Kay Cee Energy & Infra Drops To ₹270, Yet Insiders May Have Sold Too Early

Kay Cee Energy & Infra Limited's (NSE:KCEIL) stock price has dropped 19% in the previous week, but insiders who sold ₹17m in stock over the past year have had less luck. The average selling price of ₹384 is still lower than the current share price, or in other words, insiders would have been better off holding on to their shares.

Although we don't think shareholders should simply follow insider transactions, logic dictates you should pay some attention to whether insiders are buying or selling shares.

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Kay Cee Energy & Infra Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the Non-Executive Director, Divyanshu Jain, sold ₹15m worth of shares at a price of ₹385 per share. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. The silver lining is that this sell-down took place above the latest price (₹270). So it is hard to draw any strong conclusion from it.

Kay Cee Energy & Infra insiders didn't buy any shares over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. By clicking on the graph below, you can see the precise details of each insider transaction!

See our latest analysis for Kay Cee Energy & Infra

For those who like to find hidden gems this free list of small cap companies with recent insider purchasing, could be just the ticket.

Does Kay Cee Energy & Infra 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. I reckon it's a good sign if insiders own a significant number of shares in the company. It's great to see that Kay Cee Energy & Infra insiders own 71% of the company, worth about ₹2.1b. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At Kay Cee Energy & Infra Tell Us?

The fact that there have been no Kay Cee Energy & Infra insider transactions recently certainly doesn't bother us. While we feel good about high insider ownership of Kay Cee Energy & Infra, we can't say the same about the selling of shares. 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. For example, Kay Cee Energy & Infra has 3 warning signs (and 2 which are a bit concerning) we think you should know about.

Of course Kay Cee Energy & Infra 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 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.