This Insider Has Just Sold Shares In AB Dynamics

We wouldn't blame AB Dynamics plc (LON:ABDP) shareholders if they were a little worried about the fact that Anthony Best, a company insider, recently netted about UK£1.6m selling shares at an average price of UK£17.49. However, that sale only accounted for 1.6% of their holding, so arguably it doesn't say much about their conviction.

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AB Dynamics Insider Transactions Over The Last Year

Notably, that recent sale by insider Anthony Best was not the only time they sold AB Dynamics shares this year. Earlier in the year, they fetched UK£19.50 per share in a -UK£4.5m sale. So we know that an insider sold shares at around the present share price of UK£17.75. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive).

Anthony Best ditched 320.00k shares over the year. The average price per share was UK£18.93. 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!

Check out our latest analysis for AB Dynamics

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Insider Ownership Of AB Dynamics

Many investors like to check how much of a company is owned by 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 AB Dynamics insiders own 24% of the company, worth about UK£99m. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Does This Data Suggest About AB Dynamics Insiders?

An insider sold stock recently, but they haven't been buying. Looking to the last twelve months, our data doesn't show any insider buying. Insider ownership isn't particularly high, so this analysis makes us cautious about the company. We'd practice some caution before buying! 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. While conducting our analysis, we found that AB Dynamics has 2 warning signs and it would be unwise to ignore these.

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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 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.