases. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. While it's good to be aware of what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. Every company has risks, and we've spotted 2 warning signs for Redcare Pharmacy you should know about.

Of course Redcare Pharmacy 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 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.