This Insider Has Just Sold Shares In Dhani Services Limited (NSE:DHANI)

Anyone interested in Dhani Services Limited (NSE:DHANI) should probably be aware that a company insider, Gurbans Singh, recently divested ₹11m worth of shares in the company, at an average price of ₹224 each. That sale was 29% of their holding, so it does make us raise an eyebrow.

View our latest analysis for Dhani Services

Dhani Services Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider sale was by the insider, Sachin Chaudhary, for ₹17m worth of shares, at about ₹244 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of ₹282. We generally consider it a negative if insiders have been selling, especially if they did so below the current price, because it implies that they considered a lower price to be reasonable. Please do note, however, that sellers may have a variety of reasons for selling, so we don't know for sure what they think of the stock price. This single sale was just 25% of Sachin Chaudhary's stake.

Insiders in Dhani Services 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. By clicking on the graph below, you can see the precise details of each insider transaction!

If you are like me, then you will not want to miss this free list of growing companies that insiders are buying.

Does Dhani Services Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. I reckon it's a good sign if insiders own a significant number of shares in the company. Dhani Services insiders own 9.5% of the company, currently worth about ₹14b based on the recent share price. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

What Might The Insider Transactions At Dhani Services Tell Us?

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. 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. While we like knowing what's going on with the insider's ownership and transactions, we make sure to also consider what risks are facing a stock before making any investment decision. You'd be interested to know, that we found 4 warning signs for Dhani Services and we suggest you have a look.

Of course Dhani Services 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, but not derivative transactions.

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