Stock Analysis

Have Insiders Sold Mahindra & Mahindra Financial Services Limited (NSE:M&MFIN) Shares Recently?

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Investors may wish to note that an insider of Mahindra & Mahindra Financial Services Limited, Hosdurga Kamath, recently netted ₹1.3m from selling stock, receiving an average price of ₹212. On the bright side, that's just a small sale and only reduced their holding by 7.1%.

Check out our latest analysis for Mahindra & Mahindra Financial Services

The Last 12 Months Of Insider Transactions At Mahindra & Mahindra Financial Services

In the last twelve months, the biggest single sale by an insider was when the Independent Director, Rama Bijapurkar, sold ₹5.4m worth of shares at a price of ₹181 per share. That means that an insider was selling shares at slightly below the current price (₹204). When an insider sells below the current price, it suggests that they considered that lower price to be fair. That makes us wonder what they think of the (higher) recent valuation. While insider selling is not a positive sign, we can't be sure if it does mean insiders think the shares are fully valued, so it's only a weak sign. It is worth noting that this sale was only 50% of Rama Bijapurkar's holding.

Mahindra & Mahindra Financial Services 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!

NSEI:M&MFIN Insider Trading Volume February 28th 2021

I will like Mahindra & Mahindra Financial Services 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 Mahindra & Mahindra Financial Services Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. A high insider ownership often makes company leadership more mindful of shareholder interests. Based on our data, Mahindra & Mahindra Financial Services insiders have about 0.1% of the stock, worth approximately ₹343m. We consider this fairly low insider ownership.

So What Does This Data Suggest About Mahindra & Mahindra Financial Services Insiders?

Insiders sold Mahindra & Mahindra Financial Services shares recently, but they didn't buy any. And even if we look at the last year, we didn't see any purchases. It is good to see high insider ownership, but the insider selling leaves us cautious. In addition to knowing about insider transactions going on, it's beneficial to identify the risks facing Mahindra & Mahindra Financial Services. For example, Mahindra & Mahindra Financial Services has 5 warning signs (and 2 which are potentially serious) we think you should know about.

Of course Mahindra & Mahindra Financial 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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This article by Simply Wall St is general in nature. 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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