This Insider Has Just Sold Shares In Superdry plc (LON:SDRY)

We'd be surprised if Superdry plc (LON:SDRY) shareholders haven't noticed that an insider, Jonathan Wragg, recently sold UK£98k worth of stock at UK£2.56 per share. In particular, we note that the sale equated to a 95% reduction in their position size, which doesn't exactly instill confidence.

Check out our latest analysis for Superdry

The Last 12 Months Of Insider Transactions At Superdry

Over the last year, we can see that the biggest insider purchase was by Co-Founder Julian Dunkerton for UK£1.1m worth of shares, at about UK£1.36 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of UK£2.42. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

Over the last year, we can see that insiders have bought 1.53m shares worth UK£2.1m. On the other hand they divested 38.30k shares, for UK£98k. Overall, Superdry insiders were net buyers during the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

Superdry is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Insider Ownership of Superdry

Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. We usually like to see fairly high levels of insider ownership. Superdry insiders own about UK£57m worth of shares. That equates to 29% of the company. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

So What Does This Data Suggest About Superdry Insiders?

An insider sold Superdry shares recently, but they didn't buy any. But we take heart from prior transactions. We like that insiders own a fair amount of the company. So we're not overly bothered by recent selling. 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. While conducting our analysis, we found that Superdry has 1 warning sign and it would be unwise to ignore it.

Of course Superdry may not be the best stock to buy. So you may wish to see this free collection of high quality companies.

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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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.
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