Have Axis Bank Limited (NSE:AXISBANK) Insiders Been Selling Their Stock?

Investors may wish to note that an insider of Axis Bank Limited, Balaji Narayanamurthy, recently netted ₹5.8m from selling stock, receiving an average price of ₹770. It might not be a huge sale, but it did reduce their holding size 50%, hardly encouraging.

View our latest analysis for Axis Bank

The Last 12 Months Of Insider Transactions At Axis Bank

Over the last year, we can see that the biggest insider sale was by the insider, Himadri Chatterjee, for ₹94m worth of shares, at about ₹775 per share. So we know that an insider sold shares at around the present share price of ₹706. We generally don't like to see insider selling, but the lower the sale price, the more it concerns us. 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).

Axis Bank insiders didn't buy any shares over 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!

I will like Axis Bank better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.

Does Axis Bank Boast High Insider Ownership?

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. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. Insiders own 0.1% of Axis Bank shares, worth about ₹2.7b. 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 Do The Axis Bank Insider Transactions Indicate?

Insiders sold stock recently, but they haven't been buying. Looking to the last twelve months, our data doesn't show any insider buying. On the plus side, Axis Bank makes money, and is growing profits. While insiders do own a lot of shares in the company (which is good), our analysis of their transactions doesn't make us feel confident about the company. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. Case in point: We've spotted 2 warning signs for Axis Bank you should be aware of, and 1 of them makes us a bit uncomfortable.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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.

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.

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