Keep An Eye On B.P. Marsh & Partners PLC As Insider Sell Stock

We would never suggest that investors should base their decisions solely on what the directors of a company have been doing, however we would consider it foolish to ignore insider transactions altogether.

See our latest analysis for B.P. Marsh & Partners

B.P. Marsh & Partners Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider sale was by the Executive Chairman, Brian Marsh, for UK£1.6m worth of shares, at about UK£2.97 per share. That means that even when the share price was below the current price of UK£4.26, an insider wanted to cash in some shares. When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. This single sale was just 3.7% of Brian Marsh's stake.

Over the last year, we can see that insiders have bought 8.88k shares worth UK£31k. On the other hand they divested 556.86k shares, for UK£1.7m. Over the last year we saw more insider selling of B.P. Marsh & Partners shares, than buying. The chart below shows insider transactions (by companies and individuals) over the last year. 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: insiders have been buying them).

Are B.P. Marsh & Partners Insiders Buying Or Selling?

In the last quarter we saw Independent Non Executive Director Nicholas Carter spend UK£18k on shares. That's only a tiny bit more than the sales, worth UK£18k. Overall, we don't think these recent trades are particularly informative, one way or the other.

Does B.P. Marsh & Partners Boast High 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. B.P. Marsh & Partners insiders own 44% of the company, currently worth about UK£70m based on the recent share price. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

What Might The Insider Transactions At B.P. Marsh & Partners Tell Us?

Insider selling has just outweighed insider buying in the last three months. But the net divestment is not enough to concern us at all. It's great to see high levels of insider ownership, but looking back over the last year, we'd need to see more buying to gain confidence from the B.P. Marsh & Partners insider transactions. While we like knowing 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. In terms of investment risks, we've identified 1 warning sign with B.P. Marsh & Partners and understanding it should be part of your investment process.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity 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.