Some Computacenter plc (LON:CCC) shareholders may be a little concerned to see that the Co-Founder & Non-Executive Director, Peter Ogden, recently sold a substantial UK£13m worth of stock at a price of UK£23.12 per share. However, that sale only accounted for 7.6% of their holding, so arguably it doesn't say much about their conviction.
View our latest analysis for Computacenter
Computacenter Insider Transactions Over The Last Year
Notably, that recent sale by Peter Ogden is the biggest insider sale of Computacenter shares that we've seen in the last year. That means that an insider was selling shares at around the current price of UK£21.78. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive).
In the last year Computacenter insiders didn't buy any company stock. 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!
I will like Computacenter better if I see some big insider buys. While we wait, check out this free list of undervalued and small cap stocks with considerable, recent, insider buying.
Does Computacenter Boast High Insider Ownership?
Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Computacenter insiders own about UK£374m worth of shares (which is 16% of the company). Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.
So What Do The Computacenter Insider Transactions Indicate?
An insider hasn't bought Computacenter stock in the last three months, but there was some selling. And even if we look at the last year, we didn't see any purchases. The company boasts high insider ownership, but we're a little hesitant, given the history of share sales. 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. Case in point: We've spotted 2 warning signs for Computacenter you should be aware of.
But note: Computacenter may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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.
About LSE:CCC
Computacenter
Provides technology and services to corporate and public sector organizations in the United Kingdom, Germany, France, North America, and internationally.
Very undervalued with flawless balance sheet and pays a dividend.