The Chief Manufacturing Officer & Executive Director of Venture Life Group plc (LON:VLG), Lodovico Braguti, Just Sold 74% Of Their Holding

Some Venture Life Group plc (LON:VLG) shareholders may be a little concerned to see that the Chief Manufacturing Officer & Executive Director, Lodovico Braguti, recently sold a substantial UK£3.2m worth of stock at a price of UK£0.90 per share. Probably the most concerning element of the whole transaction is that the disposal amounted to 74% of their entire holding.

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Venture Life Group Insider Transactions Over The Last Year

In fact, the recent sale by Lodovico Braguti was the biggest sale of Venture Life Group shares made by an insider individual in the last twelve months, according to our records. That means that even when the share price was below the current price of UK£0.92, an insider wanted to cash in some shares. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. It is worth noting that this sale was 74% of Lodovico Braguti's holding.

In total, Venture Life Group insiders sold more 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. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

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Does Venture Life Group Boast High Insider Ownership?

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 16% of Venture Life Group shares, worth about UK£12m. While this is a strong but not outstanding level of insider ownership, it's enough to indicate some alignment between management and smaller shareholders.

So What Does This Data Suggest About Venture Life Group Insiders?

Insiders haven't bought Venture Life Group stock in the last three months, but there was some selling. Zooming out, the longer term picture doesn't give us much comfort. But it is good to see that Venture Life Group is growing earnings. While insiders do own shares, they don't own a heap, and they have been selling. So we'd only buy after careful consideration. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. You'd be interested to know, that we found 1 warning sign for Venture Life Group and we suggest you have a look.

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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, but not derivative transactions.

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