An Insider At Metropolis Healthcare Lowered Their Holding Recently

Viewing insider transactions for Metropolis Healthcare Limited's (NSE:METROPOLIS ) over the last year, we see that insiders were net sellers. This means that a larger number of shares were sold by insiders in relation to shares purchased.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, we do think it is perfectly logical to keep tabs on what insiders are doing.

Check out our latest analysis for Metropolis Healthcare

The Last 12 Months Of Insider Transactions At Metropolis Healthcare

In the last twelve months, the biggest single sale by an insider was when the Founder & Chairman Emeritus, Sushil Shah, sold ₹136m worth of shares at a price of ₹2,132 per share. So it's clear an insider wanted to take some cash off the table, even below the current price of ₹2,221. As a general rule we consider it to be discouraging when insiders are selling below the current price, because it suggests they were happy with a lower valuation. However, while insider selling is sometimes discouraging, it's only a weak signal. This single sale was just 0.7% of Sushil Shah's stake. The only individual insider seller over the last year was Sushil Shah.

Sushil Shah ditched 100.00k shares over the year. The average price per share was ₹1,975. You can see a visual depiction of insider transactions (by companies and individuals) over the last 12 months, below. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).

Insider Ownership

Looking at the total insider shareholdings in a company can help to inform your view of whether they are well aligned with common shareholders. We usually like to see fairly high levels of insider ownership. Metropolis Healthcare insiders own 19% of the company, currently worth about ₹21b based on the recent share price. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

So What Does This Data Suggest About Metropolis Healthcare Insiders?

It doesn't really mean much that no insider has traded Metropolis Healthcare shares in the last quarter. It's heartening that insiders own plenty of stock, but we'd like to see more insider buying, since the last year of Metropolis Healthcare insider transactions don't fill us with confidence. Therefore, you should definitely take a look at this FREE report showing analyst forecasts for Metropolis Healthcare.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.

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.