Have Insiders Sold Medico Remedies Shares Recently?

We wouldn't blame Medico Remedies Limited (NSE:MEDICO) shareholders if they were a little worried about the fact that Rita Mehta, the Women Non-Executive Director recently netted about ₹91m selling shares at an average price of ₹50.69. That sale reduced their total holding by 21% which is hardly insignificant, but far from the worst we've seen.

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The Last 12 Months Of Insider Transactions At Medico Remedies

Notably, that recent sale by Rita Mehta is the biggest insider sale of Medico Remedies shares that we've seen in the last year. So what is clear is that an insider saw fit to sell at around the current price of ₹46.62. While insider selling is a negative, to us, it is more negative if the shares are sold at a lower price. In this case, the big sale took place at around the current price, so it's not too bad (but it's still not a positive).

Medico Remedies insiders didn't buy any shares over the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you click on the chart, you can see all the individual transactions, including the share price, individual, and the date!

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Does Medico Remedies Boast High 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. A high insider ownership often makes company leadership more mindful of shareholder interests. It's great to see that Medico Remedies insiders own 86% of the company, worth about ₹3.3b. I like to see this level of insider ownership, because it increases the chances that management are thinking about the best interests of shareholders.

What Might The Insider Transactions At Medico Remedies Tell Us?

Insiders sold Medico Remedies 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 Medico Remedies. Every company has risks, and we've spotted 2 warning signs for Medico Remedies you should know about.

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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.