This Insider Has Just Sold Shares In Salasar Techno Engineering

We'd be surprised if Salasar Techno Engineering Limited (NSE:SALASAR) shareholders haven't noticed that the Chairman & MD, Alok Kumar, recently sold ₹41m worth of stock at ₹15.85 per share. However, the silver lining is that the sale only reduced their total holding by 2.2%, so we're hesitant to read anything much into it, on its own.

Check out our latest analysis for Salasar Techno Engineering

The Last 12 Months Of Insider Transactions At Salasar Techno Engineering

In fact, the recent sale by Chairman & MD Alok Kumar was not their only sale of Salasar Techno Engineering shares this year. They previously made an even bigger sale of -₹148m worth of shares at a price of ₹19.08 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. It's of some comfort that this sale was conducted at a price well above the current share price, which is ₹15.73. So it may not tell us anything about how insiders feel about the current share price.

Salasar Techno Engineering insiders didn't buy any shares over the last year. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

I will like Salasar Techno Engineering 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 Salasar Techno Engineering Boast High Insider Ownership?

For a common shareholder, it is worth checking how many shares are held by company insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Insiders own 28% of Salasar Techno Engineering shares, worth about ₹7.6b. We've certainly seen higher levels of insider ownership elsewhere, but these holdings are enough to suggest alignment between insiders and the other shareholders.

So What Does This Data Suggest About Salasar Techno Engineering Insiders?

Insiders sold stock recently, but they haven't been buying. And even if we look at the last year, we didn't see any purchases. But since Salasar Techno Engineering is profitable and growing, we're not too worried by this. 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 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. To help with this, we've discovered 3 warning signs (1 is concerning!) that you ought to be aware of before buying any shares in Salasar Techno Engineering.

Of course Salasar Techno Engineering 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.