One Poly Medicure Insider Has Reduced Their Stake

Looking at Poly Medicure Limited's (NSE:POLYMED ) insider transactions over the last year, we can see that insiders were net sellers. That is, there were more number of shares sold by insiders than there were purchased.

While we would never suggest that investors should base their decisions solely on what the directors of a company have been doing, logic dictates you should pay some attention to whether insiders are buying or selling shares.

View our latest analysis for Poly Medicure

Poly Medicure Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the Joint MD & Executive Director, Rishi Baid, sold ₹146m worth of shares at a price of ₹1,473 per share. That means that an insider was selling shares at slightly below the current price (₹1,633). 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. 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 0.8% of Rishi Baid's holding. The only individual insider seller over the last year was Rishi Baid.

Rishi Baid divested 124.21k shares over the last 12 months at an average price of ₹1,473. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

I will like Poly Medicure better if I see some big insider buys. While we wait, check out this free list of growing companies with considerable, recent, insider buying.

Insider Ownership Of Poly Medicure

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. It's great to see that Poly Medicure insiders own 45% of the company, worth about ₹70b. This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

So What Do The Poly Medicure Insider Transactions Indicate?

The fact that there have been no Poly Medicure insider transactions recently certainly doesn't bother us. While we feel good about high insider ownership of Poly Medicure, we can't say the same about the selling of shares. If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future.

But note: Poly Medicure may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE 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.