The Chairman & MD of Ujaas Energy Limited (NSE:UJAAS), Shyam Sunder Mundra, Just Sold 72% Of Their Holding

Some Ujaas Energy Limited (NSE:UJAAS) shareholders may be a little concerned to see that the Chairman & MD, Shyam Sunder Mundra, recently sold a substantial ₹122m worth of stock at a price of ₹3.03 per share. That diminished their holding by a very significant 72%, which arguably implies a strong desire to reallocate capital.

See our latest analysis for Ujaas Energy

Ujaas Energy Insider Transactions Over The Last Year

In fact, the recent sale by Shyam Sunder Mundra was the biggest sale of Ujaas Energy shares made by an insider individual in the last twelve months, according to our records. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. The good news is that this large sale was at well above current price of ₹2.70. So it is hard to draw any strong conclusion from it.

Insiders in Ujaas Energy didn't buy any shares in 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!

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Insider Ownership

For a common shareholder, it is worth checking how many shares are held by company insiders. We usually like to see fairly high levels of insider ownership. It appears that Ujaas Energy insiders own 38% of the company, worth about ₹227m. 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 Does This Data Suggest About Ujaas Energy Insiders?

Insiders haven't bought Ujaas Energy stock in the last three months, but there was some selling. And there weren't any purchases to give us comfort, over the last year. 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. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Ujaas Energy. Be aware that Ujaas Energy is showing 5 warning signs in our investment analysis, and 2 of those are significant...

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.

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