Don't Ignore The Insider Selling In PensionBee Group

We wouldn't blame PensionBee Group plc (LON:PBEE) shareholders if they were a little worried about the fact that Romina Savova, the Co-Founder recently netted about UK£6.1m selling shares at an average price of UK£1.54. However, it's crucial to note that they remain very much invested in the stock and that sale only reduced their holding by 5.0%.

View our latest analysis for PensionBee Group

The Last 12 Months Of Insider Transactions At PensionBee Group

Notably, that recent sale by Romina Savova is the biggest insider sale of PensionBee Group shares that we've seen in the last year. So it's clear an insider wanted to take some cash off the table, even below the current price of UK£1.59. 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. However, while insider selling is sometimes discouraging, it's only a weak signal. We note that the biggest single sale was only 5.0% of Romina Savova's holding.

PensionBee Group insiders didn't buy any shares over the last year. 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!

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Does PensionBee Group Boast High Insider Ownership?

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. PensionBee Group insiders own 43% of the company, currently worth about UK£154m 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.

So What Does This Data Suggest About PensionBee Group Insiders?

Insiders sold PensionBee Group shares recently, but they didn't buy any. And even if we look at the last year, we didn't see any purchases. It is good to see high insider ownership, but the insider selling leaves us cautious. 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 1 warning sign for PensionBee Group you should know about.

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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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com