Have Mediclinic International plc (LON:MDC) Insiders Been Selling Their Stock?

We note that the Mediclinic International plc (LON:MDC) Non-Executive Director, Daniel Meintjes, recently sold UK£52k worth of stock for UK£2.86 per share. It might not be a huge sale, but it did reduce their holding size 13%, hardly encouraging.

See our latest analysis for Mediclinic International

Mediclinic International Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the Group Chief Governance Officer, Gert Hattingh, sold UK£71k worth of shares at a price of UK£2.74 per share. That means that an insider was selling shares at slightly below the current price (UK£2.98). 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. However, while insider selling is sometimes discouraging, it's only a weak signal. It is worth noting that this sale was only 21% of Gert Hattingh's holding.

All up, insiders sold more shares in Mediclinic International than they bought, 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!

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Insider Ownership

Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Our data indicates that Mediclinic International insiders own about UK£3.7m worth of shares (which is 0.2% of the company). Whilst better than nothing, we're not overly impressed by these holdings.

So What Do The Mediclinic International Insider Transactions Indicate?

An insider sold Mediclinic International shares recently, but they didn't buy any. Zooming out, the longer term picture doesn't give us much comfort. Insiders own relatively few shares in the company, and when you consider the sales, we're not particularly excited about the stock. So we'd only buy after very careful consideration. If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.

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, but not derivative transactions.

When trading Mediclinic International or any other investment, use the platform considered by many to be the Professional's Gateway to the Worlds Market, Interactive Brokers. You get the lowest-cost* trading on stocks, options, futures, forex, bonds and funds worldwide from a single integrated account. Promoted

This article by Simply Wall St is general in nature. 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.
^*Interactive Brokers Rated Lowest Cost Broker by StockBrokers.com Annual Online Review 2020

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