Insiders of Ipca Laboratories Limited (NSE:IPCALAB) must have made a tidy sum after selling stock currently worth ₹810 at ₹874

Last week, Ipca Laboratories Limited's (NSE:IPCALAB) stock jumped 3.7%, but insiders who sold ₹1.7m worth of stock in over the past year are likely to be in a better position. Selling at an average price of ₹874, which is higher than the current price, may have been the wisest decision for these insiders as their investment would have been worth less now than when they sold.

While insider transactions are not the most important thing when it comes to long-term investing, we do think it is perfectly logical to keep tabs on what insiders are doing.

See our latest analysis for Ipca Laboratories

Ipca Laboratories Insider Transactions Over The Last Year

There wasn't any very large single transaction over the last year, but we can still observe some trading.

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 Ipca Laboratories 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

Many investors like to check how much of a company is owned by insiders. We usually like to see fairly high levels of insider ownership. It's great to see that Ipca Laboratories insiders own 10% of the company, worth about ₹21b. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

So What Do The Ipca Laboratories Insider Transactions Indicate?

The fact that there have been no Ipca Laboratories insider transactions recently certainly doesn't bother us. While we feel good about high insider ownership of Ipca Laboratories, we can't say the same about the selling of shares. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. You'd be interested to know, that we found 2 warning signs for Ipca Laboratories and we suggest you have a look.

Of course Ipca Laboratories 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

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.