Don't Ignore The Insider Selling In Sage Group

Some The Sage Group plc (LON:SGE) shareholders may be a little concerned to see that the Chief Technology Officer, Aaron Harris, recently sold a substantial UK£630k worth of stock at a price of UK£12.60 per share. That sale reduced their total holding by 19% which is hardly insignificant, but far from the worst we've seen.

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Sage Group Insider Transactions Over The Last Year

The insider, Catherine Keers, made the biggest insider sale in the last 12 months. That single transaction was for UK£1.7m worth of shares at a price of UK£13.10 each. So we know that an insider sold shares at around the present share price of UK£12.74. 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).

Insiders in Sage Group didn't buy any shares in the last year. You can see the insider transactions (by companies and individuals) over the last year depicted in the chart below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

See our latest analysis for Sage Group

If you are like me, then you will not want to miss this free list of small cap stocks that are not only being bought by insiders but also have attractive valuations.

Insider Ownership Of Sage Group

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. A high insider ownership often makes company leadership more mindful of shareholder interests. It appears that Sage Group insiders own 0.2% of the company, worth about UK£26m. This level of insider ownership is good but just short of being particularly stand-out. It certainly does suggest a reasonable degree of alignment.

What Might The Insider Transactions At Sage Group Tell Us?

An insider sold Sage Group shares recently, but they didn't buy any. And even if we look at the last year, we didn't see any purchases. But it is good to see that Sage Group is growing earnings. Insiders own shares, but we're still pretty cautious, given the history of sales. We're in no rush to buy! In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Sage Group. For example - Sage Group has 2 warning signs we think you should be aware of.

But note: Sage Group 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.