Trade Alert: The Compliance Officer Of Ipca Laboratories Limited (NSE:IPCALAB), Harish Kamath, Has Sold Some Shares Recently

Anyone interested in Ipca Laboratories Limited (NSE:IPCALAB) should probably be aware that the Compliance Officer, Harish Kamath, recently divested ₹13m worth of shares in the company, at an average price of ₹1,819 each. Equally important, that sale actually reduced their holding by a full 99% which hardly makes us feel bullish about the stock.

Check out our latest analysis for Ipca Laboratories

Ipca Laboratories Insider Transactions Over The Last Year

Over the last year, we can see that the biggest insider purchase was by Chairman Premchand Godha for ₹216m worth of shares, at about ₹955 per share. Although we like to see insider buying, we note that this large purchase was at significantly below the recent price of ₹1,850. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive.

Happily, we note that in the last year insiders paid ₹264m for 276.00k shares. But they sold 37.80k shares for ₹77m. Overall, Ipca Laboratories insiders were net buyers during the last year. 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!

Ipca Laboratories is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Does Ipca Laboratories Boast High Insider Ownership?

Many investors like to check how much of a company is owned by insiders. Usually, the higher the insider ownership, the more likely it is that insiders will be incentivised to build the company for the long term. It's great to see that Ipca Laboratories insiders own 8.8% of the company, worth about ₹21b. 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 Ipca Laboratories Insiders?

Insiders sold stock recently, but they haven't been buying. But we take heart from prior transactions. And insider ownership remains quite considerable. So the recent selling doesn't worry us. 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 1 warning sign for Ipca Laboratories and we suggest you have a look.

Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of interesting 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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